Tips on What to Do With Your VCF Award Money

Receiving an award from the September 11th Victim Compensation Fund (VCF) can be a significant turning point for those impacted by the terrorist attacks on the World Trade Center (WTC). While this compensation brings some relief, it also presents a new challenge: managing and utilizing this award effectively. Navigating the financial aspects of a VCF award requires thoughtful planning, especially considering the long-term health concerns and financial impacts associated with 9/11-related conditions. What to do with your VCF award money depends on your unique circumstances, but the dedicated 9/11 attorneys at Hansen & Rosasco, LLP can offer practical advice and tips on how to use your VCF award to secure a stable and secure financial future, addressing both immediate needs and long-term goals.

Calculating Your VCF Award

For those eligible for compensation, the VCF award calculation involves a thorough and complex process. It accounts for several factors, including economic and non-economic losses such as pain and suffering, loss of earnings, loss of benefits, and loss of services related to daily living. The VCF also considers collateral source payments such as life insurance and social security disability when determining the final amount. An experienced 9/11 attorney can help navigate through the process of maximizing your award and providing guidance on collateral offset provisions – all to maximize your VCF award.

What Does the VCF Compensate?

The VCF provides compensation for World Trade Center Health Program (WTCHP) certified health conditions that include amounts for pain and suffering plus economic losses such as lost earnings and benefits, out-of-pocket medical expenses. In wrongful death claims, the VCF award also includes amounts for pain and suffering and economic losses, plus also amounts for surviving spouses and any dependents as well as 100% reimbursement for funeral and burial expenses. For certified conditions, it covers physical health conditions and cancers sustained in the attacks; in the immediate rescue, recovery, and clean-up efforts; or from exposure to the toxic cloud of dust and debris that lingered in the air for months after the attacks. For wrongful death claims, the VCF compensates the victim's family (the deceased’s estate). 

How to Move Forward with Your VCF Award

Determining the best way to move forward with your VCF compensation requires careful consideration and strategic planning. Whether it’s addressing accumulated debts, managing aspects of your estate, or making investments for the future, each decision plays a crucial role in ensuring long-term financial security and stability. Essential strategies for effectively managing your VCF award include setting aside funds for future non-9/11 medical needs and analyzing current debts to make wise investments.

Set Aside a Sum for Future Needs

The VCF award is paid in one tax-free lump-sum, even if the award is meant to cover a number of years of future lost earnings or suffering. Setting aside a portion of your VCF award for future needs is a prudent approach to financial planning. One key area is establishing an emergency fund to provide a buffer against unforeseen life events like job loss or urgent home repairs. This can offer peace of mind and stability. Investing in education and career development can also be a strategic use of your VCF settlement, whether it's for your own professional growth or your children's or grandchildren’s future educational needs. 

While the WTCHP provides comprehensive coverage for certified 9/11-related health conditions, it's wise to prepare for unexpected medical issues that are not 9/11-related and not covered under this program. Allocating funds for potential medical expenses that aren’t covered ensures a financial safety net, helping you manage health issues without undue financial burden.

Considering long-term financial health, contributing to retirement savings is another important consideration, especially if your income has been impacted by the events of 9/11. Setting aside funds for the needs of your family and dependents is another thoughtful way to plan for the future. 

Analyze Your Debt

Using a portion of your settlement to pay off or reduce debts can provide a sense of financial relief and stability, reducing the stress and anxiety associated with financial burdens. This might include medical bills, credit card debt, an auto loan, or a mortgage. Analyzing your debts to determine which should be paid first is an important part of the process. This step towards financial stability allows you to focus more on your health, family, and future, without the looming worry of growing debts and interest.

Consider Wise Investments

Once immediate needs are addressed, consider investing a part of your settlement. Investments can generate passive income, offering long-term financial security. Diverse portfolios might include real estate, stocks, or retirement funds. However, it's crucial to consult with a qualified financial advisor to make informed decisions that align with your risk tolerance and financial goals.

A Trusted Advisor Can Guide Your Settlement Plan

A trusted financial advisor can provide invaluable assistance in managing your settlement, offering expertise and personalized guidance to help you make the most of your settlement.
They bring a wealth of knowledge in various financial disciplines, including investment strategies, tax planning, estate planning, and risk management.

A dedicated 9/11 attorney will understand your unique situation, and recommend professionals that can help you develop a customized financial plan, guide you through investment options, provide advice on tax implications, and assist you in planning for the future. Their wealth of knowledge not only helps in making informed financial decisions, but also provides peace of mind, knowing that your financial future is being guided by a professional who understands your unique journey as a 9/11 victim. With their support, you can navigate post-settlement life with greater confidence and financial security.

Consult an Experienced 9/11 Attorney

From filing VCF claims to providing advice on what to do with your VCF award money, an attorney specialized in 9/11 claims is instrumental in ensuring that you receive the maximum compensation. They work to understand the depth of your economic and non-economic loss, advocating for your rights and guiding you through the complex legal and administrative process.

Receiving your VCF settlement money is just the beginning. With calculated planning and expert guidance, your VCF award money can provide the foundation for financial stability. Whether it's investing wisely, planning for future emergencies, or paying off debt, each decision should be made with careful consideration and strategic planning. An experienced 9/11 attorney is your trusted financial advisor to ensure that your VCF award provides the maximum benefit for your long-term well-being and financial stability. Contact the 9/11 attorneys at Hansen & Rosasco, LLP today for a free consultation.