The structured settlement provides a clear resolution in cases involving personal injury and wrongful death. Based on the specific needs and the amount awarded to the beneficiary of the judgment, a structured settlement can be an excellent solution for longtime financial security in the event of a tragedy. Meanwhile, it is possible for such needs to change. And when it happens that way, the structured settlement owners can access their money more quickly.
The Structured Settlement Process
The structured settlement process can involve a complicated procedure; such that when the complainant decides to be owed money, the two parties to the case will work with a specialist to determine the amount of money and the plaintiff’s needs. The specialist consultant can use the money to buy an annuity from a life insurance company.
As a result, there is protection for the money against recession, market fluctuations, and other investment-related risks. Meanwhile, a stipulated amount is paid to the plaintiff for a predetermined length of time.
Advantages of Structured Settlement
- Structured settlement promotes financial discipline as it helps to prevent wastage.
- Income from the structured settlement is tax-free.
- It offers lifetime income to the beneficiary in the form of a regular and fixed amount.
Types of Cases That Can Result in a Structured Settlement
The cases that can result in a structured settlement are categorized into injury and non-injury assignments. The injury category involves the injury-related cases that bring about personal injury, wrongful death, and workers’ compensation. The non-injury assignment that can also use the structured settlement includes divorce, sexual harassment, wrongful termination, employment disputes, emotional damage, and breach of contracts.
Right of Selling Structured Settlements
You have the right under the law to sell your structural settlements for cash if carried under the acceptable pre-determined statutory framework.
Structured Settlement Laws and Regulation
The structured settlement is governed by the Periodic Payment Settlement Act passed by the Congress in 1982. The law stipulated how structured settlement is used in personal injury lawsuits. The legislation protects structured settlement payment from the federal, state, and local income taxes. Thus, making structured settlement a tax-free or non-taxable income.
However, structured settlement payments require judicial approval before it can be transferred.
Structured Settlement Tax Benefits
Structured Settlement serves tax benefits for those who receive the periodic payments. Whether these periodic payments that receive from a structured settlement are income tax-free or deferred to tax, it matters to the types of damages that the structured settlement payments represent. While structured settlement payments are income tax-free, in the case of death of the structured settlement payee, the present value of any due which has not received and are certain or guaranteed, then the structured settlement lump sum payments would be included in the estate of the decedent.
We Are the California’s Structured Settlement Company
Are you searching for a reliable legal company to defend your interest in a structured settlement case? Do you intend to sell your structured settlement for cash? Your search is over.
We are the best California’s structured settlements company. CATD (California Trust Deed Investments) is the experienced Structured Annuity Company in California that specializes in structured settlement. We will guide you through the processing of obtaining structured settlement due to sustaining a personal injury, or the unlawful termination of appointment. Trust our experience and expertise; we will ensure that your interest is vehemently defended and that the judge approves your application for structured settlement. And it is possible that you have a reason to sell your structured settlement, we are familiar with the process to ensure that your application is approved. We will handle all the paperwork that is required and file it appropriately.
Contact us today or call us now at 818.865.1570 when you need support to claim structured settlement and when you feel like selling it for cash, we are your trusted partner and your convenience is our business. We are the affiliated experts in California, with our expert services you have nothing to worry about.