Crowdfunding Donations and PI Claims
If you’re recovering from an injury, you might be tempted to launch a GoFundMe to help with medical bills, rent, or lost wages. But what happens if you later file a personal injury claim? Could those donations affect how much you’re entitled to?
Anna, a 34-year-old single mother from Portland, was rear-ended by a distracted driver. She suffered a spinal injury, underwent surgery, and couldn’t return to work for six months. Her friends raised $18,000 through GoFundMe to help with rent, food, and physical therapy.
When she later filed a personal injury claim, the insurance company argued the donations should reduce her settlement. Her attorney successfully pushed back—explaining that crowdfunding is not compensation and should not affect a legal claim. Anna ultimately received $185,000 in damages for pain, suffering, lost income, and medical costs.
Do Crowdfunding Donations Affect a Personal Injury Settlement?
- Usually not. Donations are considered gifts and are not deducted from your legal compensation.
- However, insurance companies may try to use it against you. Your attorney can block that.
Should You Tell Your Attorney About Crowdfunding?
- Absolutely. Transparency helps your attorney prepare and protect your rights.
- They can make sure your GoFundMe or posts don’t hurt your case.
Is It Okay to Crowdfund and File a Personal Injury Claim?
- Yes. Crowdfunding offers short-term help.
- A personal injury claim ensures you’re compensated for long-term medical bills, lost income, and suffering.
Are Donations Taxed?
- Generally no—if they’re personal gifts with no exchange of goods or services.
- But if business-related or reward-based, consult a tax advisor.
How Much Is My Personal Injury Case Worth?
How much is my personal injury case worth?
If you’re searching for:
How much is a personal injury case worth? What is my case worth personal injury calculator? Crowdfunding and injury lawsuit conflicts?
Then you’re in the right place. These situations are complex—but with the right legal guidance, you can secure the full amount you’re entitled to.
Contact a Personal Injury Attorney Today
If you’ve launched a crowdfunding campaign and are considering a personal injury lawsuit, don’t wait.
Herron Law has helped countless clients get full compensation—even after crowdfunding.
- Free consultation
- Honest case evaluation
- Experience with crowdfunding-related cases
👉 Call us now or use our free tool below.