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 attorneys Affairs.

He wants to know how a jury award will impact his VA benefits. The answer is that it will not. However, it will have an impact on the other sources of income he has.

Can I Get Compensation for an accident?

You may be eligible to receive a settlement if you have served in the military, but are now permanently disabled because of injuries or illnesses. This settlement can help compensate you for medical expenses, lost income and other expenses resulting from your injury or sickness. 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 the amount your accident or injury will cost to treat.

Jim, a 58-year veteran of Vietnam, was diagnosed as having permanent disabilities because of his two years of service. Jim does not have enough space for work to be eligible for Social Security Disability benefits, however, he can claim an VA Pension that offers cash and medical care for free dependent on the amount of money he needs. He wants to be aware of how a personal injury settlement will affect his ability to get this benefit.

The answer will depend on whether the settlement is a lump-sum or a structured one. Structured settlements are payments made over a long period of time rather than a single payment, and the amount paid by the defendant is calculated to offset any existing VA benefits. A lump sum settlement can affect any existing VA benefits because the VA will annualize and consider it as income. In any event, if extra assets are left after the period of twelve months when the settlement has been annualized Jim could reapply for the Pension benefit, but only if his assets fall below a certain threshold that the VA is able to agree establishes financial need.

Do I need to hire an attorney?

Many service members, spouses and former spouses are confused about VA disability compensation and its effect on the financial aspects of a divorce case. Some people believe, for instance, that the Department of veterans disability compensation Affairs compensation payments can be divided like the military retirement in a divorce case or that they're "off limits" when calculating child support and alimony. These misconceptions may lead to grave financial errors.

While it is possible to file an initial claim for disability benefits by yourself, the majority of disabled veterans disability litigation get the assistance of an experienced lawyer. A veteran's disability attorney can examine your medical records to collect the evidence necessary to present a convincing case before 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 do not charge for consultations. The government will also pay the lawyer directly from the amount of retroactive benefits. This is one of the benefits of the Equal Access to Justice Act. The fee agreement should specify clearly the amount of retroactive benefits to be paid to your lawyer. A fee agreement could state for instance that the government will pay the attorney 20% of retroactive benefits. Any additional amounts will be your responsibility.

Can I Garnish My VA Benefits?

When a disabled veteran receives compensation from the VA, it comes in the form of monthly payments. The purpose of the payments is to alleviate the effects of diseases, injuries or disabilities that were suffered or aggravated by a veteran's service. Like all incomes, veterans disability lawyer disability benefits can be subject to garnishment.

Garnishment lets a court order that an employer or government agency deduct cash from the pay of an individual who owes the debt and pay it directly to a creditor. In the event of divorce, the garnishment could be used for child or spousal care.

There are some situations where a veteran's benefits can be garnished. The most frequent scenario involves the veteran who has waived their military retirement to get disability compensation. In these situations, the portion of the pension apportioned to disability pay can be garnished for family support obligations.

In other situations, a veteran's benefits can be withdrawn to cover medical expenses or past due federal student loans. In these instances the court can go directly to the VA to obtain the information they require. A disabled veteran should seek out an experienced attorney to secure their disability benefits. This will stop them from relying on payday lenders and private loans.

Can I Represent Myself in a Divorce Case?

VA disability settlements can be a huge help to veterans disability law as well as their families. However they also come with certain complications. If a veteran is divorced and receives a VA settlement then they must be aware of what this might do to the benefits they receive.

In this regard the most important question is whether disability payments are considered to be assets that can be divided in divorce. This question has been addressed in two ways. One is through an Colorado court of appeals decision which concluded that VA disability payments are not property, and therefore cannot be divided in that way. The U.S. Supreme Court ruled in Howell, that garnishing a veteran’s VA disability payments for the purpose of alimony was in violation of USFSPA.

Another concern relating to this issue is the handling of disability benefits to children for maintenance and support. The USFSPA and the Supreme Court both forbid states from claiming disability benefits as income to be used for Veterans Disability Settlement this purpose. Some states have a different approach. For instance, Colorado adds up all sources of income to determine the amount in support a spouse will need and then adds the disability benefits to take into the fact that they are tax-free.

It is also crucial to know how divorce will affect their disability compensation and how ex-spouses can garnish their compensation. By being aware of these issues, vets can protect their compensation as well as avoid unintended consequences.