Standard is usually 33.33% (pre-suit) or 40% (litigation).
Filing fees, expert witnesses, medical record retrieval, etc.
Please enter a valid settlement amount.
Gross Settlement:$0.00
Attorney Fee (33.33%):– $0.00
Case Costs/Expenses:– $0.00
Medical Liens/Bills:– $0.00
Client Net Pocket Recovery:$0.00
function calculateNetSettlement() {
// Get input values
var settlementAmount = parseFloat(document.getElementById('settlementAmount').value);
var attorneyFeePercent = parseFloat(document.getElementById('attorneyFeePercent').value);
var medicalLiens = parseFloat(document.getElementById('medicalLiens').value);
var caseExpenses = parseFloat(document.getElementById('caseExpenses').value);
var errorMsg = document.getElementById('errorMessage');
var resultsArea = document.getElementById('resultsArea');
// Reset display
errorMsg.style.display = 'none';
resultsArea.style.display = 'none';
// Validation
if (isNaN(settlementAmount) || settlementAmount <= 0) {
errorMsg.innerText = "Please enter a valid positive settlement amount.";
errorMsg.style.display = 'block';
return;
}
if (isNaN(attorneyFeePercent) || attorneyFeePercent 100) {
errorMsg.innerText = "Please enter a valid attorney fee percentage (0-100).";
errorMsg.style.display = 'block';
return;
}
// Handle empty optional fields
if (isNaN(medicalLiens)) medicalLiens = 0;
if (isNaN(caseExpenses)) caseExpenses = 0;
// Calculations
// Note: Standard practice is fee calculated on Gross, then expenses deducted.
var attorneyFeeAmount = settlementAmount * (attorneyFeePercent / 100);
var totalDeductions = attorneyFeeAmount + medicalLiens + caseExpenses;
var clientNet = settlementAmount – totalDeductions;
// Display Results
document.getElementById('resGross').innerText = formatCurrency(settlementAmount);
document.getElementById('resFeePercent').innerText = attorneyFeePercent.toFixed(2);
document.getElementById('resAttorneyFee').innerText = formatCurrency(attorneyFeeAmount);
document.getElementById('resCosts').innerText = formatCurrency(caseExpenses);
document.getElementById('resMedical').innerText = formatCurrency(medicalLiens);
var netElement = document.getElementById('resNet');
netElement.innerText = formatCurrency(clientNet);
if (clientNet < 0) {
netElement.style.color = '#dc3545'; // Red if negative
} else {
netElement.style.color = '#28a745'; // Green if positive
}
resultsArea.style.display = 'block';
}
function formatCurrency(num) {
return '$' + num.toLocaleString('en-US', {minimumFractionDigits: 2, maximumFractionDigits: 2});
}
Understanding Your Personal Injury Settlement Breakdown
When you receive a settlement offer in a personal injury case, the number on the check is rarely the amount you will deposit into your bank account. Understanding how funds are distributed between attorney fees, case costs, and medical liens is crucial for managing expectations and financial planning.
How the Net Settlement Calculator Works
The "net settlement" is the amount the client actually takes home after all obligations are satisfied. This calculator follows the standard disbursement logic used by most law firms:
Gross Settlement: The total amount agreed upon by the insurance company to settle the claim.
Attorney Contingency Fee: Calculated as a percentage of the gross settlement (typically 33.33% to 40%).
Case Costs: Expenses advanced by your lawyer to pursue the case (filing fees, court reporters, medical records).
Medical Liens: Outstanding bills owed to hospitals, doctors, or health insurance providers (Medicaid/Medicare) that must be paid from the settlement.
Typical Attorney Fees in Personal Injury Cases
Personal injury lawyers almost exclusively work on a "contingency fee" basis. This means they do not charge hourly rates but instead take a percentage of the recovery.
33.33% (One Third): The industry standard for cases that settle before a lawsuit is filed.
40% to 45%: Often triggered if the attorney must file a lawsuit, engaging in formal litigation or taking the case to trial, as the workload increases significantly.
Example Scenario
Imagine you were in a car accident and the insurance company agrees to pay $30,000. Here is how the money might be distributed using a standard 33.33% fee contract:
Gross Settlement: $30,000
Attorney Fee (33.33%): -$10,000
Case Expenses (Police reports, postage): -$500
Medical Bills (Chiropractor, ER): -$8,000
Client's Net Recovery: $11,500
Understanding Case Costs vs. Attorney Fees
It is important to distinguish between fees and costs. The fee pays for the lawyer's time and expertise. Costs are specific expenses the lawyer paid on your behalf to move the case forward. Under most retainer agreements, costs are reimbursed to the firm in addition to the fee.
Common recoverable case costs include:
Court filing fees
Fees for obtaining medical records and police reports
Expert witness retainer fees
Deposition transcripts
Travel expenses
Negotiating Medical Liens
One of the most valuable services an attorney provides is negotiating medical liens. Often, if the settlement is limited, an attorney can convince medical providers to reduce their bills so the client receives a fairer portion of the settlement. In the calculator above, enter the full lien amount, but keep in mind that your attorney may be able to lower this number before the check is cut.