Social security has a formula that determines how much, if any, your monthly checks will be reduced whether you settle your claim or get an award. The amount of the reduction, called an offset, can be reduced by using special 'spread' language in your settlement papers that alloacates your lump sum over your lfietime so the monthly figure is less...although I have heard chatter that social security may change the rules. Without the spread language, social security will offset your settlement using your permanent disability rate which could partially or completely reduce your monthly checks until the entire settlement amount is offset.
The other posters advised you to talk to a WC attorney and I completely agree with that advice because the rules are very complicated. Please also keep in mind that all WC claims have time limits so do not delay or risk losing your entire claim.
If you do not already have a worker’s comp. attorney then you should talk to one ASAP. Depending on the laws of New York, the worker’s comp. carrier or SSD may have the right to offset (or lower) their payments based on the other payment you are receiving.
DISCLAIMER: David J. McCormick is licensed to practice law in the State of Wisconsin and this answer is being provided for informational purposes only because the laws of your jurisdiction may differ. This answer based on general legal principles and is not intended for the purpose of providing specific legal advice or opinions. Under no circumstances does this answer constitute the establishment of an attorney-client relationship.
They will either go down or they will stay the same. Which occurs will largely depend on the quality of Attorney that you retain on your case. It is a complicated solution that requires a well-reasoned approach.
We offer general concepts, but you should give ALL your facts to a licensed Attorney in your state before you RELY upon any legal advice.
If you settle the case without "spread language," you wouldn't just run the risk of lower benefits, you run the risk of disqualifying yourself from getting ANY benefits for years! DO NOT DO THIS ALONE.
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Mr. Candiano is licensed to practice law in Illinois and Indiana. The response herein is not legal advice and does not create an attorney/client relationship. The response is in the form of legal education and is intended to provide general information about the matter within the question. Links: