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 is able to receive a monthly pension from the Department of Veterans Affairs.
He would like to find out if a verdict from a jury will affect his VA benefits. It won't. It will, however, affect the income sources of his other income sources.
Can I get compensation in the event of an accident?
If you've been in the military, and are permanently disabled due to injuries or illnesses, you may be eligible for a veterans disability settlement. This settlement will allow you to receive compensation for your medical bills, lost wages, and other expenses related to your illness or injury. The type of settlement that you are eligible for will depend on whether or not your illness or injury is service-related, what VA benefits you are eligible for, as well as the cost to treat your injury or accident.
For example, Jim is a 58-year old veteran who was diagnosed with permanent disabilities based on two years of service during the Vietnam War. He hasn't got enough work space to be eligible for Social Security disability benefits but he does have a VA Pension benefit which provides cash and free medical assistance dependent on financial need. He wants to understand how a personal injuries settlement can affect his ability to be eligible for this benefit.
The answer is dependent on whether the settlement is a lump-sum or a structured one. Structured settlements are the ones that are paid over a time period rather than in a single payment and the amount received by the defendant is used to offset any existing VA benefits. However, a lump sum payment will likely affect any existing benefits because the VA considers it a tax-deductible income and will annually increase it. In the event that there are any excess assets remain after the twelve month period after the settlement is annually recalculated, Jim could reapply for the Pension benefit, but only if his assets are below a threshold that the VA is able to agree establishes financial need.
Do I need to employ an attorney?
Many spouses, service members and former spouses are confused about VA disability compensation and its impact on money issues in a divorce case. Some people believe, for instance, that the Department of Bucyrus veterans Disability lawyer Affairs compensation payments can be split as an army retirement in divorce cases, or that they're "off limits" when it comes to calculating child support and alimony. These misconceptions could lead to financial mistakes that have serious consequences.
It is possible to file a claim for disability benefits on your own however, the majority of disabled veterans would benefit from the assistance of a skilled lawyer. An experienced veteran's disability lawyer will examine your medical documents and gather the required evidence needed to build a strong argument to the VA. The lawyer can also file any appeals you may need in order to get the benefits you are entitled to.
In addition, the majority of VA disability lawyers don't charge fees for consultations. Additionally that the lawyer will normally be paid by the government directly out of the retroactive past-due benefits. This is an advantage of the Equal Access to Justice Act. The fee agreement should clearly define the amount of retroactive benefits to be paid to your lawyer. For instance the fee agreement could stipulate that the government will pay the attorney up to 20% of retroactive benefits or award. You will be responsible for any additional costs.
Can I Garnish My VA Benefits?
When disabled veterans receive compensation from the VA it is in the form of monthly payments. The payments are meant to compensate for some of the effects of disabilities, diseases or injuries sustained or aggravated due to a veteran's military service. Like all incomes, pittsburg veterans disability lawsuit disability benefits are subject to garnishment.
Garnishment is a legal action that permits a court to require an employer or government agency to take money from the pay of someone who is in debt and to send them directly to a creditor. In the event of a divorce garnishment may be used to pay child or spousal maintenance.
However, there are some circumstances where a veteran's disability benefits are able to be refunded. The most common scenario is a veteran who waived their military retirement to get disability compensation. In these situations the part of pension that is allocated to disability payments can be garnished to pay for family support obligations.
In other cases it is possible for a veteran's benefits to be seized to pay medical expenses or past due federal student loans. In these cases the court could go directly to the VA for the information they require. The disabled veteran should consult an experienced lawyer to protect their disability benefits. This will prevent them from having to depend on payday loans or private loans. lenders.
Can I Represent Myself in a Divorce Case?
VA disability settlements can be a big benefit for veterans and their families, but they come with their own set-of complications. If a veteran gets divorced and receives a VA settlement, he or she should be aware of the implications to the benefits they receive.
A major issue in this context is whether or not disability payments count as divisible assets in a divorce. This question has been addressed in two ways. A Colorado court of appeals decision declared that VA disability payments were not property and therefore could not be divided in this manner. The U.S. Supreme Court ruled in Howell, that garnishing a veteran’s VA disability benefits for Alimony was against the USFSPA.
Another issue related to this topic is how the disability benefits are interpreted to determine child maintenance and support. Both the USFSPA and the Supreme Court, prohibit states from counting disability benefits as income. Some states have different approaches. Colorado is one example. It adds all income sources together to determine the amount required to support a spouse. It then adds disability payments in order to account for their tax-free status.
In the end, it is crucial for berthoud veterans disability lawyer to be aware of how their disability benefits will be affected if they get divorced and how their ex-spouses may take advantage of their benefits. By being informed about these issues, vets can protect their income as well as avoid any unintended consequences.