Social Security Disability: Lawyer & Attorney Fees

Legal Author - Travis Hansen, Esq.
Updated - September 1, 2025

Overview

The attorney/representative fee amount and fee process are established by Social Security. An attorney/representative cannot charge a fee that does not comply with Social Security's fee rules. An attorney/representative may seek a fee in one of two Social Security approved ways. First, the attorney/representative files a fee agreement. Second, the attorney/representative files a fee petition.

Fee Agreement

The Usual Fee Payment Process

A fee agreement is the usual method an attorney/representative uses to seek a fee. The attorney/representative writes the fee agreement, and it is signed by you and the attorney/representative. It is a contract between both of you. The attorney/representative files the fee agreement with Social Security. Social Security allows the attorney/representative to charge up to $9,200 or 25% of your back pay whichever is less, and you only owe a fee if you win your case. This is called a contingency fee agreement. If you win your claim, Social Security will withhold the fee from your back pay and pay it directly to your attorney/representative. You do not have to pay the attorney/representative directly as Social Security has done so. Again, if you lose your case, you do not owe an attorney/representative fee. Your back pay in a supplemental security income (SSI) disability case is the total amount of monthly benefits Social Security owes you from the date Social Security finds you disabled or your application date, whichever is later until the time you are paid your benefits. Your back pay in a Social Security disability insurance (SSDI) case is the total amount of monthly benefits Social Secuirty owes you from the the date Social Security finds you disabled or one year before your application date, whichever is later until the time you are paid your benefits.

In either case, Social Security will review and must approve the fee. If you win your case and the attorney filed a fee agreement, Social Security will approve or deny the fee agreement in the decision awarding you benefits. If the fee agreement is approved, you will have the opportunity to write an argument disputing the fee before the fee is paid. If the fee agreement is denied, the attorney must submit a fee petition.

Fee Agreement Contract Example - Fee Agreement.

Fee Agreement Errors

Sometimes Social Security may not withhold the attorney/representative fee from your back pay. This is rare, but it happens generally for one of two reasons. First, Social Security approved the fee agreement but erred and did not withold the attorney/representative fee from your back pay. Second, your attorney/representative erred filing the fee agreement, and Social Security denied the fee agreement. In the first scenario, when Social Security is notified of its error, it will pay the attorney/representative the fee (eventually) and then withhold a small amount of your monthly benefit each month until the attorney/representative fee is paid. In the second scenario, your attorney/representative will need to file a fee petition.

Fee Petition

An Uncommon Fee Payment Process

A fee petition is a far less common method used by an attorney/representative to collect a fee. This method is generally used for one of two reasons: 1) as discussed above, your attorney erred in filing a fee agreement; 2) you hired more than one attorney/representative over the course of your claim, and more than one of the attorneys/representatives seeks payment; or 3) your only attorney/representative seeks a higher fee than $9,200 or 25% of your back pay.

If you have hired more than one attorney/representative to represent you over the course of your claim, your previous attorney(s)/representative(s) and you current attorney/representative are entitled to payment for their work. This is true even if you fired your previous attorney(s)/representative(s) or even if your previous attorney(s)/representative(s) withdrew from your case. If the previous attorney(s)/representative(s) waived their fees in a letter to Social Security, then the previous attorney(s)/representative(s) will not be paid a fee.

If the aforementioned reason #2 (more than one attorney) or reason #3 (higher fee sought) occurs, Social Security will only pay you 75% of your back pay. Social Security will withhold the remaining 25% until it determines the attorney(s)/representative(s) fees. If the fee(s) total 25% of your back pay, you will receive no further back pay. If the fees do not total 25% of your back pay, you will receive the remaining difference between the attorney(s)/representative(s) fee(s) and withheld 25% of your back pay.

If you have more than one attorney/representative, Social Security most commonly will still only pay $9,200 or 25% of your back pay as an attorney/representative's fee, whichever is less. The amount will be split between or amoung your multiple attorneys/representatives. Sometimes, Social Security will pay less than $9,200 to your multiple attorneys/repesentatives. However, if 25% of your back pay is more than $9,200, Social Security also sometimes pays your multiple attorneys/representatives more than the $9,200. Social Security very, very rarely pays multiple attorneys/representatives or a single attorney who is asking for a higher fee more than 25% of you back pay.

