Veterans who retire from the military can also qualify for VA disability benefits, and the first question is whether one payment reduces the other. Federal law provides two separate programs that let some retirees keep both. Which program applies depends on the disability rating and on how the injury happened.
Can I Receive Retired Pay and VA Disability Together?
Under 10 U.S.C. 1414, a member or former member of the uniformed services who is entitled to retired pay and who is also entitled to veterans’ disability compensation for a qualifying service-connected disability is entitled to be paid both for that month. The statute applies this rule without regard to sections 5304 and 5305 of title 38, the provisions that would otherwise limit receiving both.
The statute defines a qualifying disability as a service-connected disability, or a combination of disabilities, rated as not less than 50 percent disabling by the Secretary of Veterans Affairs.
Which Retirees Are Left Out?
Not every retiree qualifies. The statute excludes a member retired under chapter 61 of title 10, which covers disability retirement, with less than 20 years of service. Retirees in that group may qualify for the second program described below instead. Three points need confirming for the first program:
- The retiree is entitled to retired pay.
- The VA rating is at least 50 percent.
- The retirement was not a chapter 61 disability retirement with fewer than 20 years of service.
Reading the rating decision and the retirement paperwork together shows which side of those lines a retiree falls on, and a California VA disability compensation lawyer can do that review. Chapter 61 status can end the first-program analysis early.
Retirees rated below 50 percent whose conditions limit their ability to work may have another route to a higher rate, and a California VA TDIU lawyer can evaluate an unemployability claim. If the rate rises, the eligibility analysis changes.
What Is Combat-Related Special Compensation?
The second program, in 10 U.S.C. 1413a, pays combat-related special compensation to eligible retirees who elect it. The monthly amount equals the compensation the retiree is entitled to under title 38 for the combat-related disability, and it may not exceed the reduction in retired pay that would otherwise apply.
The disability must be compensable under VA law and either result from an injury for which the member received the Purple Heart or be incurred under Department of Defense criteria. Those criteria include a direct result of armed conflict, hazardous service, conditions simulating war, or an instrumentality of war.
Mental health conditions can fit that framework when the stressor came from combat, which is one reason a California VA PTSD lawyer may look at how a stressor is documented. A diagnosis alone does not make a disability combat-related, so the connection to combat has to be shown.
Can I Receive Both Programs?
No. The statute says a retiree who is eligible for both may receive special compensation under section 1413a or retired pay under section 1414, but not both. It also provides for an annual open season in which a retiree may elect to change from one to the other.
The better fit depends on the retiree’s rating and on whether any disability is combat-related. Someone with a rating below 50 percent cannot use the first program at all, while someone with a combat-related disability and a lower rating may find the second one worthwhile. Moving a rating to the 50 percent level is a separate project, and the steps to upgrade your rating can matter.
Staying at that level matters as much as reaching it. VA re-examinations can change a rating, so a retiree should note when one might be scheduled.
What Should I Review Before Choosing?
Retirees can review several documents before an election window:
- The current VA rating decision and the effective date.
- Retirement orders and the type of retirement.
- Evidence showing whether a disability is combat-related.
- Notices about any scheduled VA re-examination.
A drop below 50 percent changes eligibility for the first program, so a proposed cut deserves a prompt response. Before the retiree replies, a California VA rating reduction lawyer can review the evidence behind a proposal.
Disability rating increases and effective date disputes are among the matters handled at Glover Luck LLP, which serves veterans and their families. Julie L. Glover handles cases at both the agency and court levels.
Because a retiree can change the election only during open season, the rating and the election should be reviewed together. Retirees in California who want to compare the programs can reach out to a California VA disability compensation lawyer to review the rating decision against the statute.
