If you’ve been injured on the job, it’s essential to know that workers’ compensation law can provide crucial financial support. One of the key provisions is weekly benefits, which can replace a significant portion of your lost wages if your injury prevents you from working. This financial assistance ensures that workers can still meet their financial obligations while recovering from work-related injuries.
This post will break down what weekly benefits are, how they’re calculated, what you’re entitled to, and key details about how long you can receive these payments.
What Are Workers’ Compensation Weekly Benefits?
Weekly benefits are a form of income replacement provided through workers’ compensation when an employee suffers a work-related injury or illness. If you’re unable to work because of the injury, these benefits typically amount to two-thirds of your average weekly wage, with the goal of easing the financial burden while you recover.
The benefits are intended to provide some financial stability so you can focus on your health and recovery without worrying too much about income loss. However, these payments won’t cover your entire salary, and they are subject to specific limits based on state laws and maximum benefit caps.
How Are Weekly Benefits Calculated?
Calculating your weekly workers’ compensation benefits revolves around determining your average weekly wage (AWW). This figure is typically based on your earnings before the injury occurred, including:
- Your regular wages
- Overtime pay
- Bonuses or commissions
Here’s how it usually works:
- Average Weekly Wage (AWW): Your employer or insurance company will calculate your AWW by averaging your gross earnings over a certain period, often the 52 weeks before your injury. If you’ve worked less than a year, they may use your actual earnings during your time of employment.
- Two-Thirds of Your AWW: In most cases, workers’ compensation will pay two-thirds of your average weekly wage. This means if you earned $900 per week before your injury, your weekly benefit would be around $600.
- Benefit Caps: There is often a state-mandated maximum benefit amount. If your calculated two-thirds wage exceeds this cap, you’ll receive the maximum allowed for your state, regardless of your earnings.
Types of Weekly Workers’ Compensation Benefits
The amount and duration of your weekly benefits depend on the nature and severity of your injury. Here are the different types of workers’ compensation benefits you may be eligible for:
1. Temporary Total Disability (TTD)
Temporary Total Disability (TTD) benefits are provided when an injured worker is completely unable to work for a temporary period due to their injury. These benefits continue until the worker has recovered enough to return to work or reaches Maximum Medical Improvement (MMI), meaning no further medical improvement is expected.
- Example: If you broke your leg at work and cannot perform your duties, TTD benefits would replace two-thirds of your wages during your recovery.
2. Temporary Partial Disability (TPD)
Temporary Partial Disability (TPD) benefits are available if you are able to return to work but in a limited or reduced capacity. This means you can work, but not at full capacity or full wages, due to your injury.
- Example: If you hurt your back but can return to work with restrictions (like fewer hours or lighter duties), TPD benefits can help cover the difference between your pre-injury wages and your post-injury earnings.
3. Permanent Total Disability (PTD)
Permanent Total Disability (PTD) benefits apply when a work injury leaves you permanently unable to work in any capacity. These benefits provide long-term financial support and may continue for life in some cases.
- Example: If a construction accident results in a severe, permanent injury that prevents you from returning to any kind of work, you may be eligible for PTD benefits.
4. Permanent Partial Disability (PPD)
Permanent Partial Disability (PPD) benefits are awarded if you’ve recovered to some extent, but you still have a permanent impairment. These benefits compensate for the long-term effects of your injury, even if you’re able to return to work.
- Example: If you lose partial use of your hand due to an accident at work, you may receive PPD benefits even if you return to your job.
How Long Can You Receive Weekly Benefits?
The duration of weekly benefits depends on the type and severity of the injury. Temporary disability benefits, whether total or partial, typically last until you’ve fully recovered or reached Maximum Medical Improvement (MMI).
- Temporary Disability: These benefits last until your doctor determines you can return to work or you’ve made the maximum possible recovery (MMI). For some injuries, this may be a few weeks, while for others, it could be months.
- Permanent Disability: If your injury results in permanent disability (either partial or total), the duration of your benefits may vary. In some cases, permanent disability benefits continue for life, while in others, they may be limited to a set number of years.
It’s important to note that some states have limits on how long you can receive benefits, while others will provide long-term support for permanent injuries.
Factors That May Impact Your Benefits
Several factors can affect your eligibility and the amount of weekly benefits you receive. These include:
1. Disputes Over Injury Severity
Sometimes, there can be a disagreement between you and your employer (or their insurance company) about the severity of your injury. They may argue that you’re able to return to work sooner than your doctor recommends, which could affect the amount or duration of your weekly benefits.
2. Return-to-Work Programs
In some cases, your employer may offer light-duty or modified work as part of a return-to-work program. This could affect your weekly benefits, as you may be earning a partial wage, in which case you’d receive TPD benefits to make up for the lost income.
3. Settlement Offers
If your injury is severe, you may receive a settlement offer from your employer’s insurance company. It’s essential to be cautious when considering a settlement, as accepting a lump sum can close your claim and prevent you from receiving future benefits if your condition worsens.
What to Do If Your Weekly Benefits Are Delayed or Denied
Sometimes, workers face challenges when trying to receive their weekly benefits. These issues can include delays in payment, underpayment, or outright denial of benefits. If you encounter any of these issues, it’s important to contact a workers’ compensation attorney to help protect your rights and ensure you receive the benefits you’re entitled to.
Final Thoughts on Weekly Benefits
Weekly benefits are an important lifeline for workers who suffer a job-related injury or illness. These payments provide a level of financial stability while you recover, allowing you to focus on your health without the added burden of lost wages. Understanding how your weekly benefits are calculated, how long they’ll last, and the factors that can affect your compensation will help you navigate your workers’ compensation claim more effectively.
Always remember to stay informed, keep track of your medical treatments, and consult a legal professional if you’re unsure about any part of your claim.