STRUCTURING ATTORNEY FEES

More attorneys than ever before are structuring their attorney fees. It doesn’t matter whether you are a sole practitioner, a small partnership, or a member of a large firm. Plaintiff attorneys who structure their fees can defer income to meet business and personal needs and secure their future, while lowering their taxes. Lifetime payments are available as well as joint survivor benefits for a spouse.

1. You may structure a portion of your contingency fees even if your client takes their settlement in cash.

2. You can lock in rates of return that are well above any other type of fixed investment available in today’s marketplace.

3. Fee structures can be used as a vehicle for retirement savings or to creatively cover the firm’s administrative and fixed expense overhead for a period of years.

4. As a retirement vehicle, there are no government requirements as there are with traditional Keogh’s, SEP’s or 401 K plans.

►No limit on how much you can defer
►No government reporting or “red tape”
►No employee participation
►No distribution limits

5. A fee structure amounts to an interest-free loan from the government that is paid back only when the payments come in with the possibility of paying back less than you borrowed.

6. Whether or not, you are in a lower tax bracket when you eventually pay your taxes depends on several factors, but a year with some significant settlements would certainly be a year to consider the benefits of income tax deferral.

7. Fees may be structured on a variety of personal injury cases including medical mal-practice, bad faith, construction defects, employment litigation, wrongful termination, workers’ compensation and environmental litigation.

8. In the event of premature death, the proceeds may avoid probate.

Structured Annuities are currently paying a very competitive rate of return. Why not consider attorney fee structures as a low-risk way to diversify your overall investment portfolio? We will be happy to provide several options for your consideration.

ARTICLE : "Structuring Attorney's Fees"