What this calculator does

DocketMath’s Settlement Allocator (Tennessee) helps you allocate a lump-sum settlement across common categories so you can estimate how much of the settlement may apply to different types of damages. The tool is built for practical workflow: you enter amounts (or ranges) you already have from the settlement agreement, demand/offer figures, or your case calculations, and the calculator produces a clean allocation breakdown.

In Tennessee, allocation matters because different components of a settlement may interact with time limits for bringing or challenging claims, and courts may consider whether a filing is timely. While this guide is not legal advice, it will walk you through the calculator’s inputs and the timing concept you’ll see referenced below.

Two Tennessee timing references used in this guide:

• One-year limitations period (core rule shown by statute):
  Tennessee Code Annotated § 40-35-111(e)(2) — provides a 1-year period (with the provided exception notation used in this guide)
  Source: https://law.justia.com/codes/tennessee/title-40/chapter-35/part-1/section-40-35-111/
• One-year period (additional timing reference shown by statute):
  Tenn. Code Ann. § 40-2-102(a) — also reflected here as 1 year (exception V3 in the provided jurisdiction data)

How allocation output typically works

Most settlements include a mix of items such as:

• compensatory damages (e.g., out-of-pocket losses, medical costs)
• wage loss / income loss
• property or repair expenses
• emotional distress (where recognized)
• statutory or punitive components (depending on the case)
• interest and costs (sometimes allocated separately)

DocketMath’s workflow is designed to help you translate an agreement like “$X total settlement” into categories that match your case records and allow consistent reporting.

When to use it

Use DocketMath’s Settlement Allocator when you have a lump-sum settlement and you need a reasonable, document-aligned breakdown of that amount for Tennessee-related workstreams—especially when time-based steps could be implicated.

Here are common situations where people use settlement allocation calculators in Tennessee:

• You are preparing a settlement breakdown for internal accounting
  Example: you need categories for claims records, payment logs, or client reporting.
• You are aligning settlement docs with case history
  Example: the settlement agreement references multiple damage theories, but only gives a total.
• You are reconciling different damage estimates
  Example: medical bills show $18,450, wage loss spreadsheets show $9,200, and the agreement is for $25,000 total—you need a practical allocation method.
• You need a consistent allocation approach before filing or responding to time-sensitive steps
  Tennessee includes specific 1-year limitations references shown in the provided data (see § 40-35-111(e)(2) and § 40-2-102(a)). When a deadline is at issue, allocation documentation can matter for how arguments are structured.

Timing context: why the 1-year references show up

This guide includes the following Tennessee timing references because they appear in the jurisdiction data and often surface when a case team is evaluating whether time-based steps are timely:

• Tenn. Code Ann. § 40-35-111(e)(2): shown here with a 1-year period (exception V2)
• Tenn. Code Ann. § 40-2-102(a): also shown here with a 1-year period (exception V3)

If your situation involves a filing or challenge tied to those statutes, allocation categories and dates may be used in your record to explain what the settlement compensated.

Step-by-step example

Below is a realistic Tennessee example showing how you might use DocketMath’s Settlement Allocator.

You’re reviewing a settlement agreement that states:

• Total settlement amount: $40,000
• The settlement covers:

  • medical expenses
  • lost wages
  • general damages (non-economic)
  • a component for costs/interest (if applicable in your agreement)

For the example, assume your supporting documents estimate these “category anchors”:

In practice, the agreement’s total and your documented anchors may not match. The tool handles that adjustment when needed.

Step 1: Open the tool and set the total

Use: **/tools/settlement-allocator

Enter:

• Settlement total: $40,000

Step 2: Add category amounts (anchors)

Add the amounts you want to allocate to each category:

• Medical / treatment bills: $14,600
• Lost wages: $10,200
• Non-economic damages (general): $12,700
• Costs / interest: $2,500

When the sum of anchors equals the settlement total, the output will generally mirror your inputs category-for-category.

Step 3: Review the allocation breakdown

DocketMath produces an allocation table that shows:

• the entered anchor amounts
• each category’s share of the total (percentage)
• the allocated dollar amount per category

Example output (illustrative formatting):

Step 4: If the anchors don’t equal the settlement total

Now assume the agreement total is $37,500, but your anchors still add to $40,000. You’d input:

• Settlement total: $37,500
• Same anchors as above: $14,600 + $10,200 + $12,700 + $2,500 = $40,000

In that case, the calculator must reconcile the difference. Typical allocation approaches in calculators include:

• Pro-rata reduction based on each category’s share of the anchor total
• Residual adjustment to ensure the categories sum exactly to the settlement total

Your output would show updated allocated dollar values that sum to $37,500 while preserving the relative proportions implied by your anchors.

Step 5: Connect the allocation to timing records (documentation step)

If you’re also tracking potential deadline issues tied to Tennessee timing references, keep a simple record:

• settlement date (or finalization date)
• filing dates (if any)
• limitation periods to reference in your internal timeline

The key point for this guide: the allocation table helps you describe what the settlement compensated, while Tennessee timing references (noted above) help you build a consistent timeline.

For reference, the jurisdiction data includes:

• § 40-35-111(e)(2) — 1-year shown (exception V2)
• § 40-2-102(a) — 1-year shown (exception V3)

Common scenarios

Here are several scenarios Tennessee users commonly encounter when allocating settlement amounts. Each includes a practical “what to do” checklist and how the output changes.

Scenario 1: Agreement lists only a total, but you have detailed documents

What you have:

• total settlement: $60,000
• medical bills: $22,300
• lost wages: $17,100
• other damages: $20,600

What you do:

• input each anchor based on documentation
• set settlement total to $60,000

How output changes:

• if anchors sum to $60,000, output matches anchors exactly
• if anchors don’t sum, output adjusts to match the settlement total

✅ Checklist:

Scenario 2: Agreement “earmarks” one category number

Example:
The settlement agreement says:

• $12,000 for medical
• remainder for general damages

What you do:

• enter $12,000 as medical (fixed)
• allocate the remainder across other categories (or let the tool compute pro-rata for the remainder, if that matches your documentation plan)

How output changes:

• the tool preserves the fixed category you entered
• remaining categories reflect the remainder logic you choose via inputs

✅ Checklist:

Scenario 3: Settlement includes interest or costs separately

Some settlements show:

• “$30,000 settlement plus $3,000 costs”
• or “$33,000 total including costs and interest”

What you do:

• decide whether “costs/interest” is included in the total you enter
• then reflect the same approach in the categories

How output changes:

• categories shift based on whether costs/interest are treated as part of the settlement total

Related reading

• Settlement Allocator Guide for Alabama
• Settlement Allocator Guide for Arizona
• Settlement Allocator Guide for California