Will a personal injury settlement cover lost wages
When you are in an accident and sustain injuries, you may consider filing a claim against whoever is responsible for the accident.
Working with a personal injury law firm means you will have the resources you need to understand your legal rights. Your attorney will be able to explain to you how much your claim is worth and what items can be included in the claim when you are asking for damages.
Medical expenses are a top item on the list and they may include doctor’s visits, diagnostic tests, hospitalization and surgery, physical therapies, medication, and anything else related to the recovery of your health.
However, there are other items that you may also claim, such as the cost of repairing your vehicle or the replacement cost for any personal items you may have lost or damaged during the accident.
Another area of concern when you file a claim is related to your financial situation which might have taken a hit while you are not able to go to work because you are tending to your injuries. You will want to know whether the settlement might cover your lost wages and any other income to which you might have been entitled during this time.
How are lost wages defined in personal injury claims?
In this case, lost wages refer to the income that you would have earned if you had not been injured in the accident. This income can include your wages whether they are hourly, weekly, or however frequently you get paid.
Also, any bonuses, commissions, or any other form of compensation to which you might have been entitled during the time your injuries have forced you to be absent from work.
How are lost wages calculated?
Depending on your job, you may have pay stubs from previous pay periods which can serve as a basis to calculate the wages you have lost. If there are no pay stubs, you may refer to your employment records or your tax returns. If you own your own business, your income may be determined by looking at your company’s profit and loss statements.
Are there any factors that impact the amount of lost wages you may claim?
You will start calculating your lost wages by adding up the money you would have earned during the period you have been unable to work.
However, the final amount may vary depending on whether you are paid by the hour since you may lose more income than other salaried employees who may be granted sick leave or receive other forms of compensation. Work with your lawyer to come up with the exact amount of lost wages for your claim.
Your lawyer can also explain whether the state where you are filing the claim has any limits on the amount of lost wages that may be included in a personal injury settlement. This may be either a specific percentage of your income or a maximum dollar amount.