Not all financial settlements qualify for income tax exclusion and those which do not qualify are typically called Non-Qualified Settlements. In addition, non-qualified settlements received in lump sums could be taxed at the highest rate possible and move the claimant into a higher tax bracket. However, under the right circumstances, some of those labeled non-qualified settlements can be eligible for deferral of tax income if the proceeds are placed into a structured settlement annuity.
For over 20 years, Strategic Settlements has been helping clients who receive non-qualified settlements ensure their investment is positioned in a way that preserves their income for years to come, and at the lowest tax rate possible.
If you are involved in any of the following cases, you might benefit from a non-qualified settlement.
- Divorce
- Employment Disputes
- Sexual Harassment
- Wrongful Termination
- Discrimination
- Psychological/Emotional Damage
- Punitive Damages
- Attorney Fees (including stand-alone)
- Breach of Confidentiality
- Breach of Contract
- Construction Defects
- Environmental Claims
- Pre-August 6, 1997 Workers’ Compensation
Call or contact us Strategic Settlements today to learn how we can help you make the most of your Non-Qualified Settlement.