What happens to your disability compensation when you want to start working again?

Nothing unless you are going into the Guard or Reserves. If you end up doing that you can't double dip from Uncle Sam's money pool.

I never reported income from a job to the VA. Was never told I had to and that my working had nothing to do with the VA unless I was rated IU or temporary 100% - I am neither. Granted I eventually had to quit working all together plus apply for SSDI.

Not sure about the civilian side, but if you were to go back into the military you'd have to cease disability payments despite the fact you're supposed to rate that disability compensation for life. I'm still battling the VA because I went back to active duty and the VA didn't find out until this year.

Same story as many others here. I have 70% disability through VA, and work for the VA. There's no report on additional income or anything, and it's not considered double dipping because the disability and federal pay are from different "pools". The only reason you'd have to set aside your disability pay (without being Total & Permanent) is if you managed to step back into military uniform again and started receiving military pay and benefits.

I separated from AD with a VA rated disability. I went to work for the Air Force as a federal firefighter. As long as I met the medical requirements for that job (which I did), then it didn't affect me getting the job.
Having a service connected disability also gives you more options for federal hiring depending on your rating. Employers cannot discriminate based on disability (whether it's VA or otherwise) as they can't discriminate on sex, race, color, etc. either. Only if the job you are applying for requires certain physical conditions to be met, and you cannot perform them, then it would hurt your chances. But that doesn't matter if it's from being in the service or if you injured yourself at home.
See the following link regarding VA requiring income reporting: https://www.va.gov/opa/pressrel/pressrelease.cfm?id=2531

I'm was 30 percent disabled and working for at&t. And went to 70 percent disabled and never reported my income to the VA.

PFC Kyle Corcoran: Private First Class Corcoran- I have a disability clause that says that I can work; even though my disability rating is 100%.
Many Prayers and good luck to you on your journey, Private First Class-
Margaret