Jim's client, 58 years old, is permanently disabled due to his military service. He receives a monthly Pension benefit from the Department of Veterans Affairs.
He wants to find out if a verdict from a jury will impact his VA benefits. It will not. It will, however, have an impact on the other sources of income he earns.
Can I claim compensation in the event of an accident?
If you've served in the military, and are permanently disabled because of injuries or illnesses, you may be eligible for a veterans disability settlement. This settlement can assist in compensating you for medical bills, lost income and other expenses that resulted from your injury or sickness. The type of settlement you can get depends on whether or not your medical condition is service-connected, or not connected, which VA benefits you qualify for, and the amount your accident or injury will cost to treat.
For example, Jim is a 58-year old veteran who was diagnosed with permanent disabilities based on two years of service during the Vietnam War. He does not have enough space for work to qualify for Social Security Disability benefits, but he has the VA Pension which offers free medical care and cash dependent on the amount of money he needs. He would like to determine if a personal accident settlement will affect his ability to get this benefit.
The answer is contingent upon whether the settlement is in the form of either a lump sum or structured settlement. Structured settlements are payments made over a period of time rather than as a single payment and the amount received by the defendant is used to offset any existing VA benefits. A lump sum payment will affect any existing VA benefits since the VA will annualize and consider it income. If Jim has surplus assets after the settlement is annually adjusted the applicant can apply again to receive the Pension benefit. However the assets he has to be below a threshold the VA has agreed establishes financial necessity.
Do I Need to Hire an attorney?
Many spouses, service members and former spouses are confused about VA disability compensation and its effect on financial issues in divorce cases. Some people think, for instance, that Department of Veterans Affairs compensation payments can be divided like an army retirement in divorce proceedings or that they're "off limits" when calculating child support and alimony. These misconceptions could lead to serious financial errors.
While it is possible to submit an initial claim for disability benefits by yourself, the majority of disabled veterans get the assistance of an experienced attorney. A veteran's disability lawyer who is experienced will review your medical documents and gather the required evidence to make a convincing argument to the VA. The lawyer can also file any appeals that you may need in order to get the benefits you deserve.
In addition, the majority of VA disability lawyers do not charge fees for consultations. The government will also pay the lawyer directly from your payment of retroactive benefits. This is an advantage of the Equal Access to Justice Act. Your fee agreement should clearly define the amount of retroactive benefits that will be paid to your lawyer. For example your fee agreement may provide that the government can pay the attorney up to 20% of retroactive benefits or provide. Any additional amounts are your to pay.
Can I Garnish My VA Benefits?
The VA pays a monthly amount of compensation to disabled veterans disability lawyer. The funds are intended to alleviate some of the effects of diseases, disabilities, or injuries sustained during or aggravated by the veteran's military service. As with all income, veterans disability legal disability benefits are subject to garnishment.
Garnishment is a legal process that allows a judge to order an employer or government agency to deduct funds from the pay of an employee who owes money and transfer them directly to an individual creditor. In the event of divorce, garnishment may be used to pay spousal maintenance or child support.
There are certain situations where a veteran's benefits can be repaid. Most often, it is the case of a veteran who has waived his military retirement in order to receive disability compensation. In these instances the pension portion that is devoted to disability benefits can be garnished in order to cover the obligations of family support.
In other circumstances, veteran’s benefits can also be seized to cover medical expenses or federal student loans that are past due. In these instances the court can go directly to the VA to obtain the information they require. It is crucial for a disabled veteran to work with a reputable lawyer to ensure that their disability benefits aren't being snatched away. This can stop them from relying on payday lenders or private loans.
Can I Represent Myself in a Divorce Case?
VA disability settlements can be a big benefit for veterans disability lawyers and their families, but they don't come without 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.
In this regard, the main question is whether or not disability payments count as assets which can be divided in divorce. This question has been resolved in a couple of ways. A Colorado court of appeals decision found that VA disability payments were not property and therefore could not be divided in this way. Another method is the U.S. Supreme Court ruling in Howell that held that garnishing the veteran's VA disability benefits to pay alimony 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. The USFSPA and the Supreme Court both forbid states from counting disability benefits as income to be used for Veterans Disability Settlement this purpose. Certain states take different approaches. Colorado for instance adds all sources of income together to determine the amount required to provide for a spouse. Colorado then adds disability benefits in order to account for their tax-free status.
Finally, it is important for veterans to be aware of how their disability compensation will be affected when they get divorced and how their spouses' ex-spouses could affect their compensation. By knowing about these issues, veterans can safeguard their income and avoid unintended consequences.
