How a Veterans Disability Settlement Can Affect a Divorce Case

Jim's client, a 58 year old man is permanently disabled due to his military service. He gets a monthly pension from the Department of Veterans Affairs.

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

Can I claim compensation in the event of an accident?

If you have served in the military and are permanently disabled due to injuries or illnesses, you could be eligible for a veterans disability settlement. This settlement will help pay you for medical bills, lost income, and other costs that resulted from your illness or injury. The kind of settlement you will receive will depend on whether your injury or illness is related to service, what VA benefits you are eligible to receive, and the amount to treat your accident or injury.

Jim is a 58 year old Vietnam veteran, was diagnosed as having permanent disabilities due to his two years of service. Jim does not have enough space for work to qualify for Social Security Disability benefits, but he has a VA Pension that provides free medical care and cash depending on the financial needs of his. He wants to be aware of how a personal injuries settlement could affect his eligibility to benefit from this benefit.

The answer depends on if the settlement is a lump-sum or a structured one. Structured settlements involve installments over time rather than one single payment. The amount paid by the defendant is calculated to offset existing VA benefits. However, a lump sum payout will likely alter any existing benefits as the VA considers it income and will annualize it. In any event, if extra assets are left after the 12 month period when the settlement is annualized, Jim may be eligible to apply again for the Pension benefit, but only if his assets are less than a minimum threshold that the VA accepts as establishing financial need.

Do I really need to hire an Attorney?

Many service members, Veterans Disability Law Firms spouses and former spouses are confused about VA disability compensation and its effect on financial issues in divorce cases. Some people believe that the Department of Veterans Affairs' compensation payments can be divided like a military pension divorce or are "off limits" when it comes to calculation of child support and Alimony. These misconceptions may lead to grave financial errors.

It is possible to file a claim for disability benefits on your own However, most disabled veterans would require the help of a qualified lawyer. A veteran's disability lawyer who is experienced can review your medical documents and gather the required evidence to present a strong case at the VA. The lawyer will also be able to file any appeals you may require to obtain the benefits you deserve.

Moreover, most VA disability lawyers do not charge fees for consultations. The government also pays the lawyer directly from the payment of retroactive benefits. This is an advantage of the Equal Access to Justice Act. The proportion of retroactive past-due benefits your lawyer will be paid should be outlined in your fee agreement. A fee agreement could state for instance that the government would give the attorney up to 20 percent of retroactive benefits. You will be responsible for any additional costs.

Can I Garnish My VA Benefits?

The VA provides monthly compensation to disabled veterans. The payments are intended to help offset the impact of diseases, injuries or disabilities that were suffered or aggravated during a veteran's service. Like all incomes, veterans disability law firms veterans disability benefits can be subject to garnishment.

Garnishment is a legal procedure that allows a judge to decide that an employer or a government agency to withhold funds from the pay of an employee who owes money and transfer them directly to the creditor. In the event of a divorce garnishment can be used to pay child or spousal support.

However, there are certain circumstances where a veteran's disability benefits could be repaid. The most common scenario is the veteran who has waived their military retirement in order to receive disability compensation. In these scenarios the amount of pension that is devoted to disability pay can also be garnished to meet family support obligations.

In other circumstances the benefits of a veteran can be seized to pay medical expenses or past-due federal student loans. In these cases a judge can refer a case directly to the VA for the information they require. It is essential for a disabled veteran to hire a knowledgeable attorney to ensure that their disability benefits are not garnished. This can help them avoid having to depend on payday loans or private loans. lenders.

Can I Represent Myself in a Divorce Case?

VA disability settlements can be an enormous benefit for veterans and their families, but they don't come without their own set of challenges. If a veteran divorces and receives a VA settlement then they must be aware of the implications to the benefits they receive.

In this regard one of the major issues is whether or not disability payments count as assets which can be divided in divorce. This question has been answered in two ways. One option is an Colorado court of appeals decision which concluded that VA disability payments are not property and cannot be divided in that way. The U.S. Supreme Court ruled in Howell, that garnishing a veteran's VA disability payments to pay an alimony payment was a violation of USFSPA.

Another issue that is related to this topic is the treatment of disability benefits to children for support and maintenance. The USFSPA and the Supreme Court both forbid states from counting disability payments as income to be used for this purpose. Certain states take different approaches. For instance, Colorado adds up all sources of income to determine how much in support a spouse is entitled to and then adds up the disability payments to take the fact that they are tax-free.

Finally, it is important that veterans disability law firms; Recommended Web page, understand how their disability compensation will be affected when they get divorced and how their ex-spouses may affect their compensation. By knowing about these issues, veterans can ensure the security of their earnings and avoid any unwanted consequences.