Settlement Planning

While structured settlements are not for everyone, the primary reason to take a settlement is to have access to the stable income it provides. When deciding whether to accept an offer, plaintiffs should carefully weigh the benefits and disadvantages. Our experience has led us to understand that structures may be appropriate for certain plaintiffs—

  • Plaintiffs should fully understand the terms of a settlement. Once a structured settlement is finalized, you cannot renegotiate it.
  • Plaintiffs should be ready for a predictable income stream with minimal taxes over a specific period or for life.
  • A structure may be best for plaintiffs who could receive at least $10,000 with the opportunity to defer at least one payment for three years or more.
  • Are you a minor and could receive at least $5,000? As above, we believe this is a minimum amount that would make accepting the structure worthwhile for you.
  • Structures can benefit plaintiffs seeking cash flow for long-term expenses that may include surgeries, dependent care or other major expenses.
  • Structures are an important choice for those who may be uncomfortable managing a large lump sum received all at once.
  • Can you wait for the settlement payments, with the understanding that funds are not immediately accessible or available?
  • Plaintiffs should consider whether a settlement would affect their rights to government benefits such as Supplemental Security Income.