Does The VA Pay Retroactively To The Disability Date?

Applying for VA disability benefits involves a lot of paperwork, time, and moving targets. Many veterans become frustrated with the difficulty, the length of time it takes, and the dead ends they encounter. But there are a few bright spots.

Does The VA Pay Retroactively To The Disability Date?

The VA has streamlined a few processes that are intended to help alleviate the backlog of claims. The “Fully Developed Claim” is one, and it increases the veteran’s involvement in his or her application. The VA also created “Disability Back Pay,” allowing a retroactive lump-sum payment for the time you spent waiting for your benefit claim to be active. Before you start your application, though, there are a few things you need to understand about receiving benefits and back pay.

Determining The “Effective Date” To Receive Pay Retroactively

The VA will pay benefits and back pay retroactively, according to your “effective date.” The date is established by the later of these two dates:

• The date your entitlement began, or
• The date the VA receives your application

The first criteria of the effective date is when a veteran is treated for a condition, and when the VA should have started paying you.

If your application is within the first year after your service separation, the eligibility date is your date of separation. Disability Back Pay will then be paid retroactively to that date. If you are planning to file a claim, you should do so as soon as possible after you leave the military (if not before, since it takes a lot of time.) Don’t wait until the last minute! When your claim is approved, your back pay will be paid to the date of separation.

If your application is more than a year after service separation, even by one day, the effective date will be the date it’s received by the VA. Your retroactive back pay will only amount to the time since your application was submitted. This usually occurs when a veteran develops a medical condition long after separation. By submitting your application a year after your separation date, you will lose an entire year of benefits.

If the VA makes an error, they will adjust your effective date to where it should have been.

If The VA Denies Your Claim

Once you receive your denial letter, you will have one year to file a Notice of Disagreement with the VA. If you can supply additional evidence (i.e., newly discovered military medical reports) to support your claim, and your benefits are granted, your effective date should be the date of your original application, before the claims denial. An experienced attorney can help you formulate your appeal and help you submit it.

Get Started Now To Receive Pay Retroactively

You can informally notify the VA in writing that you plan to file a claim, giving you an earlier filing date than you would have had. You can use their Statement of Support, or write a letter stating your name, SSN and service dates. The VA will respond by sending you an application form, which must be filled out and returned within one year of your intent letter. If you don’t, you’ll lose the extra time you gained by notifying the VA of your impending claim.

Another Form Of Back Pay

While it doesn’t happen very often, you may occasionally receive additional back pay. If Congress changes the amount that a particular disability should be paid, you could receive an additional back pay disbursement, retroactive to your effective date. These funds would be the difference between what your disability paid you and the new amount of disability payments. Like the original back pay, you would receive it in a single lump-sum payment. You won’t need to apply for it—the VA will automatically process the back payment and send it to you.

You Don’t Have To Do This Alone

Herren Law has experience helping thousands of veterans navigate the VA’s difficult claims system, and we’re ready to help you do the same. Call us at (713) 682-8194, and we’ll discuss how we’ll work with you on your case. The consultation is free, and our contingency fee arrangement means you won’t owe us anything until you begin collecting benefits.

Can A Veteran Rated 100% P&T Work Part Time?

If you’ve been successful in getting VA disability benefits, you may discover that it isn’t enough. A part-time job may become necessary to supplement your income. But can you work? Will working, even part time, affect your monthly VA benefits?

It might. But there are a few things to think about before you start filling out job applications and going on interviews.

working part time as a disabled veteran can affect your benefits

What Is P&T?

This stands for “Permanent & Total,” meaning that you are permanently and totally disabled as a result of injuries or medical conditions you acquired during military service. In other words, you are unemployed or unable to maintain substantially gainful employment (full time, paying wages greater than poverty level) as a result of a service-connected medical condition(s) incurred on active duty.

Schedular or TDIU?

There are two types of ratings assigned to veterans—“Schedular” and Unemployability, or TDIU. These ratings indicate your ability to work at the level you held prior to the injury. The VA considers only service-connected disabilities as the reason a veteran can’t be employed.

Schedular

Known as the Schedule of Ratings, or the VA Impairment Rating Tables, these are used to rate a veteran’s ability to return to work. You may be rated at 100% if you received a 60% or more rating from the Schedule, whether for a single disability, or for two or more that add up to at least 70%, creating a 100% disruption in your ability to generate an income. Even though you may not be completely physically disabled, you are allowed to work and earn any amount of income without any impact to your VA benefits.

Schedular disability is not the same as the determination of disability that is used for SSDI (Social Security) benefits.

Total Disability/Individual Unemployability (TDIU)

This version of VA disability means that your rating inadequately compensates you in your ability to generate an income for the disability as it’s awarded.

You may be able to earn a “marginal” income, which is at or below the US poverty threshold (in 2017, it’s currently $12,331 for one individual under 65, and $11,367 over 65.) Should you exceed that “marginal” level, your VA benefits may be reviewed for reduction.

You can, however, earn more than a “marginal” income if you are in a “sheltered position.” This may mean one of three situations:

  • If you’re working in a family business in a “protected environment,” where an employer makes a special effort to employ a disabled individual
  • In a position where specific accommodations are made for you or anyone in the position
    • If the position was created or modified just for you, and the company would not hire a replacement if you left
  • If a similar company wouldn’t hire someone like you for the same job and the same work, such as a position created/modified just to hire you, i.e, offering flexible work scheduling for medical treatments

This rating is usually assigned to veterans with conditions that may be temporary and resolve with treatment.

Should the VA question your employment or reduce/eliminate your benefits, it may become necessary to request documentation from your employer to defend your position. Our attorneys are experienced in VA claims, and can help you through the process.

If The VA Denies Or Reduces Your Benefits

Call us immediately—you must appeal quickly or lose the opportunity. Our attorneys can work with you to file your appeal in the VA’s system to get you the benefits you deserve.

We’re Here To Help

This is just a brief overview of VA disability and working, and should not be considered a complete guide.

The Herren Law Firm has helped over 4,000 Houstonians get the disability and veteran’s benefits they deserve, and we’ll be happy to help you. Call us at (713) 682-8194 or (800) 529-7707 for a free consultation. We’ll talk with you about your case and let you know how we can help. Our contingency fee arrangement means you won’t owe us anything unless we win your case.