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How a Veterans Disability Settlement Can Affect a Divorce Case
Jim's 58 year old client is permanently disabled from his time in the military. He gets a monthly pension from the Department of veterans disability law firm Affairs.
He would like to know how an award from a jury will affect his VA benefits. It will not. But it will have some impact on the other sources of income he has.
Can I claim compensation for an accident?
You may be eligible to receive a settlement if you were a soldier but are now permanently disabled because of injuries or illnesses. This settlement will help pay you for medical bills, lost income and other costs that resulted from your illness or injury. The kind of settlement you'll receive will depend on whether your health condition is non-service connected, what VA benefits you qualify for, and the amount your injury or accident will cost to treat.
Jim, a 58 year veteran of the Vietnam war, was diagnosed as having permanent disabilities because of his two years of service. He does not have enough working space to be eligible for Social Security disability benefits but the VA Pension benefit that offers cash and medical treatment for free based on financial need. He would like to know if a personal injury settlement will affect his ability to be eligible for this benefit.
The answer depends on if the settlement is a lump sum or a structured one. Structured settlements involve the payment of over time instead of one payment. The amount paid by the defendant is calculated to offset the existing VA benefits. However, a lump sum payout is likely to affect any existing benefits because the VA considers it to be income and will annually calculate it. If Jim has excess assets after the settlement is annualized, he can reapply to be eligible for the pension benefit. However the assets must 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 payments and their impact on money issues during a divorce. There are many other reasons, but some people believe that the Department of Veterans Affairs' compensation payments are able to be divided as a military pension in divorce or are "off limits" when it comes to calculation of child support and Alimony. These misconceptions can result in financial mistakes that have serious consequences.
It is possible to submit a claim for disability benefits by yourself, but most disabled veterans would require the help from a competent lawyer. A skilled veteran's disability lawyer will review your medical documents and gather the necessary evidence needed to build a strong argument to the VA. The lawyer can also help to submit any appeals you require to receive the benefits you're entitled to.
Most VA disability lawyers don't charge for consultations. The government will also pay the lawyer directly from the benefit of retroactive benefits. This is a benefit of the Equal Access to Justice Act. Your fee agreement should specify clearly the amount of retroactive benefits to be paid to your lawyer. For example the fee agreement could specify that the government will pay the lawyer up to 20% of retroactive benefits or pay. You are responsible for any additional costs.
Can I Garnish My VA Benefits?
The VA pays a monthly amount of 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 during a veteran's military service. As with all income, veterans disability benefits can be subject to garnishment.
Garnishment can be a legal proceeding which allows a court order an employer or government agency to omit funds from the pay of an employee who is in debt and to send them directly to a creditor. In the event of a divorce, garnishment can be used to pay spousal maintenance or child support.
However, there are some situations where disability benefits can be garnished. The most common scenario involves veterans who have waived their military retirement in order to claim disability compensation. In these instances, the portion of pension that is devoted to disability payments can be garnished to cover the obligations of family support.
In other instances it is possible for a veteran's benefits to be seized to pay medical expenses or past due federal student loans. In these instances a judge can refer a case directly to the VA for the information they need. It is crucial for a disabled veteran to hire a knowledgeable attorney to ensure that their disability benefits aren't garnished. This can help them avoid having to rely 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, but they don't come without their own set-of complications. For example when a veteran is divorced and is awarded a VA disability settlement, they should know how this could affect their benefits.
In this context the most important question is whether or not disability payments are considered assets that could be divided during a divorce. This question has been resolved in a couple of ways. A Colorado court of appeals ruling determined that VA disability payments were not property and could not be divided in this way. The U.S. Supreme Court ruled in Howell that garnishing a veteran’s VA disability benefits for the purpose of alimony was in violation of USFSPA.
Another issue related to this subject is how disability benefits are interpreted for purposes of child maintenance and support. Both the USFSPA and the Supreme Court, prohibit states from counting disability benefits as income. However, some states have taken different approaches. For instance, Colorado adds up all sources of income to determine how much in support a spouse will need and then adds the disability payments to take into account that they are tax-free.
Finally, it is important for veterans to be aware of how their disability compensation will be affected if they are divorced and how their ex-spouses can affect their compensation. By being aware of these issues, vets can protect their income as well as avoid any unintended consequences.
