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How a Veterans Disability Settlement Can Affect a Divorce Case

Jim's client, a 58-year-old man, is permanently disabled as a result of his military service. He receives a monthly pension benefit from the Department of Veterans Affairs.

He would like to be aware of whether a verdict by a jury will affect his VA benefits. It won't. It will, however, have an impact on his other income sources.

Can I receive compensation for an accident?

You could 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 assist in compensating you for medical expenses, lost income and other expenses that resulted from your illness or injury. The type of settlement you are eligible for will depend on whether your illness or injury is a result of a service connection, the VA benefits you are eligible for, as well as the cost to treat your accident or injury.

For instance, Jim is a 58-year veteran who was diagnosed with permanent disabilities from two years of service during the Vietnam War. He does not have enough work space to be eligible for Social Security disability benefits but He does have a VA Pension benefit that provides cash and free medical assistance that is based on financial need. He wants to know if a personal injury settlement will affect his ability to get this benefit.

The answer is contingent upon whether the settlement is in the form of either a lump sum or structured settlement. Structured settlements are those that are made over a period of time rather than in a single payment, and the amount paid by the defendant is used to offset any existing VA benefits. A lump sum settlement will probably affect any existing benefits because the VA considers it a tax-deductible income and will annually increase it. If Jim has excess assets after the settlement is annualized then he is eligible to receive the Pension benefit. However the assets he has to be under a limit 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 financial issues during a divorce. Some people believe, for instance, that Department of Veterans Affairs compensation payments are split like a military retirement in a divorce case or that they're "off limits" in calculating child support and Vimeo Alimony. These misconceptions can lead to grave financial errors.

It is possible to submit an application for disability benefits yourself however, the majority of disabled scappoose veterans disability lawsuit (vimeo.com) will require the help of a professional lawyer. A disability attorney for veterans can examine your medical records in order to gather the evidence needed to prove your case to the VA. The lawyer can also help to submit any appeals you require to receive the benefits you are entitled to.

Most VA disability lawyers do not charge for consultations. The government also pays the lawyer directly from the award of retroactive benefits. This is a benefit of the Equal Access to Justice Act. The amount of retroactive past due benefits that your lawyer will receive must be specified in your fee agreement. For instance your fee agreement may stipulate that the government will pay the attorney up to 20% of retroactive benefits or give. Any additional amounts are your to pay.

Can I Garnish My VA Benefits?

The VA pays a monthly amount of compensation to disabled veterans. The funds are intended to help offset the effects of diseases, disabilities or injuries incurred during or aggravated during a veteran's military service. The benefits for veterans' disability are subject to garnishment, as is any other income.

Garnishment is a legal process that allows a court to require an employer or government agency to deduct funds from the pay of an employee who is in debt and to send them directly to the creditor. In the event of divorce, garnishment can be used for child or spousal care.

However, there are a few situations in which a veteran's disability benefits are able to be repaid. The most frequent is the veteran who has renounced his military retirement in order to receive disability compensation. In these cases, the amount of pension apportioned to disability pay can be garnished to pay family support obligations.

In other instances, a veteran's benefits can be garnished to pay for medical expenses or past-due federal student loans. In these cases, a court can go directly to the VA to obtain the information they require. It is crucial for a disabled veteran to find a competent lawyer to ensure that their disability benefits are not garnished. This can help them avoid being forced to rely on payday and private loan lenders.

Can I Represent Myself in a Divorce Case?

VA disability settlements can be a huge aid to coalinga veterans disability lawyer and their families, but they do come with their own set of complications. If a veteran divorces and receives a VA settlement then they must know what this will do to their benefits.

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

Another concern that is related to this topic is how the disability benefits are treated in the context of child maintenance and support. The USFSPA and the Supreme Court both forbid states from counting disability benefits as income to be used for this purpose. Certain states take different methods. Colorado for instance, adds all income sources together to determine the amount required to support a spouse. The state then adds disability income to reflect their tax-free status.

It is also crucial that edna veterans disability attorney understand how divorce will affect their disability benefits and how their spouses who divorced could take advantage of their compensation. By being informed about these issues, vets can protect their compensation as well as avoid the unintended consequences.