What is VA Apportionment?

VA apportionment occurs when a portion of a veteran’s disability compensation is redirected to another party, such as a spouse, child, or dependent parent. This means that while the veteran will still receive part of their monthly benefits, the VA will allocate a percentage to the qualifying individual.

This process often arises from disputes over financial support, such as when a veteran and an estranged spouse or dependent disagree on how benefits should be distributed. In some cases, the VA may determine that apportionment is necessary for the well-being of the veteran’s dependents.

Who Can Qualify for VA Apportionment?

The VA allows certain individuals to apply for apportionment, including:

• A legally separated or estranged spouse

• Children living with a divorced or estranged spouse

• Children who are financially dependent but do not reside with the veteran

• Dependent parents

Situations That Lead to VA Apportionment

Apportionment is typically applied in scenarios where the veteran has financial obligations but is not fulfilling them. While some cases are contentious, apportionment can also be beneficial in ensuring support reaches those who need it. Common reasons for VA apportionment include:

• The veteran is responsible for dependents but is not providing financial support.

• The veteran has fallen behind on child support or alimony payments.

• The veteran is incapacitated (e.g., hospitalized or deemed incompetent) and does not have a fiduciary to manage benefits.

• The veteran has passed away, and survivor benefits are allocated to children who do not live with a spouse receiving Dependency Indemnity Compensation (DIC).

• The veteran is incarcerated and wants to ensure their spouse continues receiving financial support, as they would otherwise receive only 10% of their benefits.

It is important to note that VA disability compensation is not considered marital property. This means that, under federal law, a former spouse is not automatically entitled to a veteran’s benefits after a divorce. However, some states take VA benefits into account when determining child support and alimony. Veterans should familiarize themselves with state-specific regulations to understand how these rules apply to their situation.

Factors That May Disqualify Someone From Receiving Apportionment

Not all requests for apportionment are approved. The VA evaluates each case based on financial need and whether reducing the veteran’s compensation would cause undue hardship. Apportionment is unlikely to be granted if:

• The applicant is a former spouse who has remarried.

• The estranged spouse is openly living with another partner and is no longer financially dependent on the veteran.

• The dependent child has been legally adopted by someone else.

• The dependent child is currently serving in the military.

How to Apply for VA Apportionment

Apportionment is not automatically granted and must be requested through an official application process. Individuals seeking apportionment must submit VA Form 21-0788 (Information Regarding Apportionment of Beneficiary’s Award). This form requires detailed financial information, including income, expenses, and assets for both the veteran and the person requesting apportionment. Gathering this documentation beforehand can streamline the application process.

What to Expect After Filing

Once the VA receives an apportionment request, the process is similar to a standard VA benefits claim. The VA will:

1. Review the application and request additional evidence if needed.

2. Require both the veteran and the applicant to provide financial statements.

3. Determine whether apportionment is justified based on financial circumstances.

4. Approve or deny the request and specify the apportioned amount if granted.

Both the veteran and the applicant have the right to appeal the VA’s decision if they disagree with the outcome. If apportionment is approved but causes financial hardship for the veteran, they can request a hardship reduction. The VA will then reassess the case to determine if adjustments should be made.

How Much of a Veteran’s Compensation Can Be Apportioned?

The VA typically apportions between 20% and 50% of a veteran’s disability benefits, especially if the request is based on financial hardship. However, each case is reviewed individually, and the decision-making process can take up to a year.

Need Help With VA Apportionment?

Navigating the VA apportionment process can be complex. If you have questions about your eligibility or how to file, it may be beneficial to seek assistance from a VA-accredited representative or legal expert. Understanding the requirements and rules can help ensure the best possible outcome for both veterans and their dependents.

To provide further assistance, here are some official VA resources related to apportionment:​

• VA Form 21-0788: Information Regarding Apportionment of Beneficiary’s Award: This form is used by spouses, dependents, or dependent parents of a Veteran to apply for apportionment of disability compensation. You can access and download the form here: ​Veterans Affairs+1Veterans Disability Info+1

• VA Apportionment Process Guidelines: For detailed information on the apportionment process, including eligibility criteria and procedural guidelines, refer to the VA’s manual: ​

• M21-1, Part VII, Subpart iii, Chapter 1, Section A – Apportionment Process

These resources offer comprehensive information to help you understand and navigate the VA apportionment process effectively.

Disclaimer

This article is for informational purposes only and should not be considered legal or financial advice. VA policies and regulations may change over time, so it is recommended to consult with a VA-accredited representative or legal professional for guidance specific to your situation.