What Should You Do With Your Compensation?

Money bands

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There are so many options out there of what you can do with your compensation. I would say 50% of people claim compensation at one point in their lives for one reason or another. In the past you will just be given a cheque for the full amount and that would be the end of it, times however have changed.

The most popular way now to compensate people is by paying the total amount incrementally, this is the soundest way for the insurance companies to carry the cost.

I understand that for many people receiving the money monthly will feel great and in effect will act as a bonus in your wage packet.

But I know for a fact many people will much rather have the full amount in their bank account and for those people I will now highlight another option.

There are companies out there that take over your structured monthly settlement and in return pay you a lump sum of cash, the catch is the lump sum is less than it otherwise would have been.

This article will highlight what opportunities there are for you if you decide to take the deal.

Complete Freedom

Having complete freedom to spend your money as you like is a wonderful thing and it is certainly attainable if you proceed to obtaining structured settlement funding. This is a brilliant way to enable access to often a large amount of money for very little sacrifice. I mean taking a loss on the overall sum isn’t a big sacrifice compared to the gains that you can make.

We are in a period of sustained economic downturn and people would literally kill to be in the position of selecting whether receiving a lump sum of money is a good or bad thing. You have just got to think about your life prior to the money and what it would be like with the money.

Obviously you have to factor in what the benefits of receiving the cash monthly are but in my opinion this is an option that isn’t advisable. Obviously the courts and financial advisors will suggest you stick with the long term plan however I think you have got to think short term when it comes to things like this.

A Chance to Save

Having access to all of the money doesn’t mean you have to spend it all, there is certainly the chance to save and I would actively advise this. You never know when you are going to need money and for what reason so do make sure that you have enough stashed away to cater for your needs when it comes to it.

A Chance to Explore

Having the chance to explore is a brilliant thing and something many people can’t have without making major life sacrifices. If you have access to the cash you can explore the world and still lead a normal life, something that I personally dream about being able to do. Believe me I won’t be saving enough money from writing this to enable it to happen.

Andrew is an author who graduated from the LSE with a degree in business and economics. His passion however lay with writing and has over 15 years industry experience writing about all sorts of topics.

Tim Esterdahl

Tim Esterdahl is the editor of IFCS blog. He is a married father of three and enjoys golf in his spare time.

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