If your SSDI claim is denied, your best chance of a successful appeal is to hire a local attorney skilled in Social Security Disability law. But how much does a disability lawyer cost?
A significant aspect of choosing your Social Security Disability attorney revolves around understanding the costs. Whether your case is complex or straightforward, it is crucial to grasp how SSDI attorneys calculate their fees.
Is Hiring An SSDI Attorney Worth It?
Navigating the intricacies of disability eligibility and the required documentation can be overwhelming. A knowledgeable Social Security Disability attorney can clarify the process and chart a path to a favorable outcome. Hiring an attorney to guide you through the appeal process is well worth the expense.
Exploring Fee Agreements
A fee agreement is a document signed by both you and your attorney outlining the terms and conditions of your arrangement. This agreement ensures transparency and mutual understanding before any legal work begins. Alternative fee arrangements (AFAs), like contingent or hybrid fees, provide flexibility beyond traditional hourly billing.
Types of Fee Agreements
- Hourly: Based on an agreed-upon hourly rate, hourly fees are invoiced upon case completion.
- Contingent: Fees are contingent upon a favorable outcome, with no upfront payment required from the client.
- Fixed: A fixed fee is predetermined and remains unchanged regardless of case duration or complexity.
- Hybrid: Hybrid fee agreements combine elements of the above fee structures for a tailored approach.
Understanding Expenses and Limitations
Social Security Disability attorneys, such as those at Culbertson, Jacobs & LaBoda, PLLC, typically operate on a contingency fee basis. This means your attorney’s fee, up to 25% of your past-due benefits (currently capped at $7,200; an increase in the cap is occurring sometime towards the end of this year), is contingent upon successfully securing your benefits at the administrative level with the Social Security Administration (SSA). If your case proceeds to the United States District Court, different fee arrangements may apply.
Fee Structure Details
Social Security disability lawyers negotiate fee agreements with their clients, subject to approval by the Social Security Administration. As of April 2024, the fee cap may increase to $9,200, adjusted annually based on cost-of-living adjustments. While attorneys can legally charge up to $7,200 or 25% of back pay (whichever is less), the actual fees often average less than the cap.
How Are Disability Lawyers Paid?
Once your SSDI claim is approved, the Social Security Administration deducts the attorney’s fee directly from your back pay (the amount owed for the months between your disability onset and approval date). This means the attorney does not receive payment directly from you but from the benefits you are entitled to.
Reviewing Your Fee Agreement
Most disability attorneys offer free consultations to discuss your SSDI or SSI claim. After agreeing to representation, you will sign a written fee agreement submitted to Social Security before a favorable decision is issued. Reviewing this agreement carefully ensures it aligns with your expectations and obligations.
Contact Culbertson, Jacobs & LaBoda To Discuss Your Claim
When evaluating “how much does a disability lawyer cost,” choosing a Social Security Disability attorney involves carefully considering fees, agreements, and potential expenses.
At Culbertson, Jacobs & LaBoda, PLLC, we prioritize transparency and client-focused representation to ensure your journey toward securing disability benefits is as smooth as possible.
With over 45 years of experience and a commitment to client advocacy, our team is ready to assist you. Contact us today for a consultation and discover how we can provide skilled and professional representation tailored to your case.