Veterans Could Keep More of Their Disability Checks Under New Bills
Summary
Two new bills in the U.S. Senate aim to help military veterans keep more of their disability payments from the Department of Veterans Affairs (VA). The bills address rules that require veterans who received separation pay to repay it by reducing or limiting how much the VA can withhold from their monthly disability benefits.Key Facts
- Veterans who leave the military involuntarily may receive separation pay, a lump sum based on time served.
- VA disability payments provide monthly financial support to veterans with service-related health issues.
- Currently, if a veteran received separation pay, the VA reduces their disability benefits until the separation pay is repaid.
- Senator Ruben Gallego’s bill would stop the VA from taking disability payments to recover separation pay.
- Gallego’s bill also changes repayment rules for veterans who qualify for military retirement pay.
- Senator Jim Risch’s bill keeps the repayment rule but limits monthly withholding to 25% of disability payments.
- Both bills aim to help veterans keep more of their monthly benefits and ease financial pressure.
- The bills were introduced in early August 2024 and have bipartisan support.
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