If you get injured and miss work due to a car accident, don’t worry you can claim for the loss of current and future income. The income calculator defined in this blog helps you to get an estimate for all your incomes. So, read till the end to know your claimable value;
Know who will be eligible to claim the amount
When you want to apply for loss of income, first of all, know whether you are eligible for compensation or not. Some of the people who are eligible for the claim are;
- Full-time regular work
- Full-time contract work
- Part-time work
- Occasional or seasonal work
- Work paid at an hourly rate, and
- Self-employment
What you need to collect before calculating lost wages?
Before calculating lost income, there are some essential documents required to apply for an income claim.
- First of all, you need a doctor’s slip that defines your medical expenses bills. Keep a copy of slip and medical reports that define you become disable due to an accident. It will help you to calculate future earnings.
- Secondly, speak to your employer and get a copy showing your employment status. You should also have payslips copies in hand to present your actual earnings.
- Third, if you are paying taxes, do not forget to keep supporting documents defining your tax returns or W-2(s). As tax return copies are not required in all cases, check your case-sensitivity and keep as many as supporting documents to make your case stronger.
How to calculate lost wages amount?
The calculation for the amount of the lost wages varies from person to person. As some people work hourly basis and others on an annual salary basis. Therefore two ways are used to calculate wages lost.
Calculations for hourly wages
- Wages calculation based on hourly wages
If you work on an hourly basis, the calculation of the wage will be “wages per hour X number of standard hours missed the work”
For example, if your per hour wages are $30 and you missed 4 days from work. your can claim for 30x8x4 = $960 (total wages)
- Wages calculation based annual salary
When calculating salary on an annual basis, your salary fraction is still taken to the number of hours you missed work due to an accident. Therefore, your total salary is divided by the number of work hours in a year i.e 2080. For instance, your annual salary is $50,000 and you missed 4 days, your calculation will be
($50,000/2080) x (8hr x 4 days) = $770 (approximately)
If you missed other incomes such as overtime, salary increment, commission, bonus, etc. You can also recover such amounts from the insurance company or guilty person. But, the calculation is different from regulations defined by the state or government.
Calculation in case of Self-employed
When you are self-employed – working freelance, running a sole proprietorship, you cannot claim for lost wages. Still, you can claim for loss of income. You have to collect documents deifying your past income and prospects created for new incomes. Submitting the documents for income lost due to an accident can help you to recover the cost. You may have to submit the 1099 form, invoices, and other receipts to show incomes.
What are other income losses considered under a car accident claim?
If you get injured in a car accident that affects your future income. You can claim for income that you cannot earn due to disability. Keep in mind, certain other factors such as age, physical disability, work or employment history, skills, and education are also considered.
To calculate the right amount for the accident claim, write a damage estimate worksheet. Add all the expenses including medical bills (like doctor, medicines, ambulance, private nurse, etc,). Do not forget to sum up physical damages such as pain and suffering, future pain and suffering, disability (partial and fully).
If you lost wages in a car accident. Do not forget to take assistance from legal help.
Determining wages may seem a simple task, indeed it is not. There are lots of documents required to take compensation, some of them you may not be aware of. Therefore, hiring a car accident lawyer can help you all the way. Legal professionals know about essential documents and the ways how to gather conveniently. Sometimes, medical experts create trouble by issuing documents. But the attorney knows what legal action can help you to fetch important information.
Bottom Line
Hope the above information helps you to calculate the estimated compensation claim. In case you face any trouble, do not hesitate to hire an experienced car accident lawyer and get fair compensation.
