Why Does the Court Have to Approve My Child's Personal Injury Settlement VA Attorney Chris Jacobs

Hi. Im Chris Jacobs with the law firm of
Kalfus & Nachman. Im a personal injury attorney here in the state of Virginia. We
handle many different personal injury cases and some of the cases we handle are children.
A lot of questions I get are cases such as why does the court have to approve my childs
personal injury settlement? Well, thats a good question and I answer these questions
all the time.

One of the answers to that question is a child is under 18 so a child cannot contract.
Plus, a child cannot sign a statement saying the case has been settled. So the court has
to approve that settlement. The court is there to help the child and protect the child and
to make sure he gets a fair and equitable settlement. Also, the defense has a right
to have the court intervene and make sure that the case has been settled.

Because children
cannot enter into a contract, a lot of settlements are approved by the court and the court is
there to make sure that the child is protected. Hes protected against his own attorney,
hes protected against his parents and protected against the defense. In many instances, the
court is there to approve the settlement because the child or a minor  or somebody who is
under 18  cannot carry on their own finances. So the court intervenes and makes sure that
those monies that the child receives is safeguarded.

This is where the court orders the money paid
into the court or a structured settlement is negotiated. Now you may ask what a structured
settlement is and thats a good question. A structured settlement is where a company
protects the money for a child and pays the child out in certain increments. This provides
for many things such as the childs money is increasing in value from interest and theres
no tax consequence on it.

Im Chris Jacobs with the law firm of Kalfus & Nachman. Im
a personal injury attorney here in Virginia. Thank you for watching. Im here to answer
any of your questions, just call the number below..

When are Immediate Annuities Better than a Hybrid Annuity

Today, we want to talk about immediate annuities and do a little
comparison with immediate annuities and why you might consider an immediate
annuity. Eric: One of the things we often hear, in today's world, where you have
this hybrid annuity, which gives you lifetime income as well as some other
bonuses/extras, why would you ever want to actually look at using an immediate
annuity, where you're going to give up your assets? Dick: Right. That is the
difference, Eric. When we think about the hybrid annuity, it's kind of your cake and
eat it too annuity, where you can get your lifetime income, but you don't have to
give up your asset.

Yet, there is a place for an immediate annuity. In fact, let's
do a little history lesson. How about some trivia here? When we think about an
immediate annuity, it literally goes back to the early Roman Empire. They called it
the "annua," and that's where the word annuity comes from.

So it is a very early
form of an annuity, and it has really gone through the test of time, spanned the
centuries. Eric: So next time you have your toga on, you'll know to get your
annua language out. Exactly. It's an old standard.

It was the first kind of annuity
out there, the standard lifetime annuity. You gave up a lump sum, and you got a
lifetime income stream. Dick: It is probably the truest pension-style income.
In fact, immediate annuities, a lot of companies will offer a choice of a lump
some or an immediate annuity. Eric: I.

Talked about immediate annuities with a
lot of clients, when they were saying, "Hey, I've got a 401(k). I want a lifetime
income. What can I do to get my own personal pension?" Dick: Yes. Eric: That's
kind of how we think of it.

The thing is you're usually giving up that 401(k) in
exchange for that lifetime income stream. Now, the big thing here is you realize
that none of those dollars are going on to heirs. Dick: Yes. Well, in a true pension,
there's no money in a pension, as a rule.

When you have a pension, when you pass,
the money ends, or if you've chosen a survivorship option, you've probably taken
a little bit lower payment on your pension, and then some of those payments
will go on to perhaps a spouse. Eric: Exactly. When I grew up, my parents were
educators. So they had a traditional kind of benefit program, where they have a
retirement that's there as long as they live.

The bad thing is, once they're gone,
nothing goes on to me. Being a little self- serving here now. The 401(k) plan .
. .

Dick: Why didn't they get a hybrid annuity? Eric: Exactly. Why can't they get
a hybrid annuity? So when they're looking at it, that's the old style. The hybrid,
on the other hand, allows you to pass some of those dollars on to heirs typically.
Dick: Right. So, really, where the immediate annuity fits, let's just give
some examples.

Someone who really wants to start income right now. Eric: With an
traditional immediate annuity, typically you're going to get a higher payout than
you would with a hybrid. Dick: Yes. Eric: You're going to start with a little bit
higher.

. . Dick: Typically. But we have seen a few instances where .

. . You've
got to run some illustrations to know. Eric: Exactly.

