VA Double Dipping

SGT Mitch McKinley — Thu, 12 Jun 2014 11:22:14 -0400

What I am about to address, may sound like sour grapes to some, and that's fine. I just want to know if others have had the same experience and how it was addressed with them.

I was medically separated in July 2004 with knee issues. Two surgeries did not fix the problem. The Army MEB deemed me to be 0% disabled, and provided me with severance pay on my way out the door. It was formulated at 2 x base pay x # of years in service. After taxes, it was still a decent chucnk of change. The only other thing they told me as part of that process was to make sure I filed a claim with the VA. So I did. I ETS'd on 2 Jul 2004. The next day I was at the VA. Two weeks later I got a letter informing me I had been awarded 10% for my knee, 10% for another issue, totaling 20%. This would entitle me to $220 a month for the rest of my life.

I got my first disability check from the VA in March of this year, almost 10 years after the award.

What they didn't tell me as I was out-processing the Army, nor at the VA, was that I was going to have to repay every penny of that severance pay before I would start getting it sent to me.

I looked into this, and it is considered double-dipping if you do not repay that severance.

I have written Congressmen and Senators, and all have agreed that it is a stupid policy, but one that no one is willing to battle.

Obviously, I am not alone in this adventure.
I am just wondering if others were misled on their way out the door as I was, or if they were actually briefed on what all was entailed in this matter.

I would love to hear your thoughts/stories.

Response by MSG Wade Huffman made Jun 17 at 2014 9:53 AM

MSG Wade Huffman — Tue, 17 Jun 2014 09:53:03 -0400

You are correct in that the VA will withhold compensation payment until they 'offset' the separation pay; much in the same way that retirement is offset if the total disability is less than 50% (and not combat related). I don't agree with the policy either, but it's dollar driven.
Keep in mind, it's not policy, it's in the law, so the only way to change it would be through congress.

Response by MSG Brad Sand made Jun 17 at 2014 10:07 AM

MSG Brad Sand — Tue, 17 Jun 2014 10:07:43 -0400

My thoughts are that we, veterans, are too used to doing what we were told and not making enough noise. Why would a Congressman or Senator care about an injured soldier who silently bares their pain from the injury they got serving our Nation, when they have to worry about the person who is screaming for more of our taxes dollars to pay for their cellphones, cable TV and for their nails to be done?

Response by MAJ Private RallyPoint Member made Feb 26 at 2015 5:37 PM

MAJ Private RallyPoint Member — Thu, 26 Feb 2015 17:37:16 -0500

This will take time for me too answer but these old ladies just showed up for tea.

I am kidding, I would be angry and I have been there, my congressmen helped me.

I will name him, he is John Flemming.

I delt mostly with his staff but really that is all that is needed. If they ignore the staff the politician will hear about it and will be offended. If the is not working get a VSO, contact DAV, VFW, Amerian Legion and get represented by a VSO. Next time you talk to that 20 year old intern understand they are young often under paid but are trying to impress someone. When them over, becasue voters influence other voters. I have never met John Flemming, he probably does know who I am but his staff does and that is good enough.

I also had Kelly Ayote do me a solid my ARCOM from Ft Bliss was lost my former BN XO worked with an intern from her office. He got me the award and later was my student during FACCC, funny right. Kelly Ayote doesn't know who i am but that intern does and that is all that mattered. My BN XO said make friend s with the little guy and do not worry about the politician, they will be running around the aids/interns make this kind stuff happen.

Best of luck.

Response by SPC Jack Hunt, JR made Feb 27 at 2015 1:37 PM

SPC Jack Hunt, JR — Fri, 27 Feb 2015 13:37:51 -0500

Same exact thing happened to me. It took me 10 years to finally get someone at the V. A. To give me a letter for the IRS To show my severance paid in full. I sent the letter into the IRS and was informed I had waited too long to recieve the tax money that I had repaid on the severance back.

Talk about an unset individual. That is as close as I have ever came to becoming postal. I informed the woman I was speaking with just how sorry out so called system of checks and balances are. She said well that's too bad, better luck next time.

Response by SrA Dane Gasio made Mar 4 at 2015 10:58 AM

SrA Dane Gasio — Wed, 04 Mar 2015 10:58:50 -0500

I went through a similar issue as well but with a twist. I was originally retired under a temp program but at 40%, then about a year later they took away the retirement and paid me a lump sum. For the next 5 yrs after that I went back and forth with the VA and ultimately was able to have the AF review their decision and they reversed it. They claimed they made an error and reinstated me to full and permanent retirement status. However, by this time, I had been fighting the VA and was raised to 90% disability. They tried to claim that I owed all the money back but after throwing a fit, explaining their massive screw up, engaging Sen. Inholf, and threatening to sue.... :) they actually made the whole issue disappear. I hate to say it, but once you are not active duty anymore and you are dealing with the system, you need to forget all about military bearing and rank and fight for what you earned. I had to set many people straight throughout the process and remind them I didn't "work" for them anymore and wasn't going to put up with the political BS they were throwing at me. Since battling with the VA since 2003 I have learned a lot about how they "work" or lack there of...Keep going after them and don't back down. When you don't get the right answer or you get dismissed by them go to someone else or higher up the chain. They can be beat and you have earned it, they simply try to make it hard in hopes you will give up and go away. I know this first hand and was lucky enough to stumble upon some consultants one day at a conference that worked for the VA and were very open about how they operated. Keep up the good fight and one day we WILL get them under control.

