How a
Veterans Disability law firms 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 Affairs.
He wants to know how a jury award will impact his VA benefits. It will not. It will, however, have an impact on the income sources of his other income sources.
Do I have the right to receive compensation for an accident?
If you've served in the military and are permanently disabled as a result of injuries or illnesses, you could be eligible for a veteran disability settlement. This settlement could help you get compensation for medical bills, lost wages and other costs resulting from your illness or injury. The kind of settlement you can get depends on whether or not your health condition is non-service connected, which VA benefits you are eligible for, and what your injury or accident will cost to treat.
Jim, a 58-year veteran of Vietnam was diagnosed with permanent disabilities due to his two years of service. He doesn't have enough work space to qualify for Social Security Disability benefits, however, he is able to claim the VA Pension which offers free medical care and cash dependent on the amount of money he needs. He wants to learn how a personal injury settlement could affect his eligibility to receive this benefit.
The answer is dependent on whether the settlement is in the form of either a lump sum or structured settlement. Structured settlements involve installments over time, rather than one payment. The amount paid by defendant is calculated to offset existing VA benefits. A lump sum payment can affect any existing VA benefits since the VA will annualize and consider it to be income. If Jim has surplus assets after the settlement is annualized and he wants to reapply, he will be eligible for the pension benefit. However his assets must be below a minimum threshold that the VA has agreed establishes financial necessity.
Do I need to hire an attorney?
Many spouses, service members and former spouses are confused about VA disability compensation and the impact it has on money issues in divorce cases. Some people believe that the Department of
veterans disability law firm Affairs' compensation payments can be split like a pension from a military service in divorce or are "off limits" in the calculation of child support and alimony. These misconceptions can lead to grave financial errors.
It is possible to file an application for disability benefits by yourself however, the majority of disabled veterans would benefit from the assistance of a qualified lawyer. A veteran's disability lawyer who is experienced will examine your medical documents and gather the required evidence to present a strong argument to the VA. The lawyer will also be able to submit any appeals you require to obtain the benefits you're entitled.
Most VA disability lawyers don't charge for consultations. In addition that the lawyer will normally be paid by the government directly from the retroactive past-due benefits. This is a benefit of the Equal Access to Justice Act. The fee agreement should clearly specify the percentage of retroactive benefits to be paid to your lawyer. For example, a fee agreement can provide that the government can pay the attorney up to 20% of the retroactive benefits or award. Any additional amount is your obligation.
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 meant to compensate for some of the effects of diseases, disabilities, or injuries sustained during or aggravated by the veteran's military service. Like all incomes, veterans disability benefits can be subject to garnishment.
Garnishment can be a legal proceeding which allows a court require an employer or government agency to withhold funds from the pay of an employee who owes money, and then send them directly to a creditor. In the event of a divorce garnishment may be used to pay child or spousal care.
However, there are a few situations where disability benefits could be garnished. Most often, it is the case of a veteran who renounced his retirement from the military in order to receive disability compensation. In these instances, the portion of pension that is devoted to disability payments can be garnished in order to meet family support obligations.
In other situations, veteran's benefits could be seized in order to cover medical expenses or federal student loans that are over due. In these cases a court may be able to directly to the VA to obtain the necessary information. It is essential for disabled veterans to retain a knowledgeable lawyer to ensure that their disability benefits are not garnished. This will prevent them from being forced to rely on payday and private loan lenders.
Can I Represent Myself in a Divorce Case?
VA disability settlements are a tremendous help to veterans and their families. However, they come with certain complications. If a veteran gets divorced and receives an VA settlement it is important to be aware of the implications to the benefits they receive.
One of the major issues in this regard is whether or not disability benefits are considered divisible assets in a divorce. This question has been resolved in two ways. A Colorado court of appeals ruling determined that VA disability payments were not property and therefore could not be divided in this manner. Another option is the U.S. Supreme Court ruling in Howell that ruled that garnishing a veteran's VA disability benefits to pay for an alimony payment is a violation of the Uniformed Services Former Spouses Protection Act (USFSPA).
Another concern related to this issue is the handling of disability benefits for child support and maintenance. The USFSPA and the Supreme Court both forbid states from claiming disability benefits as income for these purposes. Certain states take different approaches. 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 into the fact that they are tax-free.
Finally, it is important for
veterans disability law firm to understand how their disability compensation will be affected if they are divorced and how their ex-spouses can affect their compensation. If they are aware of these issues, veterans can ensure the security of their earnings and avoid any unintended consequences.