So that's one of the things
that when people are going that direction, that's usually the reason. Dick: General
assumption is you're going to get more income. Eric: A little bit more. A higher
percentage to start with.

Dick: Right. Then the other key factor would be that,
perhaps, if you're going to use an immediate, you really aren't as concerned
about giving money over to heirs. Eric: Right. Are there ways to get money on to
either survivors or heirs? That's one of the things we .

. . Dick: With an
immediate? Eric: An immediate annuity. You can structure it so that it's a joint
lifetime payout.

So if you and a spouse purchase an immediate annuity, you can set
it up so that it is the lifetime of both of you or either of you. Whoever lives the
longest, those payments will continue. There are little tweaks that you can even
do there, where you can set it up so that once one passes, it sometimes reduces by a
percentage. Dick: A percentage, so they only get three-quarters or one half of the
annuity.

Eric: Right. The other way that you can somewhat pass on dollars to heirs
is there are a couple of things. You can do a period certain, where it's lifetime
with a certain number of years guaranteed. A lot of times you'll see somebody do a
lifetime annuity with 20 years guaranteed.

So that 20 years of payments is
guaranteed. Dick: So if I pass in 5 years, somebody is going to get another 15 years
of payments. Eric: Correct. Dick: But what does that do to my income? Eric: It's
going to reduce your payments.

You have to realize going in, if your goal is the
highest payout possible, you don't want to add any of these other pieces. But if
you're wanting to try to pass on money to somebody, that's a way of guaranteeing
basically that some of that comes back. One of the things I always look at is
either the installment refund or the cash refund, which says once you purchase the
immediate annuity, if you haven't gotten back at least what you paid in principal
wise, that amount will be refunded either to your heirs or to your estate. Dick:
Well, isn't that the installment refund? Eric: The installment refund keeps the
payments coming back to your return of principal.

Dick: Okay. So you're talking
about the full lump sum. Eric: Yes, just a refund of whatever you've put in, so it's
either a lump sum or installment refund. Dick: One of the biggest vulnerabilities
that Eric and I look at with our clients, and what we think you should be concerned
about, is inflation.

That is probably one of the biggest vulnerabilities we face. We
have had historic inflation the last 4 decades of over 4%. We believe that the
stage is really set for some higher inflation over the next two or three
decades, which is going to cover most retirees. So if we would happen to go
through a stretch of 4% or 5% - I'm not talking about runaway hyper third world
country inflation - but if we're talking 4%, 4.5%, 5%, 6% Inflation, that makes
that immediate annuity, if you have no inflation cost of living adjustment, a
COLA on it, it really puts you at a disadvantage.

Eric: Yes, especially if
you've got longevity in what you're looking at. You realize you're taking a
level payment and you're stretching it over your lifetime. So your purchasing
power is going to diminish with inflation. Dick: Right.

So one of the things that we
do suggest, very strongly, is that whatever type of annuity, whether it's an
immediate annuity, a hybrid annuity, a deferred annuity where you're deferring it
for a long time, that you're really taking inflation into account. There are
different ways to structure for inflation, but if you're not taking it into account,
you're really setting yourself up for a bad situation. Eric: Right. That's another
aspect that you can add to an immediate annuity.

Some of them you can add a cost
of living adjustment. Others have a fixed percentage. Dick: Tied to a consumer price
index or a fixed percentage. Eric: So those are things you can add, but you
realize you're going to start lower.

Dick: Your payments are going to start lower.
Right. Eric: So it's all about the tradeoffs. Dick: I love the idea of a real
cost of living adjustment. So if things get carried away and we start seeing 5% or
6% inflation, we've covered a major vulnerability in a retirement plan.

Eric:
Yes. That's what we're looking at here. When we're looking at immediate annuities,
we're looking at you creating your own personal pension. Dick: yes, that's right.
Eric: If you're into this marketplace, where you're going to create a personal
pension, and you have that magic number you know that you need to hit and you can
anticipate the growth, that's where this product really comes in.

Dick: So if we're
to kind of wind up this discussion on immediate annuities, being a true
pension-style income, where would we summarize that this is going to fit? What
type of person should buy an immediate annuity, should really consider it for
their retirement portfolio? Eric: I always say it's someone with no heirs, that
doesn't have to worry about passing on dollars to somebody in the future. They're
not worried about that. They want the highest payout now, and that's really the
person that I start with. Dick: Right.

I think that, in winding this up,
we just want to say, do a fair comparison. You may be the ideal person for an
immediate annuity, but get with a professional advisor, run some
illustrations, compare it. We have actually seen situations where a hybrid
annuity can right off the bat outperform an immediate annuity. It's not often, but
it does happen.

