What Allsup charges and how they collect it
Allsup is a for-profit company that represents people in Social Security Disability Insurance (SSDI) and Supplemental Security Income (SSI) cases. They charge a fee only if you win your case — they do not collect anything if you are denied. The fee comes directly from your back pay, not from your pocket.
Allsup's fee is capped by federal law at 25 percent of your back pay, or $7,200, whichever is less. Back pay is the money Social Security owes you from the date you filed your claim until the date your benefits officially start. If your back pay is $20,000, Allsup takes $5,000 (25 percent). If your back pay is $40,000, Allsup takes $7,200 (the legal maximum), not $10,000.
Social Security does not send you the back pay first and then deduct Allsup's fee. Instead, Social Security sends the full back pay directly to Allsup, Allsup subtracts their fee, and then sends you the remainder. You see this happen in one payment, not two separate transactions.
Key Takeaways
- Allsup charges 25 percent of your back pay or $7,200, whichever is smaller — the legal maximum allowed by federal law.
- You pay nothing if your case is denied; the fee only comes out if you win.
- Social Security pays Allsup directly from your back pay before you receive your portion, so you do not have to pay out of pocket.
- Allsup also charges a separate fee for work you do after you win — typically $65 to $150 per month — which is not capped by law.
- Other disability representatives may charge different fees, so comparing costs before you sign is worth your time.
The ongoing fee after you win your case
The back pay fee is only part of what Allsup charges. Once you start receiving monthly SSDI or SSI payments, Allsup charges an additional monthly fee for continuing representation. This fee is not capped by law and varies depending on what services Allsup provides.
Allsup's ongoing monthly fee typically ranges from $65 to $150 per month, though the exact amount depends on your specific agreement with them. This fee comes out of your monthly benefit check each month you remain a client. If you stop using Allsup's services, you can terminate the agreement and the monthly deductions stop.
Many people do not realize there is a second fee until after they win. Read any contract Allsup asks you to sign before you sign it, and ask them to explain both the back pay fee and the monthly fee in writing.
How Allsup's fees compare to other representatives
Allsup is one option among several types of disability representatives. Understanding the fee structure of each type helps you decide whether Allsup is the right fit for your situation.
| Type of Representative | Back Pay Fee | Ongoing Fee | Who Sets the Fee |
|---|---|---|---|
| For-profit company (like Allsup) | Up to 25% of back pay or $7,200, whichever is less | Varies; typically $65–$150/month | The company, within legal limits |
| Disability attorney | Up to 25% of back pay or $7,200, whichever is less | Usually none; some charge hourly or flat fees | The attorney, within legal limits |
| Non-profit organization | Usually none or a small flat fee | Usually none | The organization's policy |
| Social Security representative (free) | None | None | N/A |
Attorneys are bound by the same 25 percent / $7,200 cap on back pay fees as Allsup, but many attorneys do not charge an ongoing monthly fee. Non-profit organizations often charge nothing at all or only a small one-time fee. If cost is your main concern, a non-profit representative or a Social Security representative may save you money.
What happens to Allsup's fee if you appeal
If Social Security denies your case and you appeal, Allsup may continue to represent you through the appeal process. The fee structure changes depending on how far the appeal goes.
If you appeal and eventually win, Allsup's back pay fee is still capped at 25 percent or $7,200 — but now the back pay includes money owed from your original filing date all the way through the appeal decision. The longer the appeal takes, the more back pay accumulates, but Allsup's fee does not exceed the legal cap.
Some people ask Allsup to represent them only through the initial process and then hire someone else for an appeal. You are allowed to switch representatives at any point. If you do, make sure both the old and new representative agree in writing about who gets paid what from your back pay.
How to review Allsup's fee agreement before signing
Allsup must give you a written fee agreement before you sign anything. This document is called a fee agreement or representation agreement, and it spells out exactly what Allsup will charge and when.
Before you sign, check that the agreement clearly states:
- The back pay fee (should be 25 percent of back pay or $7,200, whichever is less)
- The monthly ongoing fee (the exact dollar amount, not a range)
- When the monthly fee starts and how you can stop it
- Whether there are any other fees or charges
- What happens to the fee if your case is appealed
If anything in the agreement is unclear, ask Allsup to explain it in writing before you sign. You have the right to take the agreement home and review it with someone you trust, or to ask a lawyer to review it for you.
When Allsup's fee might not be worth it
Allsup's services are not the right choice for everyone. Consider whether their fees make sense for your situation.
If your back pay is small — say, $5,000 — Allsup takes 25 percent, which is $1,250. You keep $3,750. If you could have won the case on your own or with a free representative, paying $1,250 plus $65 to $150 per month for ongoing services may not be worth it. Non-profit organizations and Social Security representatives do not charge these fees.
If your case is straightforward — for example, you have clear medical evidence and you are explore for the first time — you may not need a paid representative at all. Social Security provides a free representative through its Office of the Inspector General, and many non-profits offer free help.
Allsup's value is strongest when your case is complex, you have already been denied once, or you need help navigating an appeal. In those situations, the fee may be worth the cost because a skilled representative increases your chances of winning.
Frequently Asked Questions
Can Allsup charge me if I lose my case?
No. Allsup only charges a fee if you win. If Social Security denies your claim, you owe Allsup nothing for the back pay fee. However, if you signed an agreement with an ongoing monthly fee before you won, you may owe that fee for the months you were their client — check your agreement.
What if I want to stop using Allsup after I win?
You can terminate your agreement with Allsup at any time. Send them a written request to stop representing you. The back pay fee is already paid from your first benefit check, so stopping only affects the ongoing monthly fee — that will stop being deducted once they process your termination.
Does Allsup charge more if my case goes to a hearing?
No. Allsup's back pay fee is always capped at 25 percent or $7,200, regardless of whether your case is decided on paper or at a hearing. The monthly ongoing fee stays the same too. The length and complexity of your case do not change what Allsup charges.
Can I negotiate Allsup's fee?
The back pay fee is set by federal law and cannot be negotiated — it is always 25 percent or $7,200 maximum. The ongoing monthly fee may have some flexibility depending on the services you need, so it is worth asking Allsup if they offer different fee levels or if they can reduce the monthly charge.
What if Social Security says Allsup's fee is too high?
Social Security does not approve or disapprove Allsup's fees — they only enforce the legal cap of 25 percent or $7,200 on back pay. If you believe Allsup is charging more than the law allows, you can file a complaint with the Social Security Office of the Inspector General or contact your state bar association if you believe the fee violates your agreement.