LYCOS RETRIEVER 
Structured Settlements: Payments
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Structured settlements provide guaranteed streams of income to the claimant/plaintiff that are completely tax-free. The claimant/plaintiff avoids the risk of mismanagement of their funds which can result in financial loss and hardship. This security and stability enables the claimant/plaintiff to have peace of mind, knowing that their payments will be received on the scheduled dates, and further allows them to tailor the annuity to meet their specific life needs in the future. With the use of a lifetime annuity, a claimant/plaintiff can ensure that he/she will never outlive the stream of income as the payments will continue until the time of death.
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The very first and most sensible decision that the beneficiary of structured settlements, annuities or lottery awards would need to make in order to get a large lumps sum would be to contact a reputable financial services company. A company that specializes in this particular service would be Patriot Settlement. Their objective is to help people who would benefit more from a large lump sum of cash rather than structured settlement payments over a long period. This company does provide the option of an online free quote request in order to have such payments evaluated. Patriot Settlement consultants are professionals and would be trained to provide the recipient with the accurate information that would be needed to make an informed decision regarding structured settlements for cash.
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Structured Settlements allow income to be spread over time, which is safer than a lump sum payment. Studies have shown that some 30% of those who receive lump-sum payments as compensation for accident or injury spend the money within two months, and some 90% have spent the money within five years.
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Structured settlements have become popular because they are a unique way of compensating injury victims. Rather than receive a lump sum, the payments are "structured" so that victims receive a stream of tax-free payments that typically exceed the amount of a lump sum. These payments can be tailored to meet a variety of future needs and expenses such as medical care and basic living needs.
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Some questions to ask during the process of distribution for annuity for legal structured settlements are: Have there been other clients that the broker arranged payments for? What are the advantages and disadvantages of the different types of payment arrangements? Is a stretching out the payments better than a lump sum payment? Once these questions have been satisfactorily answered, the receiver can feel confident that their annuity structured settlements are in the hands of experienced professionals who are looking out for their best interests. An example of how one arrangement might work follows: A man is 25 years old, when an accident occurs. He cannot work and will need $2000 per month with an annual 3% increase for cost of living, and the ongoing payment of his medical expenses which will cost $1500 per month for 5 years.
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Structured settlements are a financial planning tool and a way for injured people to settle claims. Instead of receiving a lump sum, they can receive tax-free payments over time. They can even receive payments for the rest of their lives.
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