Eric: Yes. Very good. Dick: Thank you. Eric: Have a great day..

Tax Free Annuities, Limited Supply!

Today, we are talking
about tax-free annuities. Dick: Better get them while they last, Eric. Eric: They are in limited supply. When their
shelves are empty, they are all gone.

Dick: That is right. Eric: You better act quickly. Dick: How about that? Tax-free annuities;
isn't that the opposite of what we're told? Stereotypically, annuities are
taxed at ordinary income tax rates, just like IRAs. Eric: You know what the CPAs are calling right
now, "They are wrong.

The tax-free annuity doesn't exist." Dick: Our phone's going to be blowing up. Eric: They'll tell you it doesn't exist. I
have not seen anyone advertise for a tax-free Annuity. Dick: Here we have a limited supply.

Eric: That is right; we've got them in short
supply. Dick, you got to tell us, how does one get one of these limited
supply annuities? Dick: Here we go. What we have is no different
than what you have, and that is you have your traditional IRA, that IRA
can be converted to a Roth, of course, you will have to pay your tax the
following year. Eric: They are not tax-free then.

Dick: You have to pay the tax in the IRA. Eric: It's the first, okay. Dick: Folks, once that you've actually converted
to the Roth, you can then put that money into an annuity. That annuity
becomes fully tax-free.

It can give you a tax-free income for the
rest of your life; it can pass tax-free to your heirs. It can actually
become a retirement account for your heirs. There's some intricacies
to that, which we can talk about. The idea of using a Roth strategy
in an annuity is not that well-known, it's not talked about that
often, and it can be a great advantage.

Eric: We say limited supply; why do you say
limited supply? We've Roths for how long? There's been a recent change though,
it used to be there was an income threshold out there. Dick: In 2010 they wiped it out. If you make
over $100,000, it doesn't matter, you can convert. Limited supply, we're
having a little fun with this, folks, like an annuity sale.

The
limited supply really comes down to Uncle Sam giveth . . . Eric: And Uncle Sam taketh away.

When someone's
looking for tax dollars . . . Dick: Our government needs money.

Eric: If you believe taxes are going up, raise
your hand. If that is the case, is better to then . . .

Dick: It is likely that Roth could be an endangered
species. Eric: Roth will turn to Moth. Dick: It could. Eric: It is going to mothballs very soon.

Dick: Getting poetic. Eric: Yes, I am trying to rhyme. Dick: If we're in this situation where taxes
were likely to rise, the government is looking for revenue, the Roth
advantage benefit could be closed, tightened up. What we really experienced
in the past Eric, with various insurance products and tax advantages,
as long as they were entered into legally and under IRS and
government-type sanctions, then usually, there was a guy in there who
grand fathered in.

It's the new folks coming in that were somewhat penalized. Eric: usually, they won't go back and try
to take it away from you, usually. Right now we believe that if people
get it in before the government decides that this money is too
tempting, we've got to reach in there and get [inaudible: 03:46]. Dick: We can just let these people this tax-free
advantage.

Eric: Or their kids or their grandkids. Dick: That's where we go into it is potentially
limited supply. Folks, this is something you genuinely want to consider,
you want to use an advisor that really understands the Roth-IRA,
the tax advantages, and the ways to incorporate that into annuity.
Eric, I'd like to point out another thing while I'm thinking about it
here; there's different ways to convert an annuity to a Roth-IRA. We could
use an existing annuity that's an IRA.

Eric: You are saying if I own an annuity that
has an IRA wrapper with it already . . . Dick: You can convert it.

Eric: I don't have to convert the annuity?
I don't have to go get a new annuity? Dick: You do not. You can actually convert
that annuity in to a Roth. Even better, in some situations where you're doing
proper planning and you know in advance that you're going to be converting
this, you may want to go ahead and convert your Roth inside your
present account then transfer the Roth into an annuity, if that
was the purpose or the reasoning; pick up that 10% bonus, tax-free,
8% bonus, or whatever you get with the annuity. Again, as maybe you
have an income rider.

I'm getting too much here Eric: I just got a tax-free bonus. Dick: It is just the whole package of being
tax-free, and the fact that if you put an income rider on it, that you're
going to have potentially tax-free income. Even if your account value
goes to 0 because you have lived a long, long life, your income will
just continue tax-free. Eric: Obviously, there are standard benefits
of the Roth that you don't have to worry about RMDs; the transfer of
wealth tax-free.

