The Right Way to Choose a Structured Settlement
Nothing is worse than suffering a personal injury. A single injury can have a truly deleterious impact on your life. An injury can have a remarkable influence on your physical health, but it can also leave you with mental scars. By filing a personal injury lawsuit, you can earn money for your injuries. There are a number of things that you’ll want to think about before you actually receive your compensation.
Generally speaking, you have two main options here. You may want a structured settlement, or you may decide to go with a lump sum payment. There are pros and cons to both of these approaches. If you need your money right now, it may make sense to go with a lump sum approach.
The drawback to this approach is that your overall payment may be somewhat smaller. If you don’t need money immediately, you will probably want to go for a structured settlement. Before you move forward, though, you’ll want to review your options.
There are a handful of factors that you should consider when you’re looking at your structured settlement. Obviously, tax liability is very relevant here. If you need to pay taxes on your settlement, it may affect the amount that you receive. The next step in the process is to think about how you will be spending the money. Keep in mind that this money is entirely your own. No one should be able to tell you the proper way to spend it. As soon as that is complete, you’ll want to think about your own financial well being. You may be able to do everything yourself, or you may need help in managing this money. If you have any questions about this process, you should talk to an expert. By working with a financial advisor, you can get the structured settlement that you deserve.
Make it a priority to learn as much as you can about the structured settlement process before you actually take action. Making good decisions will be much easier if you are generally knowledgeable. The concept of a structured settlement may sound confusing, but it’s actually fairly intuitive. Choosing a structured settlement means foregoing a single lump sum payment. Instead, your money will be sent to you periodically over a set number of years. Let’s say, for example, that you have been awarded a half million dollars. You may want to receive this money in fifty thousand dollar increments. Get in touch with your advisor if you want to learn more about structured settlements.