When you’re injured in an accident and unable to work, your financial stability can take a significant hit. Whether it’s a car accident, a workplace injury, or a slip-and-fall, one of the most critical aspects of a personal injury claim to consider is lost wages. This blog post will help you understand what “lost wages” means within the scope of Texas law, how it affects personal injury claims, and what steps you can take to recover compensation.
What Are Lost Wages?
“Lost wages” refer to the income you lose as a result of being unable to work due to injuries caused by someone else’s negligence. This doesn’t just cover your regular paycheck—it may also include overtime, bonuses, promotions, or other earnings you might have reasonably expected to receive if not for the injury.
Specifically in Texas, lost wages are recognized as a form of economic damage, meaning they are tangible financial losses that can be compensated as part of a personal injury lawsuit or insurance claim. Beyond covering missed income, lost wages can also extend to loss of future earnings if the injury affects your ability to work long-term.
How Lost Wages Impact Personal Injury Cases
Lost wages are a critical component of personal injury claims because they directly affect your financial security. If you’re unable to work while recovering from your injuries, you’re faced with mounting medical bills along with everyday expenses, compounded by the loss of your regular income.
Including lost wages in your compensation claim is essential for ensuring that you’re not left to shoulder the financial burden caused by someone else’s negligence. They help bridge the gap between recovery and financial stability, which can make a world of difference for families already under stress.
How Are Lost Wages Calculated in Texas?
Calculating lost wages in Texas involves more than just multiplying the days you’ve missed with your daily wage. It requires a detailed analysis of your employment status, work history, and earning potential. Here’s a breakdown of what’s typically considered:
- Hourly or Salaried Income: Days missed multiplied by your regular wages or salary.
- Overtime and Bonuses: Any additional earnings you regularly receive, like overtime pay or bonuses, can also be factored into lost wages.
- Self-Employment Earnings: If you’re self-employed, you’ll need to provide documentation, like tax returns and invoices, to prove the income you’ve lost.
- Loss of Future Earning Capacity: If your injury impacts your ability to work in the future, you can seek compensation for your reduced earning capacity. This usually requires expert testimony or financial projections.
Important Note: All of these calculations require solid documentation, which we’ll cover later in this post.
The Legal Process for Claiming Lost Wages in Texas
If you’re pursuing a claim for lost wages as part of a personal injury case in Texas, here’s a general overview of the process:
- Documentation: Gather pay stubs, tax returns, employment contracts, or any other documents proving your income before the injury. Statements from your employer detailing missed workdays and missed opportunities are also crucial.
- Medical Records: You’ll need documentation from your healthcare provider specifying your injury and how it impacted your ability to work.
- Filing a Claim: You can include lost wages in your personal injury lawsuit or, if settling via an insurance company, as part of your compensation demand.
- Deadlines: Texas has a two-year statute of limitations for personal injury cases, so timely filing is critical.
Hiring a personal injury attorney is highly recommended, as they’ll help you ensure that all relevant losses are properly calculated and submitted with the appropriate evidence.
Real-World Example
Imagine this scenario: A Houston teacher is rear-ended by a distracted driver and suffers a severe neck injury. She’s unable to work for six weeks while undergoing treatment and rehabilitation. During this time, she misses not only her regular teaching salary but also summer school sessions she had been contracted to lead.
By documenting her regular pay, lost summer contract income, and even using expert testimony to address her reduced long-term career capacity due to chronic pain, she is able to include these financial losses in her personal injury claim.
Tips for Claiming Lost Wages in a Personal Injury Case
- Keep Track of Evidence: Save all pay stubs, tax returns, contracts, and records of payment missed due to your injury.
- Request Employer Verification: Ask your employer for a formal letter outlining the time you missed and the wages you would have earned.
- Work with a Lawyer: A personal injury attorney can help you calculate all your losses and ensure no form of compensation is left out.
- Don’t Forget About Future Losses: Include expected lost income if your injury affects your ability to work in the short term or long term.
- Know the Deadlines: Remember the statute of limitations in Texas—don’t delay filing your claim after an injury.
