Q How do I know how much I’ll be receiving for my indemnity benefits?
Worrying about money can cause serious amounts of stress—especially when you’re not sure if what you’re getting is enough to pay your bills. Whether you’re a surgeon at St. Patrick’s, an engineer at Polaris, or a bartender at L’Auberge, your job pays your bills. When you’re injured at work and can no longer do your job, your indemnity benefits become extremely important.
But how do you know how much you should be getting?
Wage Percentage Calculations
Most employers will calculate your indemnity benefits based on your average weekly wage (AWW). Although percentages may vary, the common calculations are as follows:
- 66 percent of your gross AWW – If your average weekly pay, before taxes, is $1,000, your indemnity benefits should roughly be $666.66 per week.
- 70 percent of your net AWW (after taxes) – If your average take home pay is $800, your indemnity benefits should be $560.00 per week.
Time Frame to Calculate “Average” Wage
In order to calculate your average weekly wage, employers must calculate how much money you made within a certain time period and then divide that number by the number of weeks worked. Employers can choose how many weeks they want to average, but the common timeframes are 13, 26, and 52.
Your total wages over the course of the previous 52 weeks of employment before the accident—should include any overtime, bonuses, and/or commissions within those weeks as well—total pay divided by 52 gives you the average wage. Some employers can choose to use only the previous 13 or 26 weeks, depending on your employment status and any dramatic changes of pay within those weeks
An experienced workers’ compensation lawyer can help you calculate and determine your accurate indemnity benefits before your claim is settled, and help you determine if you require any additional damages for your injuries.
If you’ve suffered more than just the loss of your paycheck and/or two-thirds pay isn’t enough to pay your medical bills, let us help you. We know how frustrating and complicated workers’ compensation claims can be, but we also know our experience and knowledge can help get you the justice you deserve. Contact us today for a free consultation.