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How a veterans disability lawyer Disability Settlement Can Affect a Divorce Case

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

He wants to know if an award from a jury will affect his VA benefits. It will not. However, it will affect the other sources of income he earns.

Can I get compensation in the event of an accident?

If you have served in the military, and are permanently disabled due to injuries or illnesses, you may be eligible for a veteran disability settlement. This settlement can help you get compensation for medical expenses, lost wages, and other expenses related to your injury or illness. The type of settlement you can receive will depend on whether your medical condition is service-connected, or not connected, which VA benefits you qualify for, and how much your accident or injury will cost to treat.

Jim, a 58-year old Vietnam veteran was diagnosed with permanent disabilities because of his two years of service. He doesn’t have enough space for work to be eligible for Social Security Disability benefits, but he has a VA Pension that provides free medical treatment and cash according to his financial need. He wants to know if a personal injury settlement could affect his ability to get this benefit.

The answer is contingent upon whether the settlement is in the form of an unintentional lump sum or a structured settlement. Structured settlements are those that are made over a time period instead of in one payment, and the amount paid by the defendant is calculated to offset any existing VA benefits. In contrast, a lump sum settlement will probably affect any existing benefits because the VA considers it income and will annualize it. If Jim has excess assets after the settlement has been annualized the applicant can apply again to receive the Pension benefit. However the assets must be below a minimum threshold that the VA has set that establishes financial necessity.

Do I require an attorney?

Many spouses, military personnel, and former spouses have concerns about VA disability benefits and their impact on money issues in divorce. Some people believe, among other things that Department of Veterans Affairs compensation payments are split like the military retirement in a divorce case or that they’re “off limits” when it comes to calculating child support and alimony. These misconceptions can lead to financial errors that have serious repercussions.

It is possible to submit a claim for disability benefits on your own However, most disabled veterans will benefit from the assistance of a professional lawyer. A veteran’s disability lawyer who is experienced can examine your medical records and gather all the necessary evidence needed to build a strong argument to the VA. The lawyer can also help to submit any appeals you require to secure the benefits you deserve.

The majority of VA disability lawyers don’t charge for consultations. The government also pays the lawyer directly from your award 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 may stipulate that, for example, the government would pay the attorney 20 percent of retroactive benefits. Any additional amounts are your to pay.

Can I Garnish My VA Benefits?

If a disabled veteran receives compensation from the VA, it comes in the form of monthly payments. These payments are designed to offset some of the effects of disabilities, diseases, or injuries sustained during or aggravated during a veteran’s military service. As with all income, benefits for veterans with disabilities are subject to garnishment.

Garnishment can be a legal proceeding that allows a judge to order an employer or government agency to deduct funds from the paycheck of a person who owes money, and then send them directly to a creditor. In the event of divorce, the garnishment could be used for child or spousal support.

However, there are some situations in which a veteran’s disability benefits can be garnished. The most frequent is the veteran who renounced his military retirement in order to receive disability compensation. In these instances the portion of the pension that is attributed to disability benefits can be garnished for family support obligations.

In other instances, a veteran’s benefit may be garnished in order to cover medical expenses or federal student loans that are past due. In these cases a judge can refer a case directly to the VA for the information they require. A disabled veteran should hire an experienced lawyer to protect their disability benefits. This can stop them from relying on payday lenders and private loans.

Can I Represent Myself in a Divorce Case?

VA disability settlements are an excellent help to veterans and their families. However they have their own set of complications. For instance, if a veteran gets divorced and receives an VA disability settlement, they should know how this will affect their benefits.

In this context the most important question is whether or not disability payments count as assets which can be divided during a divorce. This question has been answered in two ways. One way is by a Colorado court of appeals ruling that concluded that VA disability payments are not property, and therefore cannot be divided in this way. Another method is an U.S. Supreme Court ruling in Howell that held that garnishing the veteran’s VA disability payments to pay the payment of alimony is in violation of the Uniformed Services Former Spouses Protection Act (USFSPA).

Another issue related to this subject is how disability benefits are treated for purposes of child maintenance and support. The USFSPA and the Supreme Court both forbid states from claiming disability benefits as income to be used for this purpose. Some states have different methods. For instance, Colorado adds up all sources of income to determine how much in support a spouse requires and then pluses up the disability benefits to take into the fact that they are tax-free.

In the end, it is crucial for Veterans disability law firms to know how their disability compensation will be affected if they are divorced and how their spouses who divorced them can affect their compensation. If they are aware of these issues, veterans can safeguard their benefits and avoid unwanted consequences.