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How a Veterans Disability Settlement Can Affect a Divorce Case

Jim's client, 58 years old, is permanently disabled as a result of his service in the military. He receives a monthly pension from the Department of Veterans Affairs.

He would like to know how a jury award will affect his VA benefits. The answer is that it will not. However, it will have an impact on his other sources of income.

Can I Receive Compensation in the event of an accident?

If you've been in the military and are permanently disabled because of injuries or illnesses, you may be eligible for a veterans disability settlement. This settlement can help compensate you for medical expenses, lost income and other expenses that resulted from your injury or sickness. The kind of settlement you'll be able to receive depends on whether your condition is service-connected or non-service connected, what VA benefits you are eligible for, and what your accident or injury will cost to treat.

Jim, a 58 year veteran of the Vietnam war was diagnosed with permanent disabilities as a result of his two years of service. He does not have enough work space to be eligible for Social Security Disability benefits, however, he can claim an VA Pension that offers cash and medical care for free according to his financial need. He wants to be aware of whether a personal injury settlement would affect his eligibility to receive this benefit.

The answer is dependent on whether the settlement is in the form of an unintentional lump sum or a structured settlement. Structured settlements are the ones that are paid over a long period of time rather than as a single payment and the amount paid by the defendant is used to offset any existing VA benefits. A lump sum settlement will affect any existing VA benefits because the VA will annually evaluate and consider it income. If Jim has surplus assets after the settlement has been annualized then he is eligible to be eligible for Veterans Disability Settlement the pension benefit. However the assets he has to be below a minimum threshold that the VA has determined to be a financial necessity.

Do I need to hire an attorney?

Many spouses, military personnel, and former spouses are concerned about VA disability payments and their effect on financial issues in divorce. Some people think, for instance, that Department of veterans disability lawyers Affairs compensation payments can be split as a military retirement in divorce cases or that they're "off limits" in calculating child support and alimony. These misconceptions can result in financial mistakes that have serious repercussions.

While it is possible to make an initial claim for disability benefits by yourself, the majority of disabled veterans benefit from the assistance of a professional attorney. A veteran's disability lawyer can review your medical records to collect the evidence necessary to present a convincing case to the VA. The lawyer can also file any appeals that you might need to receive the benefits you are entitled to.

The majority of VA disability lawyers don't charge for consultations. The government will also pay the lawyer directly from your amount of retroactive benefits. This is one of the benefits of the Equal Access to Justice Act. Your fee agreement should clearly state the amount of retroactive benefits that will be paid to your lawyer. A fee agreement could stipulate that, for instance, the government would pay the attorney up 20% of retroactive benefits. You are responsible for any additional costs.

Can I Garnish My VA Benefits?

The VA provides monthly compensation to disabled veterans disability lawyer. The funds are meant to offset the effects of diseases, injuries or disabilities that have been sustained or aggravated during a veteran's time of service. Like other income sources, veterans disability attorneys disability benefits are subject to garnishment.

Garnishment permits a court order that an employer or government agency stop cash from the pay of a person who has a debt and send it directly to the creditor. In the event of a divorce garnishment can be used for child or spousal maintenance.

However, there are certain situations where disability benefits could be garnished. The most frequent scenario involves a veteran who waived their military retirement to receive disability compensation. In these instances the amount of pension that is devoted to disability pay can also be garnished in order to meet family support obligations.

In other cases the benefits of a veteran can be withdrawn to cover medical expenses or past-due federal student loans. In these cases the court could go directly to the VA to obtain the information they require. It is important for veterans disability settlement disabled veterans to find a competent lawyer to ensure that their disability benefits are not being snatched away. This can stop them from having to rely on payday lenders and private loans.

Can I Represent Myself in a Divorce Case?

VA disability settlements are a great aid to veterans and their families. However, they come with their own set of complications. If a veteran divorces and receives an VA settlement, he or she should be aware of the impact this could have to the benefits they receive.

One of the major issues in this context is whether disability payments are considered divisible assets in a divorce. The question has been answered in two ways. One option is an Colorado court of appeals decision, which found that VA disability payments are not property, and therefore cannot be divided in this way. The U.S. Supreme Court ruled in Howell, that garnishing a veteran's VA disability payments for an alimony payment was a violation of USFSPA.

Another concern relating to this topic is the treatment of disability benefits to children for maintenance and support. Both the USFSPA as well as the Supreme Court, prohibit states from utilizing disability benefits as income. However, some states have adopted the opposite approach. For instance, Colorado adds up all sources of income to determine the amount in support a spouse will need and then adds disability benefits to take into the fact that they are tax-free.

It is also important that veterans are aware of the impact divorce has on their disability compensation and how ex-spouses could slash their benefits. By being aware of these issues, vets can safeguard their benefits and avoid any unintended consequences.