What You Need to Know About Veterans Disability Settlement
The VA program pays for disability based upon loss of earning ability. This program differs from workers’ compensation programs.
Jim received a lump sum settlement of $100,000. The VA will annually adjust the lump sum for a year. This will be offset by his Pension benefit. He is only eligible to apply again after the annualized amount has been paid to him.
Compensation
veterans disability attorneys and their families could be entitled to compensation from the government for injuries incurred during their military service. These benefits could be in the form of a disability or pension payment. When considering a personal-injury lawsuit or settlement on behalf of a disabled veteran, there are some important aspects to remember.
For example in the event that a disabled veteran receives an award in their case against the at-fault party that damages them and also has an VA disability compensation claim and the amount of the settlement or jury award can be garnished from their VA payments. This type of garnishment is subject to some restrictions. First you must file a court petition to be filed for the apportionment. Only a small portion of the monthly pay can be garnished. Typically, it is between 20 and 50%.
It is important to note that compensation is based not on the actual earnings of a veteran however, on a percentage. This means that the higher a veteran’s disability rating is, the more they receive in compensation. The dependent children and spouses of a veteran who died from a service-related injury or illness are eligible for a particular compensation known as Dependency Indemnity Compensation.
There are many myths about the impact that veterans disability law firm‘ retirement benefits, disability pay and other compensation from the Department of Veterans Affairs have on divorce issues involving money. These misconceptions can make divorces more difficult for Veterans Disability Law Firms and their families.
Pensions
Veterans Disability Pension is a tax-free monetary benefit that is granted to veterans suffering from disabilities that were incurred or aggravated by military service. It is also available to survivors of spouses and dependent children. Congress determines the pension amount, which is based on disability level, degree of disability, and dependents. The VA has specific regulations on how assets are evaluated to determine eligibility for the Pension benefit. Generally, the veteran’s home personal effects, personal belongings and a vehicle are excluded, whereas the remaining assets of the veteran that are not exempt must not exceed $80,000 to prove financial need.
A common misconception is that courts could garnish VA disability payments in order to fulfill court-ordered child or spouse support obligations. It is important to know that this is not the case.
The courts can only garnish the pension of a veteran when they have waived their military retired pay to obtain compensation for disability. The statute governing this is 38 U.S.C SS5301(a).
It is important to understand that this is not applicable to CRSC or TDSC pay, since these programs are specifically designed to provide higher levels of income to disabled veterans. It is also important to note that an individual’s personal injury settlement could limit their eligibility for aid and attendance.
SSI
If a veteran is not earning earned income and suffers from permanent disabilities or permanent disability, they could be eligible for Supplemental Security Income (SSI). This program is determined by need. SSI is only available to people with low incomes and assets. Certain people can also receive a monthly pension benefit from the VA. The amount is determined by the duration of service, wartime duration and disability rating.
The majority of veterans aren’t eligible for both a Pension and Compensation benefit simultaneously. If a person receives an amount for disability and pension benefits from the VA but it does not provide a Supplemental Security income benefit.
The VA is required to send your monthly report of military retirement, CRDP or CRSC to the Social Security Administration (SSA). This is almost always a cause for an increase in your SSI benefit. The SSA can also determine your SSI earnings using VA waiver benefits.
If a veteran is ordered to pay for support in a court order the court may send the order directly to VA to garnish the military retirement. This can be the case in divorce cases where the retired person waives their military retirement pay in exchange for VA disability payments. The U.S. Supreme Court ruled recently in the case Howell that such a practice was in violation of federal law.
Medicaid
A veteran suffering from a disability that is related to service could be eligible for Medicare and Medicaid benefits. He must prove that he’s in the look-back period of five years. Also, he must provide documentation to prove his citizenship. He cannot transfer his assets without a fair value however, he can keep one vehicle and his primary residence. He also has the option of keeping up to $1,500 cash or the face value of an insurance policy that covers life.
In divorce the judge could decide that the veteran’s VA disability payments can be considered to be income for purposes of calculating post-divorce child support and maintenance. This is because of the numerous court rulings that have confirmed the right of family courts to count these payments as income in support calculations. These include rulings from Florida, Mississippi (Steiner v. Steiner), Wisconsin (In the case of Wojcik’s Marriage), and other states.
The VA disability compensation is determined by the severity of the condition. It is determined by a formula that assesses the severity of the condition. It can be between 10 percent to 100 percent. Higher ratings will yield more money. It is also possible for a veteran to receive additional compensation for attendance and aid expenses, or a special monthly compensation, which is not based upon a schedule but upon the severity of the disability.