How to run Structured Settlement in DocketMath for Colorado

Step-by-step

This guide walks you through running a Structured Settlement calculation in DocketMath for Colorado (US-CO). DocketMath’s jurisdiction-aware rules can help you set up assumptions consistently—so your inputs produce outputs that match the structure you’re trying to model.

Before you start, decide what you want the output to answer. For structured settlements, a common goal is to model payment timing and present value under your chosen assumptions (rather than to determine any legal eligibility).

1) Open the Structured Settlement tool

1. Go to DocketMath → Structured Settlement.
2. Use the primary entry point: /tools/structured-settlement.
3. Confirm the jurisdiction is set to Colorado (US-CO) inside the tool UI.

   • If the tool offers a jurisdiction selector, choose US-CO before entering numbers.

2) Choose the structure type you want to model

DocketMath’s Structured Settlement calculator is typically built around common settlement-payment patterns. Look for a selector such as:

• Lump sum + periodic payments
• Level periodic payments
• Custom schedule (if available in the UI)

Pick the structure type that best matches the agreement you’re modeling. Your choice changes which fields appear next and how DocketMath computes totals.

3) Enter the starting date and payment timing

Structured settlement modeling depends heavily on timing. In DocketMath, you’ll typically enter:

• Start date (or “effective date”)
• First payment date (if different from the start date)
• Payment frequency (monthly, quarterly, annually—based on what the tool supports)
• Number of payments or end date

What changes in outputs:

• Payment timing changes the discounting and therefore the present value.
• More frequent payments often reduce timing gaps and can change the “cost” to fund the same nominal payout.

4) Provide amounts (and clarify whether amounts are gross or net)

Enter the dollar amounts for:

• The periodic payment amount (e.g., $X per month), or
• The stream defined by your custom schedule,
• Plus any initial lump sum (if the selected structure includes it).

If the UI distinguishes between gross payment and net payment, align your inputs to the outputs you want. For example:

• If you’re modeling the settlement amount before offsets/withholding, input the gross amounts.
• If you’re modeling what the claimant receives after a deduction, input the net amounts.

What changes in outputs:

• Totals (nominal and present value) will follow the numbers you enter.
• If you later reconcile to a real-world agreement, you may need to adjust for items not represented in the calculator.

5) Set the discount rate / investment assumption

Structured settlement present value calculations require a time-value-of-money assumption. In the tool, look for fields such as:

• Discount rate (annual %)
• Rate compounding (monthly vs annual—if exposed)
• Assumption method (if there’s an advanced option)

Use the rate that matches your modeling purpose. For Colorado-focused workflows, jurisdiction-aware setup is mainly about ensuring consistent handling of Colorado-specific defaults and logic the tool applies—while the discount rate itself remains an input you control.

What changes in outputs:

• Higher discount rates generally lower present value for the same payment stream.
• Lower discount rates generally increase present value.

6) Review the Colorado (US-CO) jurisdiction settings in the tool output

After you click Calculate, check the summary area for a jurisdiction tag or rule-driven adjustments.

In DocketMath’s interface, you should expect to see:

• A jurisdiction indicator (US-CO)
• A structured summary of your:

  • payment schedule
  • nominal total
  • present value
  • timing assumptions

If the tool provides a Details or Rules applied section, review it for any Colorado-specific logic that affects how totals are calculated or how dates are normalized.

7) Export, save, or copy results

Many DocketMath tools let you:

• copy results to the clipboard
• export a report
• download a CSV-style breakdown (depending on the feature set)

Create a quick record of:

• input assumptions (dates, payment count, frequency, discount rate)
• output figures (nominal total and present value)
• any scenario label you used

This matters when you run multiple “what-if” versions (for example, changing the start date or payment frequency).

8) Run 2–3 scenarios to stress-test the structure

Structured settlement modeling benefits from scenario comparison. Try variations like:

• Moving the first payment date by 30 or 60 days
• Switching frequency (monthly to quarterly) while keeping total nominal payout similar
• Adjusting the discount rate by ±0.5%

Goal: identify which input most affects the result you care about—often present value.

Common pitfalls

Below are the issues users most often run into when running structured settlement calculations in DocketMath for Colorado.

• missing a required input
• using a stale rate or rule
• ignoring calendar or holiday adjustments
• skipping documentation of assumptions

If an assumption is uncertain, document it alongside the calculation so the result can be re-run later.

Mismatched dates (start date vs first payment date)

If you set a start date but also specify a first payment date, the schedule can shift in unintuitive ways.

• ✅ Use consistent dates that match your intended schedule
• ✅ Verify the “first payment” on the results table after calculating

Accidentally changing payment count vs end date

Some tools accept both number of payments and an end date. If both are filled, one may override the other.

• ✅ After calculating, confirm the count shown in the payment schedule matches what you expect.

Confusing frequency with number of payments

Monthly payments for 60 months is not the same as 60 payments at quarterly frequency.

Use the results table to validate:

• frequency (monthly/quarterly)
• number of payment rows
• final payment date

Discount rate misunderstandings

Present value is sensitive to discounting. Even small rate changes can produce large differences over long horizons.

• ✅ Document the discount rate and compounding assumption used in the tool
• ✅ Keep scenarios comparable by changing only one variable at a time

Using inconsistent “gross vs net” assumptions

If you enter net amounts but the real-world schedule references gross, you’ll see a mismatch between your modeled totals and what others expect.

• ✅ Align to the agreement’s basis
• ✅ If uncertain, run both and compare—the difference should be explainable

Try it

Use DocketMath to model a Colorado (US-CO) structured settlement in about 3 minutes:

1. Go to **/tools/structured-settlement
2. Confirm the jurisdiction is US-CO
3. Enter:

   • start date / first payment date
   • payment frequency
   • periodic payment amount (and lump sum if applicable)
   • discount rate assumption
4. Click Calculate
5. Verify the results table shows:

   • the correct first payment date
   • the expected number of payment rows
   • the final payment date

Then run a second scenario:

• change the first payment date by +30 days
• recalculate
• compare present value and nominal totals to see how timing drives cost

If the tool provides export/copy, save the output figures for comparison before you adjust additional inputs.

Related reading

• Structured Settlement Calculator Guide for Alabama
• Structured Settlement Calculator Guide for Arizona
• Structured Settlement Calculator Guide for Connecticut