In many ways, it [inaudible: 05:44] life insurance.
One thing that I was looking at earlier was the Social Security
Tax aspect. The reason that comes into play, even with annuities with
IRA wrapper, a lot of times you are going to take those RMDs that are
going to kick that Social Security income level to a level that's taxable. Dick: It really can push it up in to that
taxable. Eric: If that is one of the things you can
potentially avoid by converting it into a Roth, there's even sometimes that
it's .

. . Usually, the rule of thumb used to be you want to be able
to pay for that conversion, those taxes basically, out-of-pocket.
You don't want to reduce your balance. Dick: Exactly.

Eric: Some of the formulas that we've looked
at actually said, "You can save more on the backend by not having those
RMDs force you in to a higher taxable consequence." Now we're talking
all sorts of fun things. Dick: I think a lot of it, Eric, gets down
to; do we believe taxes are going to go up? If you believe taxes are going
up, folks, raise your hands. It's unanimous, no hold-outs. Most
rational folks .

. . Eric: And some irrational. Dick: .

. . Believe that taxes have nowhere
to go, at least for the next 10 or 20 years, but up. It's a perfect place
to look at Roth and say, "Whether I'm going to use the money or I'm
going to pass it to my heirs, I want to protect them from increasing
taxes." Eric: If nothing else, it needs to be one
of the things you consider for your retirement future, is how it will impact.
Work with a good advisor, discuss the possibilities, and it
should be one of those pieces that's on the table.

Taxes are going
up; limited supply. Dick: That's right. Get them while they last.
Thank you. Eric: Have a great day..

Structured Settlement Payments Guarantee from Settlement Capital Corporation

Hi, I'm Debbie Rosen, the President and CEO
of Settlement Capital Corporation. I'm here today with my personal guarantee that when
you sell your structured settlement or annuity to us you'll come away with more money, and
you'll be happier with the experience. There are three great reasons why you should
call us to get a free quote. First, you'll get the most cash when you sell to us our
financial resources allow us to pay you more money.

We're very careful with our budgets
and we don't spend waste millions on expensive TV commercials. Second, no one can get money to you faster
than Settlement Capital. We know the ins and outs of this business. We've been buying settlements
for 23 years, and are a founding member of the National Association of Settlement Purchasers.
Our connections run deep.

Third, you'll get the best service anywhere
when you deal with us. If you're tired of getting pesky collection calls from your landlord,
mortgage company, or other lender, once the wheels are in motion to get your cash, we'll
call them for you and explain that money is on the way. And if you need money fast, let
us know and we'll advance you cash as soon as you qualify. Get started by calling us toll-free at 800-959-0041
or complete our contact form and we'll call you at your convenience.

No obligation. No
pressure. We promise..

Structured settlement money for new home improvements pay off mortgage

At Settlement Capital, we change lives. Listen
as our agents recall a few memorable stories. Many people are able to pay for their college
education and not have student loan debt once they did graduate. I have enjoyed seeing people
buy their first home, I've enjoyed seeing people sell their home and upside and get
the larger home for their expanding family.

There are a lot of happy things that people
have sold their payments for that have turned out in a positive way. I had an annuitant who after working with
him and making sure he had enough to take care of his financial needs, which in his
case he needed to pay up his mortgage because he was about to lose his home. We became friends.
And from time to time we would just talk. He would call me just to talk.

And I would
want to know how his wife was, how his family was, by then he know that I had gotten married,
he would ask me about my husband. I've helped many people achieve their goals
through selling their annuities. One in particular is a man in Ohio who came across an uncertain
time but was able to a college education for his kids by selling his annuities. I'm reminded
as well of another opportunity I had to assist one of our customers who was in desperate
need of some back surgery.

But with lack of insurance they were in a tough spot. But with
selling their annuity we were able to get them surgery they need in a timely fashion. You can trust that what you'll hear from us
is the real deal and you'll get it in writing. We even give you our best price guarantee.
You can't lose! Call us toll free at 800-959-0065 and ask for any of our professional and compassionate
funding agents.

They'll listen to you and in minutes you'll
have your free quote in your hands. No obligation. No pressure. We promise..

structured settlement loan

STRUCTURED SETTLEMENTS & STRUCTURED SETTLEMENT
LOANS. When dealing with civil law, especially personal
injury lawsuits and legislation involving accidents, plenty of potential lawsuits never
see the inside of a courtroom. This is because the plaintiff accepts a settlement
from the defendant or, very often, from the defendants insurance company. In order to reach a settlement, the plaintiff
agrees to discontinue the legal action and the defendant or his or her insurance
company agrees to arrange for payment.

