If you have been injured by someone else’s conduct, you may be able to recover loss of earnings and diminished earning capacity in a personal injury claim. These types of lost income can be included as part of your economic damages.
Understanding what these damages are and how to calculate them can be crucial to getting all the compensation you deserve.
What Counts as Loss of Earnings in a Personal Injury Claim?
Loss of earnings is basically any money or wages you would have earned had it not been for your injury.
This includes many different types of income, such as:
- Hourly wages
- Tips
- Bonuses
- Overtime hours
- Salary
- Part-time work
- Freelance work
- Commissions
- Business income
- Income as an independent contractor
Calculating the specific value of your loss of earnings claim can sometimes be challenging. You are legally entitled to recover all the income that you missed because of your injury. If you are a salaried worker, the calculation is fairly easy. For example, if your injury causes you to miss six months from work, you would be entitled to recover the value of six months’ worth of your salary.
However, things get a little more complex when you receive an hourly wage or items like tips and commissions are involved. In such situations, the calculation will require reviewing your average wages from the past.
Future Lost Wages and Diminished Earnings Capacity in Tampa Personal Injury Cases
Not only are you entitled to recover the wages you have already lost due to your injuries, but you can also claim any future wages you will miss because of your injuries. This is especially common in situations involving permanent injuries or disabilities that prevent you from working in the future. Putting an accurate value on these future damages can be difficult, though.
Factors Used to Value Future Lost Earnings
There are several factors that must be evaluated to determine the value of your future lost earnings, including:
- Your work experience and educational background
- The severity of your injuries
- Your ability to perform other types of jobs
- Your current age and potential retirement age
- Cost-of-living adjustments and raises
- The employment outlook for the type of career you were in
After careful consideration of these and other relevant factors, a financial expert can estimate how much you would have been able to earn if you were able to keep working. One significant factor in these claims is whether your injuries prevent you from working at all or only from doing the type of work you did before your accident.
Diminished Earning Capacity in Partial Disability Cases
Diminished earning capacity claims are common when you suffer a partial disability. You may be able to work, but you might not be able to perform the same type of work you did previously.
A diminished earning capacity claim allows you to recover the difference in the earnings you would have made had you not been injured versus the earnings you are expected to make after your injury.
How Comparative Fault May Impact Your Loss of Earnings Claim
After an accident, you might find that the defendant or their insurance company is trying to blame you for it. This tactic is quite common, and it can be used to reduce the value of your claim.
Florida follows a modified comparative negligence rule for personal injury claims. In some cases, a claimant’s level of fault can also affect whether they can recover damages at all, depending on the facts and when the claim arose.
However, your financial recovery will be reduced by your portion of the fault. This includes claims for loss of earnings and diminished earning capacity. For instance, if you are found to share 30% of the fault for your accident, you would only be entitled to recover 70% of your lost earnings after the accident.
Contact Mincone Personal Injury Lawyers for a Free Consultation With a Tampa Personal Injury Lawyer
If you have been hurt in an accident in Tampa, FL, you may be entitled to recover both economic and non-economic damages for your losses. This includes loss of earnings as well as diminished earning capacity. Placing a proper value on these damages can be complex, but this step is crucial to obtaining all the compensation you are legally entitled to receive.
Contact Mincone Personal Injury Lawyers to schedule a free consultation with a Tampa personal injury lawyer. We have recovered millions of dollars in compensation for accident and injury victims, and we are ready to help you pursue maximum compensation for your injury claim.
