How To Calculate Workers’ Comp: What You Need To Know

How To Calculate Workers’ Comp: What You Need To Know

Michigan lawyer explains how to calculate weekly Michigan workers’ comp benefits and why you should always doublecheck insurance company math.

Workers’ comp is a safety net for employees hurt on-the-job. It pays wage loss benefits to employees who are unable to work. The amount paid is based upon an employee’s average weekly wage taking into consideration overtime, discontinued fringe benefits, and even second jobs that cannot be performed anymore. Here is some information on how to calculate your Michigan workers’ comp benefits and why checking insurance company math is a good idea.

Insurance companies make errors, and they are never in your favor. We have seen clients get hundreds of dollars less each week simply because the insurance company made a dumb mistake. Checking insurance company math is easy when you have the right tools and knowledge. We offer free case evaluations anytime a person needs help with how to calculate your Michigan workers’ comp benefits. It can be confusing when a person does not know the value of discontinued fringe benefits, or they have a second job that has not been included.

The Workers’ Compensation Disability Agency (WDCA) has an online calculator, and it can be a great resource. Use it to calculate the weekly comp rate, disability period, age reductions, partial disability, coordination of benefits, and third-party offsets.

How to calculate workers’ comp benefits in Michigan

To calculate your Michigan workers’ comp benefits use the highest 39 paid weeks out of the 52 before the accident. Overtime, discontinued fringes, and second jobs can be included. Tax filing status and number of dependents will be used to determine the weekly comp rate. It’s important to note that injured employees should receive 80% of their after-tax average weekly wage.

Charts published by the WDCA also show you how to calculate your comp rate. Take your highest 39 paystubs over the last year and dive by 39 to get an average number. If you did not work 39 weeks over the last year for this employer, just use the total number of weeks available. Do not forget to include overtime. Find this average number on the chart that corresponds to tax filing status and number of dependents. This should be your weekly comp rate.

Doublecheck insurance company math

Watch out for insurance companies who don’t calculate the Michigan workers’ comp rate but simply estimate the average weekly wage. This could result in much less being paid weekly and result in a lower settlement offer. Wage records should be obtained directly from the employer and should not be estimated.

It is also important to challenge insurance companies who say you can find a different job. They will reduce weekly checks based upon post-injury wage earning capacity (PIWEC) claiming only partial disability. This is money that you are not even earning from jobs that might not even exist. Call a workers’ comp lawyer immediately should this happen to you.

Injured while on-the-job in Michigan? Contact our lawyers now

If you were injured while on the job in Michigan and have questions about your work injury claim and how to calculate your Michigan workers’ comp benefits, call us now, or fill out our contact form for a free consultation. There is absolutely no cost or obligation. Our attorneys are here for you.

Our attorneys have been exclusively helping injured workers in Michigan for more than 35 years. Our attorneys can help you better understand Michigan work injury laws and what happens after someone has been hurt on the job. To see what our own clients have to say about the caring, compassion, and communication they received from us, you can read in their own words about their experience here on our testimonials page from clients we have helped.

Michigan Workers Comp Lawyers never charges a fee to evaluate a potential case. Our law firm has represented injured and disabled workers exclusively for more than 35 years. Call (844) 201-9497 for a free consultation today.

Related information:

Can You Collect Workers’ Comp After Being Fired?

How To Calculate Workers\' Comp: What You Need To Know
Injured On The Job: A Guide to Michigan Workers Compensation Law Injured On
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A Guide to Michigan Workers Compensation Law Free Book
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