Veterans Could Keep More of Their Disability Checks Under New Bills
Some veterans see their disability checks reduced as the government recoups separation payments from when they left the military.
Two new Senate bills introduced aim to improve the financial situation of veterans receiving both military separation pay and disability benefits from the Department of Veterans Affairs (VA). One bill by Senator Ruben Gallego of Arizona would prevent recoupment of separation pay from VA disability benefits, acknowledging that these two types of compensation address different issues.
The other bill by Senator Jim Risch of Idaho would limit monthly deductions from VA disability payments, allowing veterans to retain more of their benefits. Both measures respond to the current situation where veterans who have received involuntary separation pay and later qualify for VA disability compensation could see their monthly payments reduced until the separation pay has been recovered.
Gallego's proposal would stop this recoupment entirely, while Risch's bill would cap monthly deductions at 25% of the veteran's disability compensation.
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