SOURCE: www.veterans.senate.gov
Over $124 million paid out to widows and widowers after Akaka oversight revealed error
WASHINGTON, D.C. – Veterans’ Affairs Committee Chairman Daniel K. Akaka (D-Hawaii) is urging widows and widowers of deceased veterans to check to be sure that they received VA compensation for the month of their spouse’s death. According to new figures from the Department of Veterans Affairs, approximately 196,030 widows and widowers have received a total of $124,348,136 in month-of-death back payments since Senator Akaka uncovered a VA accounting error in December 2008.
“Nearly 200,000 widows and widowers have finally received their benefits, but I want to be sure that all surviving spouses receive the compensation they are eligible for. I urge the survivors of disabled veterans to contact VA if they did not receive compensation during the month of their loved one’s death,” said Akaka.
For almost 12 years, surviving spouses of veterans were wrongfully denied benefits. In 1996, a law was enacted instructing that when a veteran receiving VA benefits died, the spouse would be entitled to a payment for the month of death. However, due to an error, VA wrongly demanded the money back from many surviving spouses. Senator Akaka learned of the problem when a Maui widow contacted him for assistance after a payment for the month of her husband’s death was taken from her bank account by the Treasury Department.
Looking into this case, Akaka discovered that VA had failed to adjust its computer programs and notification letters to surviving spouses after the law was changed. As a result, surviving spouses were still being told that the check they received was an overpayment which needed to be returned to VA. In cases where the money had been spent, such as for funeral expenses, the Treasury would withdraw the money from the widow or widower’s bank account.
VA has implemented new notification letters and changed its practices. However, surviving spouses should ensure that their month-of-death benefit was paid as promised. In some cases, VA may not be aware that the veteran had a surviving spouse, as marital data is not always collected if the veteran’s benefit does not take a spousal amount into account. (This occurs when a veteran’s monthly compensation check is based on a disability rating of less than 30 percent, or when a veteran does not tell VA that he or she has married after VA benefits are commenced.)