Litigation

In order to raise $832 billion for a massive overhaul of the health care system, there is talk of a 4% income surtax on "the wealthy". "Wealthy" is variously defined as "over "$200,000" or "over-$250,000", although few of those that encounter the cost of living in big cities like New York City would characterize that as "wealthy".

But successful personal injury attorneys should consider that now potentially faced with the proposed surcharge, structuring attorney fees may be the better alternative.

On a $1,000,000 in present value attorney fees, not only do you spread your income over a time period that matches your consumption levels, you also potentially spread approximately $32,000 in surcharge tax out over a term of your choosing (assuming surcharge applied over $200,000)

On a $500,000 in present value attorney fees, not only do you spread your income over a time period that matches your consumption levels, you also potentially spread about $12,000 in surcharge tax out over a term of your choosing (again assuming surcharge applied over $200,000)