How a Veterans Disability Settlement Can Affect a Divorce Case

Jim's client, 58 years old, is permanently disabled from his service in the military. He receives a monthly pension benefit from the Department of king city veterans disability law firm Affairs.

He would like to know how an award from a jury will impact his VA benefits. It will not. However, it could have an impact on the other sources of income he has.

Do I have the right to receive compensation for an Accident?

If you've been in the military and are now permanently disabled due to injuries or illnesses, you could 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 illness or injury. The kind of settlement you'll receive will depend on whether your condition is service-connected or not connected, the VA benefits you qualify for, as well as the amount your accident or injury will cost to treat.

Jim, a 58-year veteran of Vietnam, was diagnosed as having permanent disabilities due to his two years of service. Jim does not have enough work space to qualify for Social Security Disability benefits, however, he can claim the VA Pension which offers cash and medical care for free depending on the financial needs of his. He wants to find out if a personal injury settlement would affect his eligibility to get this benefit.

The answer depends on whether the settlement is in the form of a lump sum or a structured settlement. Structured settlements are payments made over a time period rather than a single payment and the amount received by the defendant is calculated to offset any existing VA benefits. A lump sum settlement can affect any existing VA benefits because the VA will annually calculate and consider it as income. If Jim has assets that are not used up after the settlement is annualized the applicant can apply again to be eligible for the pension benefit. However the assets must be less than a certain threshold that the VA has determined to be a financial necessity.

Do I need to employ an attorney?

Many service members, spouses and former spouses are confused about VA disability compensation and its effect on money issues in a divorce case. Some people believe, among other things, that the Department of Veterans Affairs compensation payments can be split like the military retirement in a divorce case or that they're "off limits" in calculating child support and Alimony. These misconceptions can lead to financial mistakes that have serious repercussions.

It is possible to submit a claim for disability benefits on your own however, the majority of disabled veterans will require the help of a qualified lawyer. A veteran's disability attorney will review your medical records to gather the evidence needed to argue your case in front of the VA. The lawyer will also be able to file any appeals that you need to get the benefits you deserve.

Additionally, the majority of VA disability lawyers don't charge fees for consultations. In addition, the lawyer will generally be paid by the government directly out of your retroactive past-due benefits. This is an advantage of the Equal Access to Justice Act. Your fee agreement should clearly state the proportion of retroactive benefits to be paid to your lawyer. For instance, a fee agreement can stipulate that the government will pay the lawyer up to 20% of the retroactive benefits or award. Any additional amounts will be your obligation.

Can I Garnish My VA Benefits?

If a disabled veteran is granted compensation from the VA, it comes in the form of monthly payments. The funds are meant to alleviate the effects of injuries, diseases or disabilities sustained or aggravated by a veteran's time of service. The benefits for veterans with disabilities are subject to garnishment, just like other incomes.

Garnishment is a legal action that allows a judge to require an employer or government agency to take money from the pay of someone who owes money and send them directly to an individual creditor. In the event of a divorce garnishment can be used for child or spousal support.

There are a few situations in which a veteran's benefits can be encashable. The most common scenario is a veteran who waived their military retirement to get disability compensation. In these instances, the amount of pension apportioned to disability pay can be garnished for family support obligations.

In other instances, a veteran's benefit may be garnished in order to pay medical expenses or federal student loans that are past due. In these instances, a court can go directly to the VA to obtain the information they need. A disabled veteran should seek out an experienced attorney to secure their disability benefits. This will prevent them from relying on payday lenders and private loans.

Can I Represent Myself in a Divorce Case?

VA disability settlements are a tremendous help to veterans and their families. However they do come with their own set complications. If a veteran is divorced and receives an VA settlement, he or she should be aware of what this might do to the benefits they receive.

In this case the most important question is whether disability benefits are considered assets that can be split in a divorce. This question has been addressed in two ways. A Colorado court of appeals decision determined that VA disability payments were not property and could not be divided in this way. The U.S. Supreme Court ruled in Howell, that garnishing a veteran's VA disability benefits for alimony was a violation of USFSPA.

Another concern that is related to this issue is how disability benefits are treated in the context of child maintenance and support. The USFSPA and the Supreme Court both forbid states from counting disability payments as income to be used for this purpose. However, certain states have taken an alternative approach. Colorado for instance adds all income sources together to determine the amount required to provide for a spouse. Colorado then adds on disability payments in order to account for their tax-free status.

It is also essential that liberal veterans disability lawyer know how divorce can affect their disability compensation and how their spouses who divorced could slash their benefits. By being aware of these issues, veterans can ensure their compensation as well as avoid any unintended consequences.