Professional services
Law Firm Contingency Fee Calculator
How a settlement divides between the contingency fee, case costs and the client, under either order of deduction.
Result
Business arithmetic for running a practice, not legal advice. Fee agreements, contingency limits, trust accounting and fee splitting are governed by the rules of professional conduct in your jurisdiction, and several of them are strict. Check the applicable rules before any of this affects a client agreement. This shows how a distribution divides once the figures are known. It does not value a case and cannot: that depends on liability, damages, insurance limits, jurisdiction and facts. Contingency percentages are capped by statute or court rule in many jurisdictions and for many matter types, sliding scales are common, and the fee agreement must state clearly whether costs come off before or after the fee.
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About this calculator
Does the order of deduction matter?
Substantially, and it is the most common source of client confusion. Taking the fee on the gross yields a larger fee than taking it after costs are deducted, and the agreement must say which applies.
Are contingency fees capped?
Often. Many jurisdictions cap them for personal injury or medical malpractice, sometimes on a sliding scale that falls as the recovery rises. Some matter types prohibit them entirely. Check your rules.
Who pays if the case is lost?
It depends entirely on the agreement. Some firms absorb advanced costs, others seek reimbursement from the client. The rules on what may be agreed differ by jurisdiction and the term must be explicit.
The formula
fee = settlement x rate, or (settlement - costs) x rate depending on the agreement; client net is what remains after fee, costs and liens
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