Pension and Compensation


Hello Jim, A veteran asked if someone could collect Compensation and Disability. I became confused by your answer because I thought under certain circumstances, a Veteran could be entitled to both benefits under CRDP, You stated, "Pension is a means limited benefit. In other words, any income you have counts against any potential pension award. Your 100% rating would be too much money and would preclude the pension benefit." Would you please elaborate on where I'm missing the connection. I enjoy reading the Veteran's questions and your response.


Jim's Reply:

I don't recall a question where I said anything quite like that. You open with "Compensation and Disability" and then you bring in CDRP and pension. These are separate benefits that often interact. 

CDRP is a compensation benefit aimed at the retiree with certain disability ratings as much as anyone. Compensation is a monthly amount paid to a veteran for a service connected disability. Pension is a means tested benefit offered to some veterans of a certain age and with certain disabilities and financial status. The CDRP vet wouldn't be collecting pension and the vet collecting disability compensation won't collect pension but may collect CRSC/CDRP.

Confusing? Yep, it sure is.

Keep studying. I  don't know an advocate who doesn't have to sit and scratch their head over most of it.