How Will Retirement Affect My VA Disability Benefits?

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How Will Retirement Affect My VA Disability Benefits?

If you receive VA disability benefits and are nearing retirement, it’s prudent to consider how this transition will affect your benefits. While retirees may continue receiving their benefits, it’s important to know what retirement is likely to mean for you – in relation to your benefits and in your unique situation. Reaching out to consult with an experienced Illinois VA disability benefits attorney can provide you with the peace of mind you’re looking for – and if you do stand to lose benefits, having legal guidance can help ensure that you do what you can to secure them. 

Total Disability Individual Unemployability

If you receive benefits related to total disability individual unemployability (TDIU), it means that you’re unable to either obtain or maintain gainful employment as a result of an injury or illness that is connected to your service. TDIU benefits are comparable to a 100 percent VA disability rating

Receiving TDIU benefits does not bar you from also receiving Social Security retirement benefits or Social Security disability insurance (SSDI). 

Permanent and Total Disability Benefits

A permanent and total disability – P&T – rating is only implemented when the vet’s service-connected injury or illness is not expected to get better, and such a rating is protected from being downgraded in the future. This rating allows you to also seek Social Security retirement benefits – and to request that your application be expedited. 

Military Retirement Pay and Retirement Benefits

Those in the military who serve 20 or more years are entitled to military retirement that is based on the number of years served and is calculated at 2.5 times the highest basic pay received over 36 months. While VA pensions and disability benefits are not taxed, military retirement benefits are. Receiving military retirement pay does not bar you from concurrently receiving Social Security benefits. It’s also possible to receive both VA disability compensation and military retirement pay.

Concurrent Retirement and Disability Pay (CRDP)

Concurrent retirement and disability pay (CRDP) refers to a payment program that restores some or all of some retirees’ disability offset. Those who may be eligible include:

  • Veteran retirees with at least 20 years of service and a VA disability rating of at least 50 percent
  • Veteran reserve retirees who have 20 qualifying years of service, who have a VA disability rating of at least 50 percent, and who have reached the reservist retirement age of 60 – or younger for those with specific amounts of active service

When it comes to VA disability benefits and retirement, in other words, it’s complicated, and working closely with a knowledgeable Illinois VA disability benefits attorney is in your best interest. 

An Experienced Illinois VA Disability Benefits Attorney Can Help

James R. Comerford at The Comerford Law Office – Illinois is a compassionate veterans disability benefits attorney who takes great pride in helping veterans like you obtain fair benefits – and keep them. Protecting your retirement resources is important to your future, so please don’t hesitate to contact us for more information today.  

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