An ALJ will pay an attorney more than $9,200 or 25% of your back pay whichever is less in rare circumstances. A higher fee is requested and granted if 1) the casefile was very long (5,000 pages or more) or 2) the attorney represented you at the intial level, reconsideration level, hearing level, Appeals Council level, and then again at the hearing level (two hearings and a post-hearing appeal is the key here).

The ALJ will send you a copy of his fee decision which allows you to write an argument disputing the fee for either attorney/representative before the fee is paid.

Filing a Fee Petition. When an attorney/representative files a fee petition, she will file three things: 1) a Social Security form - "SSA-1560 - Petition to Obtain Approval of A Fee for A Claimant Before The Social Security Administration," 2) a letter arguing for the fee requested, and 3) an itemization of the attorney/representative's time spent on the client's case.

Costs

Costs are expenses necessary to process your case. Costs do not compensate your attorney/representative. Costs are not included in the fee paid to your attorney/representative. Costs can be owed even if you lose your case. Costs always include the cost of obtaining medical records, and can also include but are not limited to:

1. Treating doctor statements,
2. Hired medical expert statements or evaluations,
3. Vocational expert reports (these are rare), and
4. Postage or a variety of other minimal expenses.

Attorneys/representatives handle costs in one of three ways. First, the attorney/representative will require you to pay the costs up front or as they occur. Second, the attorney/representative will pay the costs as they occur and bill you after the case is complete whether the case is won or lost. Third, though not allowed by state bar rules, the attorney/representative will pay the costs and never bill you.

Do I Need A Social Security Disability Lawyer?

Whether you should hire a Social Security disability lawyer for either your SSDI or SSI disability case depends on a variety of factors. Below is a list of case factors that can be a guide for deciding whether you need an attorney. If you are unsure whether you need a disability lawyer, call one. Heck, call a couple. Some lawyers will be dumb; some won't call you back; some will have only their paralegal call you; some will be rude; some will decline your case. But, find one you trust and like, get their opinion, think it over, and then decide. Social Security disability lawyers will assess your case for free, and there is no fee unless you win.

Rating Scale.

1. You need to hire an attorney -
2. You probably need to hire an attorney -
3. You probably do not need to hire an attorney -
4. File your own and hire an attorney only if you are denied -

Do I Need a Social Security Disability Attorney Evaluation?

1. You filed on your own and have been denied at the initial or reconsideration level(s):
   
2. You have been denied previously:
   
3. You are not getting medical treatment:
   
4. You are not taking medications:
   
5. You are under age 50 and can sit throughout the day:
   
6. You are currently working part time:
   
7. You suffer drug and alcohol addiction:
   
8. You have had a Social Security investigation:
   
9. Your doctor will not fill out a doctor statement for you:
   
10. You received unemployment at the same time you alleged disability:
    
11. You have a paid professional part-time caretaker:
    
12. You have an IQ test demonstrating an IQ below 70:
    
13. Your diagnoses is cystic fibrosis; lung transplant; heart transplant; liver transplant; kidney dialysis or transplant; bowel removal; sickel cell disease; bone marrow failure; down syndrome; parkinsons; cerebral palsy; multiple sclerosis; amyotrophic lateral sclerosis (ALS); muscular dystrophy; huntington's disease; AIDS; or cancer and received surgery, chemotherapy, or radiation:
    
14. You are in a coma:
    
15. You are partially or fully paralyzed:
    
16. You are blind:
    
17. You have had two limbs amputated:
    
18. You are bed-bound:
    
19. You regularly use a wheelchair, crutches, or two canes:
    
20. You have a full-time caretaker:
    
21. You have an IQ test demonstrating an IQ below 60:
    
22. You have had two or more neck, back, hip, brain, or heart surgeries since you stopped working:
    
23. Your child is unable to attend school:
    
24. You use an oxygen tank daily:
    
25. You are deaf: