How a Veterans Disability Settlement Can Affect a Divorce Case

Jim's client, a 58 year old man, is permanently disabled because of his military service. He receives a monthly pension benefit from the Department of veterans disability lawyers Affairs.

He wants to know if a jury verdict will affect his VA benefits. The answer is not. However, it will have an impact on his other sources of income.

Can I Receive Compensation for an Accident?

If you've been in the military, and are permanently disabled due to injuries or illnesses, you may be eligible for a veteran disability settlement. This settlement will pay you for medical bills, lost income and other costs that resulted from your illness or injury. The type of settlement you'll be able to get will depend on whether the health condition is non-service connected, what VA benefits you qualify for, and how much your accident or injury will cost to treat.

Jim is a 58 year veteran of the Vietnam war was diagnosed with permanent disabilities due to his two years of service. He hasn't got enough work space to qualify for Social Security disability benefits but He does have a VA Pension benefit that provides cash and free medical care dependent on financial need. He wants to be aware of how a personal injury settlement could 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 long period of time instead of in one payment, and the amount paid by the defendant is calculated to offset any existing VA benefits. A lump sum payout will likely affect any existing benefits because the VA considers it a tax-deductible income and will annually increase it. If Jim has assets that are not used up after the settlement is annually adjusted and he wants to reapply, he will receive the Pension benefit. However, his assets must be below a threshold the VA has set that establishes financial necessity.

Do I really need to hire an attorney?

Many spouses, service members, and former spouses are concerned about VA disability payments and their impact on money issues in divorce. Some people believe, among other things that the Department of Veterans Affairs compensation payments can be divided like a military retirement in a divorce case or that they're "off limits" when calculating child support and alimony. These misconceptions can lead to financial mistakes that can have grave consequences.

It is possible to submit a claim for disability benefits yourself However, most disabled veterans would benefit from the assistance from a competent lawyer. An experienced veteran's disability lawyer will review your medical records and gather the necessary evidence to support your argument to the VA. The lawyer can also file any appeals you may need in order to receive the benefits you deserve.

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 a benefit of the Equal Access to Justice Act. The percentage of retroactive past-due benefits that your lawyer will be paid should be clearly outlined in your fee agreement. A fee agreement may stipulate that, for example, the government will pay the attorney 20% of retroactive benefits. Any additional amounts are your to pay.

Can I Garnish My VA Benefits?

The VA provides monthly compensation to disabled veterans. The purpose of the payments is to alleviate some of the effects of disability, illness or injuries incurred during or aggravated due to a veteran's military service. Like other income sources, benefits for veterans with disabilities are subject to garnishment.

Garnishment allows a court order that an employer or a government agency withhold money from the pay of a person who has a debt and send it directly to a creditor. In the event of a divorce, garnishment could be used to pay spousal or child support or child support.

However, there are a few circumstances where a veteran's disability benefits may be refunded. The most frequent is the veteran who has waived his military retirement to receive disability compensation. In these situations the part of pension that is allocated to disability compensation can be garnished to pay for family support obligations.

In other circumstances it is possible for a veteran's benefits to be garnished to pay for medical expenses or past due federal student loans. In these cases the court might be able to direct the case to the VA to get the required information. It is essential for a disabled veteran to hire a knowledgeable attorney to ensure that their disability benefits aren't removed. This will help them avoid having to rely on payday loans or private loans. lenders.

Can I Represent Myself in a Divorce Case?

VA disability settlements can be an enormous assistance to veterans disability law firms and their families, however they do come with their own set of complications. For example, if a veteran gets divorced and receives a VA disability settlement, they should know what this means for the benefits they receive.

In this regard one of the major issues is whether or not disability payments are considered assets which can be divided in a divorce. The issue has been resolved in a variety of ways. A Colorado court of appeals decision determined that VA disability payments were not property and therefore could not be divided in this way. The U.S. Supreme Court ruled in Howell that garnishing a veteran's VA disability payments for an alimony payment was a violation of USFSPA.

Another concern with this subject is how disability benefits are interpreted in the context of child maintenance and support. Both the USFSPA, and the Supreme Court, prohibit states from claiming disability benefits as income. However, some states have adopted a different approach. Colorado for instance adds all sources of income together to determine the amount required to support a spouse. The state then adds disability income to account for their tax-free status.

Finally, it is important for veterans to understand how their disability benefits will be affected if they get divorced and how their ex-spouses can be able to garnish their compensation. By being aware of these issues, vets can ensure their compensation as well as avoid unintended consequences.