Response by PO1 Glenn Boucher made Mar 25 at 2015 2:06 PM

PO1 Glenn Boucher — Wed, 25 Mar 2015 14:06:15 -0400

I have heard of this but personally I do not know anyone who has fought this battle. In my opinion its a crock of BS. If a private company pulled this crap on one of their employees that company would be sued and the government would step in and blast the company for being unfair.
Good luck on your battle.

Response by SSG Charles Jordan made Mar 16 at 2017 7:45 PM

SSG Charles Jordan — Thu, 16 Mar 2017 19:45:04 -0400

I was told that since I was combat wounded that I wouldn't have to pay my severance back to the VA because they passed a new regulation about combat wounded. Five years later the VA tells me that I didn't meet the deadline so I had to pay it back anyway. I think it is all bull.

Response by SGT John Turner made Sep 3 at 2017 9:13 PM

SGT John Turner — Sun, 03 Sep 2017 21:13:28 -0400

I went through the MEB and was separated at 20% in 1993. The VA gave me 30% and I had to repay the severance before I started getting a check. So it's been going on for a long time and yes they did tell me up front. I think it's to deter you from persueing your claim.

Response by PO2 Whitney Mulberry-Chaplin made Sep 6 at 2018 4:34 PM

PO2 Whitney Mulberry-Chaplin — Thu, 06 Sep 2018 16:34:01 -0400

Nope. I had same deal with Navy. It IS their version od getting paid twice for same injuries. Yup. I had to wait 10 yrs before I had my full VA pension too. This was back in 93 when I was med boarded out for injuries.

Response by SSG Vance Conyers made Sep 7 at 2018 2:35 PM

SSG Vance Conyers — Fri, 07 Sep 2018 14:35:52 -0400

I feel sorry for all the veterans that were Med boarded in the past. I was Med boarded in September of 2016 and the process I won through seemed pretty easy. They fixed that problem where they keep you uninformed because the VA and the Army work in the same building. my Med board took 9 months from start to finish and I was informed the whole time.

Response by SGT Jack Stevens made Sep 7 at 2018 2:37 PM

SGT Jack Stevens — Fri, 07 Sep 2018 14:37:16 -0400

Contact me by email, [login to see] I will explain what you need to do.

Response by SFC Frederick Johnson made Sep 8 at 2018 1:35 PM

SFC Frederick Johnson — Sat, 08 Sep 2018 13:35:33 -0400

The same happen to me, it took a year before I got anything from the VA. Had to pay it all back

Response by SSG Private RallyPoint Member made Sep 9 at 2018 9:06 AM

SSG Private RallyPoint Member — Sun, 09 Sep 2018 09:06:04 -0400

I'm in the same boat

Response by PO1 Mark DeGraw made Jan 1 at 2019 10:22 PM

PO1 Mark DeGraw — Tue, 01 Jan 2019 22:22:57 -0500

I ets'd in July of 1990 my situation is a little different apparently I was making a little bit more so they paid me while I was repaying my disability severance but I did have to pay my disability severance to the tune of $200 a month and just recently well over the last year or two started getting my entire check so you're not the only one I think it's wrong to

Response by SSG Curtis Vaughn made May 16 at 2019 8:49 AM

SSG Curtis Vaughn — Thu, 16 May 2019 08:49:54 -0400

Been there done that

Response by SPC Don Goffaux made Jun 15 at 2019 8:09 PM

SPC Don Goffaux — Sat, 15 Jun 2019 20:09:16 -0400

I feel for you & they should explain that to soldiers before they discharge you!
I guess I was lucky & my doctor fully explained before I medical boarded that if I accept a settlement from the Army it would be taxable & would have to be fully repaid with my non taxable VA benefit before I would ever see a penny of it!
He also explained that you can refuse it & deal directly with the VA!
He adamantly told me not to accept anything from the Army.
He also explained if they decide not to give me a payable rating at all not to sweat it as long as they give me a 0% determination letter I was better off & eligible to go to the VA for a 2nd MEB & most likely to be granted a non taxable rating!
He was absolutely right!
They gave me a 0% determination & now I have a 160% permanent service connected disability rating!
And on the flipside I personally know people that has refused their Army settlement & dealt directly with the VA

Response by MSG John Duchesneau made Oct 30 at 2021 10:49 PM

MSG John Duchesneau — Sat, 30 Oct 2021 22:49:01 -0400

I was never in that situation myself but I am well aware of the policy. Like everyone else with common sense I think its stupid. I think the biggest reason they don't rescind the policy is that they would then have to repay all the separation pay the VA has recouped over the years.

Hopefully, there will be a member of Congress willing to fight and win this battle.

BTW - You were not misled so don't carry a grudge. Whoever does separations at the Army doesn't know the VA's laws and policies. As to the VA - they were just doing their job - even if it doesn't make sense.

Legal notice - I am making the above comments as a private citizen.