That payment could be all at once in the form
of a lump sum, or could be over time in the form of a structured settlement. Structured settlements result in plenty of
payouts over time and the total amount could be higher because the entity paying has more
time to pay. As explained in FindLaw
With a structured settlement, a defendants insurer typically funds an annuity policy
for the plaintiff. An annuity produces a continuous stream of
income over the term of the structured settlement.

Annuity contracts can be quite complex to
cover a variety of expected expenses. A structured settlement may provide a plaintiff
with a substantial tax benefit, the piece continues. Many lump-sum settlements are considered
income and must be claimed on tax returns. Funds received from an annuity are tax-free
as long as the plaintiff does not control the funds.

Plaintiffs who receive lump-sum settlements
often spend everything within five years. Afterwards
many become dependent on the government for their support. With a structured settlement, the funds are
preserved throughout the time of plaintiffs disability. Annuity funds must be managed by a professional.

Proper financial planning will help make sure
plaintiffs have enough funds to cover future expenses. Parties may tailor annuities to cover a plaintiffs
specific needs and all sorts of future demands or contingencies. In most state annuities are protected by state
insurance laws that guarantee the obligations of a bankrupt insurer will be covered. A lump-sum payment may be combined with a
structured settlement to meet immediate expenses such as medical bills, repayment of debts,
rehabilitation costs, and the like.

Parties can dedicate funds of a structured
settlement to cover unanticipated advances in medicine so that if medical science develops
a miracle cure the plaintiff can give it a try. A structured settlement may allow parties
who are far apart in their settlement negotiations to close the gap and reach an agreement acceptable
to both the plaintiff and the defendant. Among the liabilities of a structured settlement
are the fact that if the plaintiff retains too much control over the structured settlement
proceeds, the IRS may look at the situation and decide that the tax break must be forfeited. A plaintiff may fear that, no matter how the
settlement protects against negative economic conditions such as inflation or recession,
unknown changes in the economy could make the annuity payments too small.

Sometimes, an annuity is placed with brokers
who do not have sufficient protection for insolvency (when financial obligations outweigh
assets). Insurance companies are usually reluctant
to disclose how much they will have to pay to buy an annuity covering the amount of the
settlement. A structured settlement frequently costs insurance
companies much less than it would to make a lump-sum settlement. Without this information, however, the plaintiffs
attorney may not be able to make a complete assessment of the benefits and drawbacks of
a settlement offer.

In many circumstances, a settlement may be
a faster, cheaper, and less stressful alternative to trial. An experienced personal injury attorney can
discuss the facts of your case with you and help you decide whether a structured settlement
would be your best interests. A structured settlement can be sold for a
lump sum of cash now. Because the present value of money,
particularly in an environment of high interest, is lower than the amount of the deferred payment
the lump sum received is typically less than the total value of the annuity payments.

The assumption is that the borrower is willing
to exchange that higher total value for the benefit of the lump sum funds immediately
In other words, money now is worth more to the person spending it than a greater amount
of money later, but in the eyes of the lender, the exchange is one of a greater amount of
value in future payments versus the cost to the lender of the lump sum paid out now. But should you sell your structured settlement? Should you borrow against all or part of it? For that matter,
links http://paymaster.Co/structured-settlement-loans/.

Structured Settlement How To Stop Debt Collection Calls

When you need cash right away, and need someone
to make the calls to your landlord, mortgage holder, car loan company, utility provider
or other creditors to explain that money is on the way, you can count on the professionals
at Settlement Capital to help you buy time. If they've told me my landlord is needing
the rent, I'll make a call to the landlord depending on what the situation is. If we
can, we will get a check cut to the landlord immediately. If they're telling me that they're
being faced with their car going away, or their lights cutting off, then we will go
above and beyond to make sure to get some money in their hands so that they can satisfy
that debt right away.

If someone's house is being foreclosed on,
or a car was going to be repossessed, or things of that nature, landlord about to evict the
person, trying to contact whoever it is and let them know there is a transaction in place.
And the seller does want to pay you, it's just going to take a little bit of time, and
a lot of times we can buy time that way. Aren't these the kind of folks you want on
your side? We work hard to come through for you and we keep our promises. Call us toll-free
at 800-959-0065 and ask for any of our professional and compassionate funding agents. They'll
listen to you and in minutes you'll have your free quote in your hands.

No obligation. No
pressure. We promise..