Don’t Irresponsibly Waste Your North Carolina Workers’ Compensation Money

July 31, 2012, by Michael A. DeMayo

Whether you struggled long and hard to acquire North Carolina workers’ compensation benefits – or whether your employer or liable insurance company cooperated and gave you everything you wanted right out of the gate – you may soon find yourself flush with funds.

What you do with that North Carolina workers’ compensation money can have a profound effect, not only on your lifestyle and your ability to get therapy, medicine, rehab and medication, but also on your long term financial trajectory.

It’s human nature to indulge in outsized and irrational reactions to situations.

When bad “stuff” happens to us – such as an accident at work, a typing injury or other soft tissue problem, etc. – it’s easy to visit “worst case scenario” places.

Likewise, when things go well, it’s easy to celebrate and imagine that things will always be this good from hereon out. We need to modulate our emotions and expectations. Specifically, once you collect Charlotte workers’ comp benefits, you need to be savvy about how to make those benefits last – and how to integrate them into an overall smart financial plan.

If you treat the money as a windfall — and use it to purchase expensive electronic equipment, services you don’t really need, vacations, etc. — you could ultimately suffer major, even catastrophic, consequences.

First off, depending on what you do with your money, you could inadvertently commit North Carolina workers’ compensation fraud, which is a crime punishable by, among other things, jail time. Secondly, if you fail to put in place structures and systems that help you achieve your financial goals, no injection of money – be it cash benefits, salary money, money from a passive income source, etc. – will “make things better” for you.

Unfortunately, bad financial habits can be devilishly difficult to change and repair.

There is no reason to get overwhelmed, however. Your financial problems have likely been building up for some time now. Likewise, you will not solve everything in a day. The key is to take incremental, positive steps in the right direction. For instance, the team at the Law Offices of Michael A. DeMayo can help you understand your Charlotte workers’ compensation situation much better and put you on a track towards success.