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How a Veterans Disability Settlement Can Affect a Divorce Case

Jim's 58-year-old client is permanently disabled due to his time in the military. He receives a monthly pension benefit from the Department of Veterans Affairs.

He wants to know if the verdict of a jury will affect his VA benefits. The answer is that it will not. It will, however, have an impact on the other sources of income he earns.

Can I Receive Compensation in the event of an accident?

You could be eligible for a settlement if have served in the military, but are now permanently disabled because of injuries or illnesses. This settlement will pay you for medical bills, lost income and other expenses resulting from your injury or sickness. The type of settlement you can get will depend on whether the health condition is non-service connected, which VA benefits you qualify for, and the amount your injury or accident will cost to treat.

Jim, a 58 year veteran of the Vietnam war, was diagnosed as having permanent disabilities due to his two years of service. He doesn't have enough work quarters to qualify for Social Security disability benefits but the VA Pension benefit, which offers medical care and cash that is based on financial need. He would like to know how a personal injury settlement will affect his ability to be eligible for this benefit.

The answer depends on if the settlement is a lump sum or a structured one. Structured settlements are based on payments over time instead of a single payment. The amount paid by defendant is calculated to offset the existing VA benefits. In contrast, a lump sum payout is likely to alter any existing benefits as the VA considers it as income and will increase it. If Jim has excess assets after the settlement is annualized the applicant can apply again to be eligible for the pension benefit. However his assets must be less than a certain threshold that the VA has determined to be a financial necessity.

Do I really need to hire an Attorney?

Many service members, spouses and former spouses are confused about VA disability compensation and its impact on financial issues in divorce cases. In addition, some people believe that the Department of veterans disability compensation Affairs' compensation payments are able to be divided like a military pension in divorce or are "off limits" in the calculation of child support and Alimony. These misconceptions can result in financial mistakes that can have grave consequences.

It is possible to file an application for disability benefits by yourself however, the majority of disabled veterans would require the help of a qualified lawyer. A veteran's disability lawyer can examine your medical records to gather the evidence required to present a convincing case in front of the VA. The lawyer can also file any appeals you might require to receive the benefits you are entitled to.

In addition, the majority of VA disability lawyers charge no fees for consultations. Additionally, the lawyer will generally be paid by the government directly from your retroactive past-due benefits. This is an advantage of the Equal Access to Justice Act. The percentage of retroactive past-due benefits that your lawyer will receive should be clearly stated in your fee agreement. For example the fee agreement could stipulate that the government will pay the lawyer up to 20% of retroactive benefits or give. Any additional amounts will be your responsibility.

Can I Garnish My VA Benefits?

If a disabled veteran is granted compensation from the VA the compensation is paid in the form of monthly payments. The payments are meant to alleviate some of the consequences of illnesses, disabilities, or injuries sustained during or aggravated during a veteran's military service. The benefits for veterans disability lawyers with disabilities are subject to garnishment, Veterans Disability Settlement like any other income.

Garnishment is a court-ordered procedure that an employer or Veterans Disability Settlement government agency deduct cash from the pay of an individual who owes an obligation and pay it directly to a creditor. In the event of divorce, garnishment could be used to pay spousal maintenance or child support.

There are situations where the benefits of a veteran could be repaid. The most common situation involves veterans who have waived their military retirement to receive disability compensation. In these situations, the amount of pension that is allocated to disability pay can be garnished to pay family support obligations.

In other situations, a veteran's benefits can be withdrawn to cover medical expenses or past-due federal student loans. In these instances the court could go directly to the VA to obtain the information they need. It is vital for disabled veterans to retain a knowledgeable attorney to ensure that their disability benefits are not removed. This will prevent them from having to rely on payday loans and private loans. lenders.

Can I Represent Myself in a Divorce Case?

VA disability settlements can be a big aid to veterans disability lawsuit and their families, but they're not without their own set of challenges. If a veteran divorces and receives a VA settlement it is important to know what this will do to their benefits.

In this context, the main question is whether disability benefits are considered assets that could be divided in a divorce. The question has been answered in two ways. A Colorado court of appeals decision decided that VA disability payments were not property and therefore could not be divided this manner. The other way is by an U.S. Supreme Court ruling in Howell which held that garnishing the veteran's VA disability payments to pay for an alimony payment is a violation of the Uniformed Services Former Spouses Protection Act (USFSPA).

Another issue that is related to this issue is the treatment of disability benefits for child maintenance and support. Both the USFSPA as well as the Supreme Court, prohibit states from utilizing disability benefits as income. Certain states take different approaches. Colorado is one example. It takes all income sources together to determine the amount needed to support a spouse and then adds disability income in order to account for their tax-free status.

Finally, it is important for veterans to understand how their disability compensation will be affected if they are divorced and how their ex-spouses may take advantage of their benefits. If they are aware of these questions, veterans disability litigation can guard their income and avoid unwanted consequences.