Severance Pay recoupment from VA

I finally got my official VA rating via the mail (my last day in the Navy was January 1st and I received the VA package February 3rd). When I got my PEB results from the Navy (NOV 2011), my unfitting condition was rated 0% with severance pay, and 80% VA for all my other conditions. I was told from my VA counselor that I would not have to pay back my severance pay because the VA gave me a 0% rating for my unfitting condition. I was waiting for the actual paperwork from the VA so I could post if that was true or not. The VA counselor was correct, I do not have to pay back the severance pay. My VA paperwork stated that due to the fact that I am not being paid twice for the same condition (i.e. the 0% rating) than there is no recoupment of the severance pay. If the unfitting condition increases in rating later through the years, than I will have to pay back the severance pay via the new rating %. For anyone who is found unfit, 0% with severance pay, I hope this helps :) God Bless!
 
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I was told by my MEBLO that with a 0% rating from the DOD, the VA will not recoup severance pay. That was during a class.
 
okay thanks for the response. yeah that is the exact situation I am in with the recoupment not being triggered because the VA rated that unfitting condition at 0%. kind of a good thing in that sense. But thank you for the information.

I did not think about that but I will definetly look into filing for unemployment now. unemployment will come even if im receiving GI bill BAH and VA compensation at the same time?

and yeah im hoping DMO can store my household goods for atleast a month or 2 after separation so I can find a place, still haven't gotten any briefings.
 
In most states; from my experience yes. Just because you have a disability condition doesn't mean you aren't seeking work or able to work. Just because you're seeking higher education to improve your job prospects doesn't mean you still can't simultaneously work which many people do. You need to attend "D-TAP" or disability transition assistance program. I'm all Air Force and Army so I'm not sure what the Marine equivalent will be but we call it the "Airman and Family Readiness Center" in the Air Force and I forgot what the army changed it to but they should be helping you.
 
So, I was rated at 10% by the DOD today, and 60% for the VA.

The PEB deemed my unfitting condition as combat related. Does that mean it's tax free? I know I should remember this, but I went to DTAP like 7 months ago.

Also, even though I'm getting severance pay, will I still be getting a VA check when I EAS, even if it's not the full 60%?

I appreciate it.
 
Combat related = tax free so you're safe there.

Without checking I want to say since its combat-related you don't have to have a recoupment. I could be wrong; but that's what my instinct is telling me.

You really should ask your PEBLO and/or get with the folks at whatever the Navy/Marine equivalent is of the "family support center" as they have a ton of services for people in your situation. Its probably the same place you did your D-TAP if I had to guess.
 
scoutCC said:
Yes, the initial level set for recoupment acts as a maximum. If the rating goes down, recoupment rate drops, if the rating goes up, recoupment doesn't exceed that initial level. This is from the M21 manual.
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Can you show or tell me where this is at in M21 - I've read through it, but it's confusing af.

I spoke to a VSO today, and he told me that because I was Med Boarded DoD at 10% - and now I am at 20% they can take the 20%.
Even though they are taking 10% from my back (DOD med board) and 10% from my knee that wasn't part of my DOD Med Board.
This is frustrating not finding the answers that I know I'm right...
 
They can ONLY recoup at the original rating for the original unfitting condition from my understanding.
 
I was medically discharged in 2010 and already had been working with the VA about my claim while I was going through my MEB process. Recieved a disability severance pay and a month after seperating started receiving my VA compisation. It's been 8 years and they are just now talking about paying it the severance pay back. Why did they and can they wait so long?
 
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