HOW DOES SOCIAL SECURITY DECIDE WHAT TO PAY YOUR DISABILITY ATTORNEY?



How does social security figure out how much you should pay your attorney?



 
I recently came across a question I've not seen before. The question was "How does social security figure out how much you pay your attorney if you get a monthly payment and not a lump sum?"

Well, let's start with how a disability attorney is paid in the first place for representation on a disability case.

1. There is no fee for representation that may be payable to a disability attorney or to a disability representative unless the case is won (bear in mind, however, when you sign your fee contract with your representative that there are usually expenses that the representative must be reimbursed for regardless of whether the case is won or lost).

2. The fee for representation is equal to 1/4 of the back pay benefits that a claimant is due to receive. However, the fee can never exceed a certain maximum amount. Prior to mid-2009, the maximum fee that a disability attorney or representative could receive was $5300.00; from mid-2009 forward, the maximum fee that could be received was raised to $6000.



Now, by listing these two pieces of information, we've answered the question of how the social security administration determines the amount of a fee that is payable to a disability attorney or representative.

Of course, if a person is awarded disability benefits and there are no back pay benefits, there will simply be no fee that can be paid to the disability attorney or disability representative.

However, in most cases there are back pay benefits available. This is usually the case because disability cases that enter into the appeal process typically drag on for long periods, making back pay a given.


About the Author: Tim Moore is a former Social Security Disability Examiner in North Carolina, has been interviewed by the NY Times and the LA Times on the disability system, and is an Accredited Disability Representative (ADR) in North Carolina. For assistance on a disability application or Appeal in NC, click here.







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