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Are Settlement Damages Involving PTSD Tax-Free?

Are Settlement Damages Involving PTSD Tax-Free?

By Patrick C. Farber On December 2, 2024 · 12:10 PM · Add Comment

PTSD allegations often arise in personal injury cases. The question is: are damages awarded because of PTSD tax-free?

Tax attorney Robert W. Wood recently wrote about the subtleties that come into play when the IRS is determining whether PTSD damages are excluded from taxation. He noted that physical injuries or sickness are excluded under IRS Code Section 104, but emotional distress is generally taxable.

[...]
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Post Title Image Structuring Strategies Beyond Fees

Structuring Strategies Beyond Fees

By Patrick C. Farber On September 25, 2024 · 3:33 PM · Add Comment

Patrick McNulty and I recently published a CAOC Forum article titled “Structuring Strategies Beyond Fees.”

In 1996, Childs v. Commissioner of the Internal Revenue Service supported the use of structures to defer the receipt of attorney fees. The same structuring strategies can be used when selling your law practice, business, or commercial or personal property. Money placed in an annuity is only taxed upon withdrawal, [...]

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Join Us At The ASHRM Annual Conference, October 6-9 in San Diego

Join Us At The ASHRM Annual Conference, October 6-9 in San Diego

By Patrick C. Farber On August 7, 2024 · 9:41 AM · Add Comment

We’ve reserved a booth at the American Society for Health Care Risk Management (ASHRM) annual conference. The conference is October 6 through 9 at the San Diego Convention Center.

Booth Number: #717

Be sure to stop by. We’ll be there to answer all your structured settlement questions including the latest on Medi-Cal eligibility for injured individuals.

To check out the conference [...]

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OBRA 93 Trusts Offer New Options For Injured Parties on Medi-Cal

By Patrick C. Farber On July 3, 2024 · 4:04 PM · Add Comment

Qualifying for Medi-Cal coverage has long been tied to strict asset limits ($2,000 maximum for individuals not including a home or vehicle). Those with disabilities would need to establish a Special Needs Trust (SNT) to maintain their assets and still qualify for Medi-Cal and other important medical coverage.

As of January 1, 2024, the asset limits criteria were eliminated. Now, government benefit eligibility is based [...]

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Easy Steps For Court Approval Of Structured Minor’s Compensation

Easy Steps For Court Approval Of Structured Minor’s Compensation

By Patrick C. Farber On June 24, 2024 · 3:21 PM · Add Comment

Attorneys often ask us, “How do I incorporate structured settlement annuity language for a minor into a petition to the court?” The answer is simple.

Our office provides all the paperwork to include with the petition/order that the court needs. If using form MC 350, the attorney of record needs to check box 18a(3)(b) and attach our paperwork to the petition. For form MC 351, box [...]
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Join us at CAALA Las Vegas 2024

Join Us At CAALA Annual Las Vegas Convention–Labor Day Weekend

By Patrick C. Farber On May 16, 2024 · 12:02 PM · Add Comment

CAALA’s Annual Las Vegas Convention is coming up–August 29 through September 1 (over Labor Day weekend). We’re sponsoring the Thursday, August 29 “Island Vibes Welcome Party” that officially kicks off the conference. Be sure to stop by.

Team members Nick Schuetze, Jacqueline Godoy and Pat Farber are attending the convention. It will be a good opportunity for us [...]

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Post Title Image Illustrating Addressing FAFSA Challenges/Paying For College Through Structured Settlements

Addressing FAFSA Challenges/Paying For College Through Structured Settlements

By Patrick C. Farber On April 10, 2024 · 8:58 AM · Add Comment

A college education has never been more expensive. There was hope that the introduction of a Free Application for Federal Student Aid (FAFSA) would be a quick and easy way to apply for college grant money online. Unfortunately, that hasn’t been the case. FAFSA has been plagued by problems. Here’s an article on the latest FAFSA issues [...]

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Structure or Not To Structure Employment Settlements? Employment Lawyers Weigh In

By Patrick C. Farber On December 13, 2023 · 7:42 AM · Add Comment

Earlier this year, MetLife conducted a survey of employment lawyers to learn their views on structuring settlements. Here are the highlights.

Most employment lawsuits are settled out of court. Of those surveyed, 86 percent said that structured settlements can be a good negotiating tool and speed up claim resolution/settlement. 81% were concerned that clients would deplete a lump sum settlement award too quickly. Plaintiff attorneys [...]
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Credit Card Debt Over $1 Trillion–How Structured Settlements Can Help Manage Finances

By Patrick C. Farber On November 14, 2023 · 8:56 AM · Add Comment

Americans owe $1.08 trillion in credit card debt according to the Federal Reserve of New York, an all-time high. Rising prices coupled with dwindling savings have forced many to rely on credit cards to cover basic expenses. Delinquencies are also up and so are credit card interest rates—now averaging above 20 percent.

Structured Settlements Offer Financial Security. When injury victims receive a large lump [...]

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Fixed Index Annuities: Part of a Retirement Portfolio

By Patrick C. Farber On November 1, 2023 · 10:09 AM · Add Comment

As you know, Patrick McNulty recently joined my team, coming from the Berkshire Hathaway structured settlement department where he was a senior account manager. Patrick has an extensive skill set in a number of annuity products outside the structured settlement space. I wanted to make you aware of some of those investments including Fixed Index Annuities.

Fixed Index Annuities (FIAs). [...]

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    Full Event Info & Links Here

    October 6 – 9, 2024
    American Society for Health Care Risk Management (ASHRM)
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Recent Posts

  • Advantages Of Qualified Settlement Funds

    Advantages Of Qualified Settlement Funds

    December 30, 2025
    Attorneys Robert Wood and Alex Brown recently wrote an article …Read More »
  • Job Openings Decline: Making The Case For Structured Settlement Income Security

    Job Openings Decline: Making The Case For Structured Settlement Income Security

    November 6, 2025
    The job site Indeed just released its Job Postings Index. As …Read More »
  • Medi-Cal Reinstates $130,000 Asset Limit

    Medi-Cal Reinstates $130,000 Asset Limit

    October 10, 2025
    Starting January 1, 2026, California will reinstate a $130,000 Medi-Cal …Read More »

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  • Are Settlement Damages Involving PTSD Tax-Free? - Patrick Farber Structured Settlement Brokers on Patrick Farber
  • Structuring Strategies Beyond Fees - Patrick Farber Structured Settlement Brokers on Patrick Farber
  • Join Us At CAALA Annual Las Vegas Convention-Labor Day Weekend - Patrick Farber Structured Settlement Brokers on Patrick Farber
  • Addressing FAFSA Challenges/Paying For College Through Structured Settlements - Patrick Farber Structured Settlement Brokers on Patrick Farber
  • Structure or Not To Structure Employment Settlements? Employment Lawyers Weigh In - Patrick Farber Structured Settlement Brokers on Patrick Farber

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Are Settlement Damages Involving PTSD Tax-Free?
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