How Are Social Security Disability Lawyers Compensated?

by | Nov 7, 2016 | Attorneys

A Social Security lawyer provides his or her services to clients that are in the process of applying for disability benefits or, more often, appealing a disallowance of the claim. There are quite specific rules in place that govern the way these legal professionals are compensated for their professional guidance. The rules that are in place are universal; the fee arrangement will be the same regardless of which lawyer you employ.

How the fee arrangement works:

Once you have discussed the specifics of your claim with a potential candidate and he or she agrees that you have a strong case and agrees to represent you, the first step is to create a fee agreement. The agreement must be in place prior to the granting of benefits.

From the claimant’s point of view, it is extremely important to understand that your chosen lawyer will represent you based on contingency. When a Social Security lawyer in Oak Ridge works on contingency that simply means that the fee is due once there has been a favorable decision and your application for benefits is approved. There is no need for any monies to be paid up-front, which to those people that cannot work is a tremendous benefit. During the process there may be need to pay for minor incidentals but this rarely amounts to much.

Limits on representation:

There is a cap on the amount a Social Security lawyer in Oak Ridge can charge. The legal fee is limited to 25 percent of the back pay that is owed; the amount is limited to $6,000. Payment is made after you receive a positive determination that your claim will be honored.

As it often takes many months for a claim to be processed, the first payment is back dated to the date your initial application was made; it is on this amount that the lawyer’s fee is calculated.

Knowing this it makes a great deal of sense to employ a seasoned Social Security lawyer, in the event your claim is denied with finality your lawyer is not entitled to any compensation.

It is wise to employ a Social Security lawyer in Oak Ridge. The entire process of applying for disability benefits are often beyond the comprehension of a layperson. You are invited to contact the Law Offices of Miller & Drozdowski, P.C.

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