What is a Structured Settlement?
After you come to a settlement for your Florida workers’ compensation claim, you can decide how you want your funds distributed. You may either choose a cashout lump sum or a structured settlement. There are pros and cons of both structured settlements and lump sums. When you work with a Tallahassee workers’ compensation attorney, you will get the guidance you need to figure out what is the best option for your unique situation.
Why Would You Choose a Structured Settlement?
When you are permanently disabled from your Florida work accident to the point where you cannot perform any amount of work, a good choice for how you want your settlement to be distributed would be via a structured settlement. A structured settlement is a way to manage the money from your settlement through regular payments of specified amounts of money for a period of time or for the rest of your life. There are many reasons why receiving portions of your settlement over time is a better choice than a lump sum for individuals who are no longer able to work.
- Your settlement will now become an income source. If you take all of that money at once you risk spending it faster than you can afford and basically blow through it.
- The money in your settlement from your Florida workers’ compensation claim is not taxed. However, if you take your full settlement in a lump sum and use that money for and investment, the return you make on your settlement money will be taxed.
- A structured settlement provides long-term income that is free of taxes and safe from inflation.
According to the National Structured Settlement Trade Association, one-third of victims of workplace injuries choose to obtain their money by way of a structured settlement. When very serious and catastrophic injuries or illnesses occur after a workplace accident, a victim must be cognizant of future medical costs. If it is likely that you will need more surgeries, therapy, medicine, or doctor’s appointments even a multi-million dollar settlement can be depleted fast.
Speak with a Florida Workers’ Compensation Attorney Today
There is a lot to understand, to consider, to manage, and many decisions to make throughout the whole Florida workers’ compensation process. From start to finish, the Florida workers’ compensation process is complex and every victim’s case is unique. Whether it be filing the correct documentation, building a strong case for the most compensation, determining when is the right time to settle, or looking to the future to ensure that the best decisions are made as to how to obtain the money in your settlement, there is much to do and much to think about.
When you are suffering major injuries it can be difficult to think clearly and manage the stress that comes with the Florida workers’ compensation claim process. Working with a Florida workers’ compensation attorney takes the legal burden off of your shoulders. It also helps give you peace of mind that your claim is being handled correctly and that you will get a fair settlement distributed to you in a manner that works best for your situation. Call Stephen M. Andrews today to schedule your free consultation at (850) 906-9599 so you can have the experienced guidance and support of a resourceful Florida workers’ compensation attorney.