THIS ARTICLE IS INTENDED TO SUPPORT THE READER’S AWARENESS AND UNDERSTANDING.  IT IS NOT LEGAL ADVICE.   IF THE READER SEEKS LEGAL ADVICE CONCERNING HIS OR HER PARTICULAR SITUATION, HE OR SHE SHOULD SEEK OUT AN ATTORNEY IN A LAWYER CLIENT RELATIONSHIP.

The Veteran’s Aid and Attendance pension is a needs-based benefit and is not intended to preserve the estates of individuals who have the means to support themselves. Accordingly, a claimant may not create pension entitlement by transferring covered assets.

The Veteran’s Aid and Attendance pension is a needs-based benefit and is not intended to preserve the estates of individuals who have the means to support themselves. Accordingly, a claimant may not create pension entitlement by transferring covered assets. VA will review the terms and conditions of asset transfers made during the 36-month look-back period to determine whether the transfer constituted transfer of a covered asset. See 38 CFR § 3.276 (a)(8) (b and (c)  – Asset transfers and penalty periods.

The VA presumes that an asset transfer made during the look-back period was for the purpose of decreasing net worth to establish pension “Aid and Attendance” entitlement.  However, VA will not consider such an asset to be a covered asset if the claimant establishes through clear and convincing evidence that the asset was transferred as the result of fraud, misrepresentation or unfair business practice related to the sale or marketing of financial products or services for purposes of establishing entitlement to VA pension.  Evidence substantiating the application of this exception may include a complaint contemporaneously filed with State, local, or Federal authorities reporting the incident. See Department of Veteran’s Affairs Adjudication Procedures Manual M21-1, Part IX , Subpart iii , 1.J.5.c  Transfers for Less Than Fair Market Value ; See 38 CFR § 3.276 (a)(8) (b and (c)  – Asset transfers and penalty periods.