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How Do I Calculate My Worker’s Comp Benefits?

workers' compYou’ve been hurt at work, and it’s bad enough that you’re going to have to miss a good amount of work. What are you going to do now? You and your family rely on your weekly paycheck to pay the bills as well as the extras. Now you have medical bills to pay, as well as a loss of income. The good news is that you have a safety net: workers’ comp.

Most people don’t pay attention to the existence of workers’ comp until the time comes when they need it. Workers’ comp is a no-fault insurance policy that your employer provides for you. It specifically compensates you for your medical expenses, including rehabilitation and recuperation, as well as providing a portion of your income to help you pay your other bills when you have to miss work during your period of recovery.

Calculating your workers’ comp benefits is not difficult. Pennsylvania’s lawmakers have established a formula that is based on your gross average weekly wage from all of your employers. That means that the calculation includes your salary, hourly wages, bonuses and tips, and even what you have been paid for overtime, vacation or lodging for business-related trips. The amount of time that you have worked for your employer can come into play also, particularly if you are paid a set amount each pay period.

Once you have calculated your gross average weekly wage, it gets compared to the Department of Labor and Industry’s threshold for the statewide average weekly wage and paid on a sliding scale, with those who are paid the least getting the highest percentage of their average pay. For 2018, the maximum weekly compensation rate that you can be paid has been set at $1,025.00, and compensation is based on two-thirds of your weekly wage. If your average weekly rate falls between $1,537.50 and $768.76, you will be paid 66 2/3% of that amount each week ($1025 = 66 2/3% of $1,537.50). If your average weekly wage falls between $768.75 and $569.44, you will receive $512.50 per week, and if your average weekly wage is $569.43 or less, you will be paid 90% of whatever your weekly wage is.

This is the most basic calculation of what your workers’ comp benefits will be, but it is important to note that there are often other factors that can come into play. For assistance in making sure that you are getting the compensation that you deserve, contact our office today to set up a free consultation to discuss your case.