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How a Veterans Disability Settlement Can Affect a Divorce Case

Jim’s 58 year old client is permanently disabled from his military service. He receives a monthly pension benefit from the Department of woodland park veterans disability attorney Affairs.

He would like to know how the jury’s verdict will affect his VA benefits. The answer is that it will not. It will, however, affect the other sources of income he earns.

Can I Get Compensation for an accident?

You may be eligible for a settlement if you were in the military but are now permanently disabled as a result of injuries or illnesses. This settlement can help compensate you for medical bills, lost income, and other expenses resulting from your injury or sickness. The type of settlement you are eligible for will depend on whether or not your injury or illness is service-related, what VA benefits you qualify to receive, and the amount to treat your accident or injury.

For instance, Jim is a 58-year veteran who was diagnosed with permanent disabilities based on two years of service during the Vietnam War. He isn’t in a position to have enough space for work to be eligible for Social Security Disability benefits, but he has the VA Pension, which provides free medical care and cash according to his financial need. He wants to find out if a personal injury settlement would affect his ability be eligible for this benefit.

The answer is dependent on whether the settlement is a lump-sum or a structured one. Structured settlements involve installments over time rather than one payment. The amount paid by defendant is calculated to offset the existing VA benefits. A lump sum payout will likely affect any existing benefits because the VA considers it income and will annualize it. In any case, if there are excess assets remain after the twelve-month period when the settlement is annualized, Jim could be eligible for a new Pension benefit but only if his assets are below a threshold that the VA is able to agree establishes financial need.

Do I Need to Hire an attorney?

Many spouses, military personnel, and former spouses are confused about VA disability compensation and its impact on money issues in a divorce case. Some people believe, for instance, that Department of ephrata veterans disability attorney Affairs compensation payments can be split as the military retirement in divorce cases or that they’re “off limits” when calculating child support and Alimony. These misconceptions can lead to financial mistakes that have serious consequences.

It is possible to submit a claim for disability benefits by yourself, but most disabled veterans will benefit from the assistance of a skilled lawyer. An experienced veteran’s disability lawyer will review your medical documents and gather the necessary evidence to support your argument to the VA. The lawyer can also help to file any appeals that you need to get the benefits you’re entitled to.

Most VA disability lawyers don’t charge for consultations. The government will also pay the lawyer directly from your benefit 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 must be specified in your fee agreement. A fee agreement could stipulate that, for example, the government would give the attorney up to 20% of retroactive benefits. You will be accountable for any additional sums.

Can I Garnish My VA Benefits?

If a disabled veteran receives compensation from the VA it is in the form of monthly payments. The payments are intended to offset the effects of injuries, illnesses or disabilities that were suffered or aggravated by a veteran’s service. The benefits for veterans’ disability are subject to garnishment just like any other income.

Garnishment permits a court order that an employer or government agency stop cash from the pay of a person who has the debt and pay it directly to the creditor. In the event of a divorce garnishment may be used to pay child or spousal support.

However, there are some situations in which a veteran’s disability benefits are able to be garnished. The most common scenario is those who have renounced their military retirement to get disability compensation. In these instances, the portion of pension that is allocated to disability benefits can be garnished to meet family support obligations.

In other situations it is possible for a veteran’s benefits to be withdrawn to cover medical expenses or past due federal student loans. In these instances the court might be able to the VA to obtain the necessary information. The disabled veteran should consult an experienced attorney to safeguard their disability benefits. 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 huge help for veterans and their families, however they’re not 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 context, the main question is whether or not disability payments are considered to be assets which can be divided during a divorce. The question has been answered in two ways. A Colorado court of appeals decision decided that VA disability payments were not property and could not be divided in this manner. 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 subject is how disability benefits are interpreted 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, some states have chosen to take an alternative approach. For instance, Colorado adds up all sources of income to determine the amount in support a spouse needs and then adds up the disability payments to take account that they are tax free.

Additionally, it is essential that veterans understand how their disability compensation will be affected when they get divorced and how their spouses who divorced them can garnish their compensation. By being aware of these issues, vets can ensure their compensation as well as avoid the unintended consequences.