Maximum attorney fees in Social Security disability cases
What is the most a lawyer can charge in a Social Security case?
We have talked about the typical fee agreement when you are applying for Social Security disability benefits before. But I am often asked what is maximum someone can charge?
Social Security regulations set a cap for attorneys fees. Originally, the fee cap was $4,000, then $5,300, and as of June 2009, the cap is $6,000.
Unless the representative is charging fees under a fee petition, the most the lawyer can charge is 6,000. Or, if you are reading this before June 2009, $5,300.
For …
What is a fee petition?
A “fee petition” is a way your lawyer asks Social Security for fees for his services.
I though attorneys were paid a percentage of what I get?
Percentage-based contingency fee agreements are the most common way attorneys get paid in Slocial Security cases. However there are two ways an attorney might get paid.
Fee agreements based on a percentage of back benefits:
If you win, the attorney gets 25% of your back benefits up to a $6,000 cap (this is an increase from the $5,300 cap in effect before June 2009). The 25% or $6,000 is …
I need help on my Social Security disability case, but I don’t want to be ripped off!
One of the hardest parts about getting help on a Social Security case is finding the right person to work with.
What if i hire a lawyer and they don’t do anything?
What if I am not happy with the lawyer?
I don’t want to be stuck with a big bill.
Fortunately, Social Security takes a lot of the worry out of hiring a lawyer.
How much can a lawyer charge for fees on a Social Security case?
Social Security fee agreements take one of two forms:
Contingency based: If you win, the attorney gets 25% of your back benefits up to a $5,300 $6,000 cap. The “25% or $6,000″ fee agreement is a standard fee agreement that Social Security will almost always approve if the case is won and results in back benefits.
Fee Petition. This is the wild west of fee agreements. The representative has to itemize his or her time and ask Social Security to be paid a certain amount. Social Security will approve whatever fees it sees fit, which may be more or less than $6,000.
2009 UPDATE: As of June 2009, the fee cap is increased to $6,000 from $5,300.
If an attorney asks you to sign a fee agreement that is not either for a 25% contingency, or based on a fee petition, watch out!
Overpayments: finding an attorney to help you
I have tried to give you as much information as I can about Social Security overpayment / repayment cases, because the chances of finding an attorney to work with you are not very good.
Many Social Security attorneys get paid out of the back benefits they win for the client (typically 25% up to a cap of $5,300.00 $6,000 as of June 2009). But, when you have an overpayment case, the best outcome is you will owe $0.00. 25% of $0.00 is $0.00.
In other words, there is nothing for the attorney to take a percentage of, if they win. If you want legal help on an overpayment case you will probably have to pay some money up front. This may be between $1,000 and $3,000 depending on the complexity of the case. While my office does handle Social Security overpayment cases, they make up a small part of my Social Security practice because most people cannot afford the retainer.
Also, many attorneys do not take overpayment cases because of the extra requirement of petitioning Social Security to approve fees. This takes extra time, beyond the time spent proving the case, just to try to get paid.
Is it worth hiring an attorney on an overpayment case?
Whether paying the retainer is worthwhile for you will depend on how much money you owe Social Security.
