MetLife has just put together three case studies to help plaintiffs better determine whether structuring their non-qualified (taxable) settlement proceeds is right for them. Although there are many types of damage settlements that fall into the non-qual category, MetLife offers these case study examples...
California judges are becoming much stricter when it comes to how settlement funds are held and distributed in cases involving minors and incapacitated adults. Will Lindahl, executive director at CPT Institute and myself had the opportunity to write about the issue in the November/December issue of CAOC's Forum magazine.The article talks about three trust options
Most of us think the availability of a tax-free settlement option for injured parties began in the early 1980s. In fact, its roots go back to the Income Act of 1918. At that time, Congress stated that income resulting from "personal injury or illness" was exempt from taxation. 1979: Fast forward to 1979 when the
Sometimes a picture (or in this case a chart is worth a thousand words. MetLife has just published a comparison between structured settlements and other types of investments. Besides structures, the investment product comparison list includes cash, trusts, municipal bonds,& investment portfolios, CDs, Treasury bonds, real estate and 529 College Plans.
Your client is injured and will likely receive a significant settlement. Many clients are tempted to take the settlement proceeds and go on a spending spree--new cars, homes and luxury goods. If safeguards aren't put in place, the settlement can be quickly depleted and claimants will be left with little to live on. That's where
For injured parties, choosing how to accept their settlement proceeds can be one of the biggest decisions of their lives. Unscrupulous friends and relatives ask for "loans" that will never be repaid. The claimant may decide that now is the perfect time to start dabbling in the stock market, go on a spending spree or
A structured settlement can now combine the tax-free benefits of an annuity with the growth potential of Vanguard mutual funds. The structured settlement's value would then be able to grow as markets rise. This new structured settlement option, called a "Growth Structured Settlement," allows injured parties to put half their settlement into an annuity and
Today's volatile economic environment raises questions by personal injury and workers' comp claimants considering whether to structure their settlement. Should they place their funds in a structured annuity? Or should they take the money in a lump sum and hope to do better in the investment markets? I had the opportunity to prepare an article
Winning a settlement for your client is one of the most satisfying experiences for an attorney. A settlement also comes with fees, but much of those fees could be wiped out if an attorney hasn't thought through the tax consequences of a lump sum payout. MetLife has been in the structured settlement business for over
A quote attributed to Albert Einstein talks about compound interest: “Compound interest is the eighth wonder of the world. He who understands it, earns it…he who doesn’t…pays it.” While there is some question to the authenticity of the quote, one thing is for sure—compound interest (earning interest on accumulated interest) can have a big impact
