Michigan workers comp lawyer explains the maximum weekly rate and how to calculate your wage loss benefits.
Our clients are frequently concerned about their wage loss benefits under workers comp. They are afraid that they are not receiving the correct amount or that the insurance company will stop paying benefits.
We understand these concerns and want you to know about your legal rights. Here is some information about your workers comp benefits that you should know.
Workers comp pays cash benefits to individuals who cannot work because of injury. It does not matter if you were at fault, it only matters if you were hurt at work. The amount of money you receive will depend upon your average weekly wage.
Your workers comp benefits cannot be stopped because you spoke with a lawyer or because you asked for additional wage loss benefits.
Average weekly wage
Your wage loss benefits are calculated based upon your average weekly wage. This is the amount that you earned on a weekly basis in the year prior to your work injury.
Take your highest 39 weeks in the last 52 and add these weeks together. Divide this number by 39 to calculate your average weekly wage.
Include overtime, premium pay, and bonuses in your average weekly wage calculation. Under certain circumstances, fringe benefits can be used to increase your average weekly wage.
Workers comp rate
Your workers comp rate will be approximately 80% of the after-tax value of your average weekly wage. Use these tables published by the State of Michigan – Workers’ Compensation Agency to compute the after-tax value based upon your tax filing status and number of dependents.
In general, your workers comp rate will be about 60% of your average weekly rate. Talk to an experienced workers comp lawyer if you have trouble computing your weekly rate.
Maximum workers comp rate
Even if you are a high wage earner, your wage loss benefits will be limited to a maximum of 90% of the state average weekly wage. For 2011, the state average weekly wage is $823.35 and the maximum workers comp rate is $742.00.
To speak with one of our workers comp lawyers, call (855) 221-2667. There is no fee to review your case and confirm that you are receiving the correct wage loss benefits.
– Alex Berman is the founder of the law firm. Hes been representing injured and disabled workers exclusively for more than 35 years. Alex has helped countless people obtain lost wages under workers comp and never charges a fee to evaluate a case.
– Photo courtesy of Creative Commons, by Dominic Alves.