How much of your workers comp settlement can be kept by you
- Posted on: Aug 29 2022
When you have a claim filed for workers´ compensation, the entire process can be very involved. The process can involve a lengthy negotiation and an appeal may take place when an agreement has failed to be reached. Right after you reach a workers´ compensation settlement amount, those involved in your case will all be paid by it. Below, we list who gets what and the amount you get to keep.
Contingency Fees For Your Attorney
When your attorney reaches an agreement for you, you will need to pay their contingency fee that you agreed to. The contingency fee refers to you only paying them in the event that a settlement is awarded to you. An attorney representing you is able to obtain a fee that is as much as 40% of the entire award amount.
You will also need to reimburse your attorney if any payment was made for you by them. These reimbursements would be considered service fees. Prior to signing your contingency agreement, make sure to review its contents closely.
Paying for your medical treatment will be the next deduction from your settlement amount. Depending on your case and whether you win, your settlement will be used to pay your medical treatment.
If you were able to pay for your own medical bills, then the amount awarded can be kept by you. However, when your doctor allows postponement of your medical bills, then payment will need to be made. Make sure to talk to your attorney to see about having certain expenses covered. Your attorney may also obtain lower health costs. When this happens, the amount of settlement you keep will increase.
Conditional Medicare Payments
Under Medicare, the agency does not provide medical coverage if workers´ compensation covers an injury. However, when a dispute exists, there may be conditional Medicare payments made. So if the worker is Medicare eligible and they win their appeal, then Medicare will obtain its share from the settlement.
Advance Payments for Permanent Disability
If your work injury results in a permanent disability, then you may obtain an advance through a permanent disability award. In instances where you request the advance, then a fee may need to be paid. The advance will also decrease your settlement amount. It is a good idea to consult with your attorney prior to applying for your advance.
Child Support Judgements
When you have child support payments that need to be caught up on, then you could have a lien placed against your workers´ compensation award if you win. In most cases, child support could receive as much as 25% of a settlement award. Plus, workers´ compensation is calculated as income, so a parent is able to collect a certain amount from a weekly payment.
Amount You Can Keep
With the above circumstances pointed out, the amount you get to keep after everything is considered will vary and depend on different amounts. By consulting with your workers´ compensation attorney, they will be able to calculate a close estimate of how much you will take home. When you contact our office today, we will help get your settlement case started and provide you with an estimate of your settlement before you leave.