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How much of my settlement do I get to keep? By a Workers’ Compensation Attorney. California. Taxes?

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Gonzalez Law Empower - CA Work Comp Attorneys

In this video, I walk you through possible itemized deductions on your Compromise and Release settlement documents. I also go through a best case and worse case scenario example.

Please note this information will only be relevant for injuries that are under the jurisdiction of California WCAB.

Video Chapters
0:01 What's in this video?
0:35 Attorney Fees Deduction From Settlement Explained
0:51 Permanent Disability From Settlement Advances Explained
1:17 Temporary Total Disability Overpayment Deduction Explained
1:35 TTD Overpayment Due to Delay of Final Report Explained
2:01 TTD Overpayment Due to Miscalculation of TTD Payments
2:25 EDD Lien Deduction From Settlement Explained
3:26 DCSS Child Support Lien Deduction From Settlement Explained
4:06 Sample Best Case Scenario Settlement Breakdown Explained
4:32 Sample Worse Case Scenario Settlement Breakdown Explained
5:27 Medicare Set Aside in Settlement
5:37 Bonus Tips What Is Not Deducted From Settlement
5:48 Medical Treatment Fees In Settlement Explained
6:09 Taxes In Settlement Explained

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VIDEO Outline
How much of my settlement do I get to keep? By a Workers’ Compensation Attorney

Answer found on Page 6 of Compromise and Release.

1) Attorney Fees
a. Commonly only the attorney fees are taken out.
b. Industry standard is 15% of settlement

2) PDAs – Permanent Disability Advances
a. Can start after P&S and paid biweekly usually at 290 per week.
b. Advances so defense takes credit at settlement

3) TTD overpayment – Temporary Total Disability Overpayment
a. Usually happens during the lag from when Dr believes you are P&S and when he issues his report.
b. Can also occur if you were paid at the wrong rate.
c. Can sometimes be negotiated down

4) EDD lien – most of the time the defense must pay EDD.
a. But if you were double dipping, you will have to pay EDD back.
b. Sometimes if you are receiving PDA and EDD at the same time, you will have to pay back part of EDD. If you tell EDD you are getting PDA, they will adjust your pay accordingly.

5) DCSS – Child support liens
a. DCSS will be paid before you the entire lien OR up to 50% of your settlement award if your award is small.


Bonus tips: Not taken out of your settlement:
1) Work Comp doctor bills – Defense must pay back doctors liens
2) Taxes – Work comp settlements are not considered taxable income



TEXT "CONSULT" to (909) 2660003 or Call us to get answers from an attorney.

We serve injured workers and fight for them to receive all their benefits especially medical treatment and compensation.

Hello, my name is Naomi. I have been practicing in Southern California since 2012. I opened my own firm because after seeing how the work comp "mills" functioned, I knew there was a better way. My firm is different because our clients are able to access their attorney and we focus on client education, so they are informed and feel comfortable throughout the entire work comp process.



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Call: (909) 2660003
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© 2021 Gonzalez Law Firm, APC. All Rights Reserved. This video is not intended as legal advice, nor does it establish an attorney client relationship. Information provided is applicable in California Only. This video is intended for Gonzalez Law Firm clients only. Every case is different and certain statements may be not applicable to your case. This video is only applicable for Workers’ Compensation cases not other types of law. If you want information specific to your case contact Gonzalez Law Firm, APC.

posted by usciera37