Jim's 58 year old client is permanently disabled from his time in the military. He gets a monthly pension from the Department of veterans disability law firm Affairs.
He would like to know how an award from a jury will affect his VA benefits. It will not. But it will have some impact on the other sources of income he has.
Can I claim compensation for an accident?
You may be eligible to receive a settlement if you were a soldier but are now permanently disabled because of injuries or illnesses. This settlement will help pay you for medical bills, lost income and other costs that resulted from your illness or injury. The kind of settlement you'll receive will depend on whether your health condition is non-service connected, what VA benefits you qualify for, and the amount your injury or accident will cost to treat.
Jim, a 58 year veteran of the Vietnam war, was diagnosed as having permanent disabilities because of his two years of service. He does not have enough working space to be eligible for Social Security disability benefits but the VA Pension benefit that offers cash and medical treatment for free based on financial need. He would like to know if a personal injury settlement will affect his ability to be eligible for this benefit.
The answer depends on if the settlement is a lump sum or a structured one. Structured settlements involve the payment of over time instead of one payment. The amount paid by the defendant is calculated to offset the existing VA benefits. However, a lump sum payout is likely to affect any existing benefits because the VA considers it to be income and will annually calculate it. If Jim has excess assets after the settlement is annualized, he can reapply to be eligible for the pension benefit. However the assets must 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 payments and their impact on money issues during a divorce. There are many other reasons, but some people believe that the Department of Veterans Affairs' compensation payments are able to be divided as a military pension in divorce or are "off limits" when it comes to calculation of child support and Alimony. These misconceptions can result in financial mistakes that have serious consequences.
It is possible to submit a claim for disability benefits by yourself, but most disabled veterans would require the help from a competent lawyer. A skilled veteran's disability lawyer will review your medical documents and gather the necessary evidence needed to build a strong argument to the VA. The lawyer can also help to submit any appeals you require to receive the benefits you're entitled to.
Most VA disability lawyers don't charge for consultations. The government will also pay the lawyer directly from the benefit of retroactive benefits. This is a benefit of the Equal Access to Justice Act. Your fee agreement should specify clearly the amount of retroactive benefits to be paid to your lawyer. For example the fee agreement could specify that the government will pay the lawyer up to 20% of retroactive benefits or pay. You are responsible for any additional costs.
Can I Garnish My VA Benefits?
The VA pays a monthly amount of 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 during a veteran's military service. As with all income, veterans disability benefits can be subject to garnishment.
Garnishment can be a legal proceeding which allows a court order an employer or government agency to omit funds from the pay of an employee who is in debt and to send them directly to a creditor. In the event of a divorce, garnishment can be used to pay spousal maintenance or child support.
However, there are some situations where disability benefits can be garnished. The most common scenario involves veterans who have waived their military retirement in order to claim disability compensation. In these instances, the portion of pension that is devoted to disability payments can be garnished to cover the obligations of family support.
In other instances it is possible for a veteran's benefits to be seized to pay medical expenses or past due federal student loans. In these instances a judge can refer a case directly to the VA for the information they need. It is crucial for a disabled veteran to hire a knowledgeable attorney to ensure that their disability benefits aren't garnished. This can help them avoid having to rely 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, but they don't come without their own set-of complications. For example when a veteran is divorced and is awarded a VA disability settlement, they should know how this could affect their benefits.
In this context the most important question is whether or not disability payments are considered assets that could be divided during a divorce. This question has been resolved in a couple of ways. A Colorado court of appeals ruling determined that VA disability payments were not property and could not be divided in this way. The U.S. Supreme Court ruled in Howell that garnishing a veteran’s VA disability benefits for the purpose of alimony was in violation of USFSPA.
Another issue related to this subject is how disability benefits are interpreted for purposes of child maintenance and support. Both the USFSPA and the Supreme Court, prohibit states from counting disability benefits as income. However, some states have taken different approaches. For instance, Colorado adds up all sources of income to determine how much in support a spouse will need and then adds the disability payments to take into account that they are tax-free.
Finally, it is important for veterans to be aware of how their disability compensation will be affected if they are divorced and how their ex-spouses can affect their compensation. By being aware of these issues, vets can protect their income as well as avoid any unintended consequences.
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