Great explanation, Box. My VA disability is for 2 different things. One is simple acid reflux and my AME is aware of the meds I take. The other is for a shoulder injury, which he is also aware of and which doesn't affect my Class I. I got a 20% disability rating from the VA, and a Class I physical from the FAA without any conflict or issues.

For those retiring, the amount of your retirement pay from DoD is reduced by the amount of your VA disability compensation. But the VA money is tax free.