How Lost Wages Are Calculated in Personal Injury Cases

 If you’re injured in an accident, the financial impact often goes beyond medical bills. Lost wages are a major part of personal injury compensation — especially if your recovery forces you to miss work or reduces your future earning potential.

Types of Lost Wages:

  1. Past lost income: Days or weeks of work missed during treatment

  2. Future lost income: If the injury causes long-term or permanent work limitations

  3. Lost earning capacity: Applies if you can’t return to the same job or industry

  4. Missed promotions or bonuses: If opportunities were lost due to time away

Proof You’ll Need:

  • Pay stubs or direct deposit history

  • Employer letters verifying absence

  • Tax returns (especially for self-employed individuals)

  • Doctor’s note explaining work restrictions

How Calculations Work:

  • Hourly wage × hours missed

  • Salary divided by 52 weeks × time off

  • For future losses: economic experts estimate based on your career path

Special Considerations:

  • Freelancers must show consistent income history

  • Tips and commissions can be included if documented

  • Paid leave may be factored in, as it is a real loss of value

Tip: Keep detailed records from day one. Without documentation, lost wage claims are harder to prove.

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