Contingency Fee Structure

The vast majority of disability lawyers charge a contingency fee, meaning they don’t charge you upfront or hourly fees. Instead, they receive a percentage of your back pay or lump sum benefit if you win the case. This is beneficial for many claimants, especially those who may not be able to afford an hourly rate or retainer. Here’s how the contingency fee typically works:

• Percentage of Back Pay: The standard fee for a Social Security disability lawyer is around 25% of your back pay (the total amount of disability benefits owed to you from the time you applied until the approval of your claim). This is subject to a cap, meaning the lawyer cannot charge more than a set amount, no matter how much your back pay is.
• Maximum Fee Cap: The Social Security Administration (SSA) limits the amount that a lawyer can charge. The maximum fee a disability lawyer can receive is $6,000 (as of 2025). This cap applies regardless of how much back pay you receive. For example, if your back pay is $50,000, the lawyer would typically receive 25% of it, but no more than the $6,000 cap.

Fee Breakdown for Different Phases of Your Case

• Initial Application: If you hire a lawyer at the beginning of your claim, they will generally represent you throughout the entire process, from the initial application to any appeals. They will charge the standard contingency fee if you win the case.
• Appeals: If your claim is denied and you decide to appeal, you can continue working with the same lawyer. The lawyer can charge a contingency fee for any back pay you receive after the appeal is successful, subject to the same fee cap.

Additional Costs You May Encounter

While the contingency fee is the primary cost of hiring a disability lawyer, there could be additional minor expenses that are not covered by the lawyer’s fee, such as:

• Medical Record Fees: Obtaining copies of your medical records or additional documentation required to support your case may incur small fees.
• Expert Witness Fees: In some cases, your lawyer may hire a medical expert or vocational expert to support your claim, and these experts may charge a fee for their testimony or written reports.
• Administrative Costs: Some lawyers may charge for administrative expenses like postage, copies, or filing fees, although this varies by law firm.

Do You Have to Pay If You Lose?

Because disability lawyers work on a contingency fee basis, you do not have to pay any fees if you lose your case. This is one of the main advantages of hiring a disability lawyer — there’s little financial risk for you. However, you may still be responsible for covering other out-of-pocket expenses like those mentioned earlier.

Why Hiring a Disability Lawyer Can Be Worth the Cost
Many people wonder if hiring a lawyer is worth the cost, especially when the lawyer is taking a percentage of their benefits. Here are some reasons why it can be beneficial:

• Increased Chances of Success: Studies show that claimants who hire a disability lawyer are more likely to be approved for benefits than those who apply on their own.
• Expert Guidance: Disability lawyers are experienced in handling complex cases and navigating the legal process. They can help you gather necessary medical evidence, complete your application accurately, and represent you at hearings.
• No Upfront Costs: Since the lawyer only gets paid if you win, you don’t have to worry about paying out of pocket for legal services.

What If I Can't Afford a Lawyer?

If you are concerned about the cost of hiring a disability lawyer, you should know that many lawyers offer free consultations, and you can discuss their fees upfront. If a lawyer agrees to represent you, they’ll explain how the contingency fee will work, so you can determine if it’s affordable for you.

Additionally, the SSA does not require you to hire a lawyer, and you can still apply for benefits on your own if you prefer to avoid lawyer fees. However, hiring a lawyer can significantly increase your chances of a successful claim, especially if your case is complicated or involves an appeal.