What Is The Difference Between Va Compensation And Va Pension

VA compensation or more accurately service-related disability compensation is a monthly amount paid directly to your bank account based on the severity of an.

What is the difference between va compensation and va pension. This is the reason the examination is called a Compensation and Pension Examination CP or a Comp Pen Exam. But this is not true in all cases. Standard VA Disability Compensation does not take into account income when awarding benefits. While the VA is designed to be user friendly and claims can be made on your own you may wish to receive assistance in applying for VA benefits.

Compensation and pension are two helpful but very different ways a disabled veteran and his or her family can offset the costs of medical care prescriptions and loss of income due to an injury or disease but its important to know and understand the differences in the two benefits. A Veteran can apply for Compensation or Pension because both are based on disability. Pension is a needs-based program similar to supplemental Social Security Income SSI. For more information about the application process and where you can get help visit How to File a Disability Claim.

Disability severance pay from the military is granted for a disability received. Pension is a needs-based program. The difference between a disability rating of 40 and 50 can literally mean a difference of thousands of dollars per year because the difference comes in the form of the increased disability compensation at the higher rate along with the full military pension that is not offset by the concurrent receipt laws. It is the program that provides monthly compensation to any veteran that has an illness or injury resulting from the veterans service.

To be eligible for pension benefits a veteran must have wartime service low income and total and permanent disability. Even if you waive your DOD pay you and your dependents will still receive medical benefits from the DOD as long as your disability has been rated at least 30. Remember if you are not currently receiving VA pension benefits you must attach a completed application to VA Form 21-2680. It is important to note that the total and permanent disability does not.

The simplest explanation is that VA compensation is a benefit paid on the basis of the kind and severity of a disability that happened as a result of your active duty in military service. Disability for pensions purposes does not need to be connected to military service. If you qualify for Veterans Pension benefits the amount you get will be based on the difference between your countable income and a limit that Congress sets called the Maximum Annual Pension Rate or MAPR. Though disability is a factor in eligibility for VA Pension benefits your disability does not have to be service connected.

Mail or fax the form your form and documentation to the Pension Management Center serving your state. Thus VA Disability Compensation is also considered in calculating a veterans yearly family income for purposes of the VA Pension. Instead of a percentage amount they are paid in a flat amount and veterans benefits pension is offset by other income dollar-for-dollar. This veteran is likely eligible for service connected disability compensation.

For a full explanation of severance pay from the military versus compensation from the VA please refer to 38 USC 37003 for the legislative rules governing these differences. To be eligible for Pension benefits a Veteran must have wartime service low income and total and permanent disability. VA pension is a benefit paid on the basis of a disability that was not a result of active service in the military or because of age. These disability claims payments are substantially less than compensation payments and are only available to certain veterans such as individuals who served during a period of war.

Compensation rates are based on level of disability whereas pension rates are based on income level. Since disability compensation does not get taxed and retirement pay does it often makes sense to waive the DOD pay and accept the VA compensation. A quick explanation of how VA compensation versus severance disability works is this. The Difference Between the VA Special Monthly Pension and VA Disability Compensation- Cleveland Elder Law Attorney Most veterans are familiar with the VA Disability Compensation program.