Occasionally, VA is unable to adjust a Veteran’s benefit from a future date to e. Withholdings offset his/her receipt of drill pay because That Exceed the Current the Veteran is no longer receiving benefits, or Rate of VA has reduced his/her benefits to a rate that is less than the rate payable at Payment the end of the fiscal year during which the Veteran earned the drill pay. VA receives in 2011 showing the Veteran Example: VA Form 21-8951 earned drill pay during fiscal year 2009. VA stopped paying the Veteran compensation in 2010 because he returned to active duty. With no running award, VA is unable to adjust the Veteran’s award from a future date. Follow the steps in the table below when the current rate of payment is less than the monthly amount VA was paying the Veteran at the end of the fiscal year during which he/she earned drill pay. Step Action 1 Identify the most recent award line that shows a monthly rate of payment equal to or exceeding the Veteran’s rate of payment at the end of the fiscal year during which he/she earned drill pay. 2 Is the date of the than version VA Form 21-8951 earlier December 2014? If proceed to the next step. yes, If proceed to Step 7. no, The following sentence was added to versions of Note: VA Form dated December 2014 and later, thereby eliminating the 21-8951 need to provide notice of proposed adverse action before reducing the Veteran’s award: If VA cannot adjust your benefits from a future date, it may make a retroactive adjustment, which may create an overpayment in your account. 3 Send the Veteran notice of VA’s proposal to reduce his/her benefits by the monthly rate of payment in effect at the end of the fiscal year during which the Veteran earned drill pay, and effective the date of the award line identified in Step 1. For more information about issuing a notice of Reference: proposed adverse action, see M21-1, Part I, 2.B and C. 4 Did the Veteran respond to the notice of proposed adverse action within 65 days of the date of the notice? If proceed to the next step. yes, If proceed to Step 7. no, 5 Did the Veteran request a hearing within 30 days of the date of the notice?
e. Withholdings That Exceed the Current Rate of Payment Occasionally, VA is unable to adjust a Veteran’s benefit from a future date to offset his/her receipt of drill pay because the Veteran is no longer receiving benefits, or VA has reduced his/her benefits to a rate that is less than the rate payable at the end of the fiscal year during which the Veteran earned the drill pay. Example: VA receives VA Form 21-8951 in 2011 showing the Veteran earned drill pay during fiscal year 2009. VA stopped paying the Veteran compensation in 2010 because he returned to active duty. With no running award, VA is unable to adjust the Veteran’s award from a future date. Follow the steps in the table below when the current rate of payment is less than the monthly amount VA was paying the Veteran at the end of the fiscal year during which he/she earned drill pay. Step Action 1 Identify the most recent award line that shows a monthly rate of payment equal to or exceeding the Veteran’s rate of payment at the end of the fiscal year during which he/she earned drill pay. 2 Is the version date of the VA Form 21-8951 earlier than December 2014? If yes, proceed to the next step. If no, proceed to Step 7. Note: The following sentence was added to versions of VA Form 21-8951 dated December 2014 and later, thereby eliminating the need to provide notice of proposed adverse action before reducing the Veteran’s award: If VA cannot adjust your benefits from a future date, it may make a retroactive adjustment, which may create an overpayment in your account. 3 Send the Veteran notice of VA’s proposal to reduce his/her benefits by the monthly rate of payment in effect at the end of the fiscal year during which the Veteran earned drill pay, and effective the date of the award line identified in Step 1. Reference: For more information about issuing a notice of proposed adverse action, see M21-1, Part I, 2.B and C. 4 Did the Veteran respond to the notice of proposed adverse action within 65 days of the date of the notice? If yes, proceed to the next step. If no, proceed to Step 7. 5 Did the Veteran request a hearing within 30 days of the date of the notice?