Quick answer
Ask the lawyer to price the earnings-loss workstream separately from the rest of the RAF claim. The mandate should identify who reconstructs past income, which medical or vocational questions may require experts, when actuarial calculations become useful and what approval is needed before each disbursement. If fees are contingent on success, insist on a compliant statutory agreement and a clear final-accounting method.
How to use this guide
An income claim can become expensive when every expert is instructed before the source records and core assumptions are stable. Use phase gates to prevent that sequence.
Define the initial financial review
Ask what records the first quote assumes: payslips, payroll, tax, bank, employment, business accounts, invoices or other material. Clarify whether the firm will build the past-loss schedule, whether an accountant is needed and how missing or disorganised records affect the estimate.
The first deliverable should state the supported baseline, actual receipts, gaps and questions for further evidence. It should not promise a final future-loss figure before medical and vocational assumptions exist.
Separate each expert role and cost
Clinical experts may address injury, prognosis and function. Occupational or vocational specialists may analyse job demands and labour-market capacity. An industrial psychologist may address career scenarios, while an actuary calculates the financial effect of supported assumptions. The precise disciplines depend on the facts.
For every proposed expert, ask:
- what question will be answered;
- which records are required first;
- whether an examination or report is included;
- the estimate, VAT and cancellation terms;
- who approves supplementary work; and
- what happens if the opinion is unfavourable.
Expert independence matters. A payment does not purchase a supportive conclusion, and the lawyer should reassess further spend when the evidence changes.
Understand ordinary and contingency fees
Ask whether the work uses time-based, fixed, capped or staged fees. Where a contingency fee is lawful and appropriate, the Contingency Fees Act and prescribed forms apply. Request an explanation of the normal fee, success-fee method, statutory limit, VAT and how the calculation will appear in the settlement statement.
Do not assume every RAF firm charges 25 percent or that “no win, no fee” removes all expert and third-party costs. The agreement must explain who bears disbursements if the claim is reduced, withdrawn, transferred or unsuccessful.
Tie the budget to evidence maturity
Past loss may be assessed from existing records earlier than future loss. Ask the lawyer to stage the work accordingly. If a claimant returns to full work, receives new medical evidence, loses employment for an unrelated reason or cannot substantiate self-employment, the expert plan and budget may need to change.
Set a cost checkpoint before actuarial updates, joint minutes, supplementary reports, counsel or trial preparation. Record the claim question that justifies each step rather than authorising every possible expense at the start.
Ask about the statutory cap and calculations
The annual loss-of-income cap changes through official adjustments. Ask who verifies the applicable date and notice, and whether the quoted actuarial work includes alternative scenarios, contingencies, apportionment and cap application. An old cap can make a careful calculation misleading.
The calculation should show its assumptions and sources. Ask for a schedule that can be reconciled to employer, tax, bank and business records, not only a final number.
Control settlement deductions
Before accepting an offer, request a written comparison between the claimed earnings components and what the offer resolves. Ask whether any category, undertaking, future loss or cost remains open and who has authority to settle.
The final statement should itemise gross funds received, professional fees, VAT, each expert or disbursement, other authorised deductions, trust movements and net payment. Before transferring money or originals, verify the practitioner through the Legal Practice Council and, if that practitioner is required to hold a Fidelity Fund Certificate, confirm that it is current.
Plan for transfer or early closure
Ask what fees and expert liabilities apply if evidence does not support future loss, the claimant stops, or the file moves to another firm. Confirm how source financial records, expert material and live deadlines will be handed over.
Legal representation cannot guarantee that the RAF accepts an earnings loss, that experts agree or that all costs are recovered. The value of the mandate lies in matching spend to a supportable claim.
Ask for a cost-benefit review before the most expensive phase. The lawyer should compare the supported loss range, statutory cap, disputed issues, existing expert material, further disbursements and settlement alternatives without promising a result. That review may justify proceeding, narrowing a future-loss scenario or stopping additional work. A decision to limit spend can be responsible case management, not an admission that no loss occurred.
What the fee plan cannot promise
A well-scoped budget does not guarantee liability, loss, duration or net recovery. The work can change with records, medical progress, employment events, the RAF’s position and expert opinion. Written phase outputs, disbursement approvals and settlement accounting provide control; they do not predetermine the outcome.
FAQs
Why can an earnings-loss claim cost more to prepare?
It may require financial reconstruction, employer or business evidence, medical and vocational opinions and actuarial calculations, each with a defined role.
Should all experts be instructed at once?
Not automatically. Ask which factual or clinical question must be answered before downstream vocational or actuarial work is justified.
Can an actuary be paid from the settlement?
Ask for the specific funding and deduction terms. External costs should be authorised, recorded and shown in the final accounting.
Does a contingency agreement include every expert cost?
Not necessarily. Professional fees and disbursements are distinct. The written agreement should explain responsibility if the claim ends or fails.
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Legal note
This article is general legal information for South African readers. It is not legal advice. Speak to a qualified legal professional about your specific facts before taking action.