Contingency Fee vs. Hourly Fee Cost Comparator
Compare the total out-of-pocket cost of a contingency fee arrangement versus an hourly billing arrangement to determine which is more financially advantageous for your legal matter.
Formulas Used
Contingency Fee — Expenses Deducted After Fee:
Contingency Fee — Expenses Deducted Before Fee:
Hourly Fee:
Effective Cost Rate = Total Cost ÷ Settlement × 100
Break-Even Hours = Contingency Total Cost ÷ Hourly Rate
Assumptions & References
References
- 42 U.S.C. § 2000d — Title VI, Civil Rights Act of 1964 (via Cornell LII)
- 42 U.S.C. § 651 et seq. — Title IV-D of the Social Security Act (Cornell LII)
- Alabama Law Institute
- Immigration and Nationality Act (INA), 8 U.S.C. § 1101 et seq. — Cornell Legal Information Institute
- U.S. Code § 1331 — Federal Question Jurisdiction (Cornell LII)
- U.S. Code § 1332 — Diversity of Citizenship Jurisdiction (Cornell LII)
- 11 U.S.C. § 109(e)
- 11 U.S.C. § 1182(1)
References
- 42 U.S.C. § 2000d — Title VI, Civil Rights Act of 1964 (via Cornell LII)
- 42 U.S.C. § 651 et seq. — Title IV-D of the Social Security Act (Cornell LII)
- Alabama Law Institute
- Immigration and Nationality Act (INA), 8 U.S.C. § 1101 et seq. — Cornell Legal Information Institute
- U.S. Code § 1331 — Federal Question Jurisdiction (Cornell LII)
- U.S. Code § 1332 — Diversity of Citizenship Jurisdiction (Cornell LII)
- 11 U.S.C. § 109(e)
- 11 U.S.C. § 1182(1)