The new fee cap, announced back in March, is now in effect. The relevant date for the fee cap is the date of the approval fee agreement. So if the fee agreement was approved prior to November 30, 2024 but is still unpaid, the previous cap of $7,200 applies. Social Security has announced that, in the future, the cap will be adjusted annually for inflation/cost of living.
Social Security has a new form 1693 reflecting the change. The new form does not reflect the specific cap amount (since it will be adjusted annually), but just limits the fee to “25 percent of your past-due (retroactive) benefits or a maximum dollar amount we set, whichever is less.”
The fee cap applies to fees approved via a fee agreement. It does not apply to fees charged via a fee petition.
Updated: 12/09/2024