How a Veterans Disability Settlement Can Affect a Divorce Case

Jim’s client, a 58-year-old man is permanently disabled due to his military service. He receives a monthly Pension benefit from the Department of Veterans Affairs.

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

Can I Get Compensation for an accident?

If you’ve served in the military, and are permanently disabled because of injuries or illnesses, you may be eligible for a veterans disability settlement. This settlement can allow you to get compensation for medical bills, lost wages and other expenses that result from your illness or injury. The type of settlement you can receive will depend on whether your injury or illness is related to service, what VA benefits you are eligible for, and the amount you will need to treat your accident or injury.

Jim, a 58 year veteran of Vietnam was diagnosed with permanent disabilities as a result of 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 which provides cash and medical treatment for free that is based on financial need. He wants to learn how a personal injury lawsuit can affect his ability to benefit from this benefit.

The answer will depend 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 rather than as a single payment, and the amount paid by the defendant is used to offset any existing VA benefits. In contrast, a lump sum payment will likely affect any existing benefits because the VA considers it income and greensboro veterans disability law firm will annualize it. If Jim has excess assets after the settlement is annualized the applicant can apply again to be eligible for the pension benefit. However his assets must be under a limit that the VA has determined to be a financial necessity.

Do I require an attorney?

Many service members, spouses and former spouses are confused about VA disability compensation and the impact it has on the financial aspects of divorce cases. Some people believe, among other things, that the Department of veterans disability attorney Affairs compensation payments are split like military retirements in a divorce case or that they’re “off limits” when calculating child support and Alimony. These misconceptions could lead serious financial errors.

While it is possible to do an initial claim for disability benefits on your own, the majority of disabled veterans get the assistance of a skilled lawyer. A skilled veteran’s disability lawyer 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 make any appeals you require to receive the benefits you’re entitled to.

Furthermore, the majority of VA disability lawyers do not charge fees for consultations. The government will also pay the lawyer directly from your amount of retroactive benefits. This is one of the benefits of the Equal Access to Justice Act. The amount of retroactive past-due benefits your lawyer will be paid should be clearly outlined in your fee agreement. For instance the fee agreement could state that the government will pay the attorney up to 20% of the retroactive benefits or award. You will be accountable for any additional amount.

Can I Garnish My VA Benefits?

If a disabled veteran is granted compensation from the VA the compensation is paid in the form of monthly payments. These payments are designed to help offset the impact of diseases, injuries or disabilities that were suffered or aggravated during a veteran’s time of service. As with all income, veterans disability benefits are subject to garnishment.

Garnishment is a legal action that allows a court to require an employer or government agency to take money from the pay of someone who owes money, and then send them directly to a creditor. In the case of divorce, garnishment could be used to pay spousal maintenance or child support.

However, there are a few situations where disability benefits can be garnished. The most common scenario is that of a veteran who renounced his retirement from the military in order to receive disability compensation. In these cases the amount of pension that is devoted to disability compensation can be garnished to meet family support obligations.

In other circumstances, veteran’s benefits can also be seized in order to pay medical expenses or federal student loans that are over due. In these cases a court may be able to directly to the VA to get the required information. It is important for a disabled veteran to work with a reputable attorney to ensure that their disability benefits aren’t removed. This will allow them to avoid having to depend on private loans and payday lenders.

Can I Represent Myself in a Divorce Case?

VA disability settlements can be a huge assistance to veterans and their families. However they also come with their own set complications. For example in the event that a veteran gets divorced and receives a VA disability settlement, they should be aware of what effect this will have on their benefits.

One of the major issues in this context is whether disability payments are considered to be divisible assets in divorce. This question has been addressed in two ways. A Colorado court of appeals ruling found that VA disability payments were not property and could not be divided this manner. The other way is by the U.S. Supreme Court ruling in Howell that ruled that garnishing a veteran’s VA disability benefits to pay for the payment of alimony is in violation of the Uniformed Services Former Spouses Protection Act (USFSPA).

Another concern with this topic is the treatment of disability benefits for child support and maintenance. Both the USFSPA and the Supreme Court, prohibit states from utilizing disability benefits as income. Certain states take a different approach. Colorado for instance, adds all sources of income together to determine the amount needed to support a spouse. The state then adds disability benefits in order to account for their tax-free status.

It is also important that Greensboro Veterans disability law firm understand how their disability benefits will be affected if they become divorced and how their ex-spouses can garnish their compensation. By being knowledgeable about these issues, veterans can protect their income and avoid unwanted consequences.