If you’ve been personally injured, you have every right to get compensated for your injuries by the negligent party. But monetary settlements aren’t always what they are expected to be. Here are some questions about monetary settlements answered by your injury lawyer Chicago professionals.
How long does it take to receive the money?
If you are awarded a compensation following a jury trial, it could take quite some time to actually have the money in your hand. Immediately following the injury, you will be responsible for medical bills, loss of work and other expenses that come as a result of the injury. That’s why many injury lawyer Chicago professionals try to get your case settled out of court. If you and your attorney can reach a settlement with the other party, you can receive the compensation much quicker than if you actually go through a jury trial.
How is a settlement beneficial?
Your injury lawyer Chicago specialist is probably going to encourage you to go for a settlement before your case gets to trial. While you might want your case to be heard, it can take a long time before you even get to court. A settlement benefits you because you can college in a very short time. You can start paying your medical bills and other expenses quickly instead of letting the interest penalties accumulate on them and costing you more in the long run. Also, settlements are quicker which means your attorney fees won’t be as high as if you take your case to a trial jury. Finally, a settlement guarantees that you receive compensation. If you take your case to trial, there is no guarantee that you will win the case.
Will I be taxed on the compensation I receive?
The tax question about injury compensation has changed over the years. In 1954, the IRS stated that the compensation someone receives as a result of a personal injury case is tax free. But a few years later, the IRS decided that cases involving personal injuries could be settled without tax payments if the settlement payments were periodic instead of all at once. Today, most personal injury settlements and compensation awards by the court are not taxed by the IRS. There are other considerations, however. For instance, if you were not physically injured but only suffered emotional distress, the federal government may consider that income and send you a fairly hefty tax bill for it.
If you have questions about a potential settlement or compensation that have been coming to you due to a personal injury, contact the experts at Friend, Levinson & Turner. Our professional injury lawyer in Chicago will be happy to answer any questions you have.
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