Partner at AKD Lawyers
Practice Areas: Personal Injury
Car accidents can upend lives, leaving victims grappling with injuries and financial stress. One of the most significant losses is the income missed during recovery. Understanding how lost wages are calculated and proven in Louisiana car accident claims is critical to securing fair compensation.
What Are Lost Wages?
Lost wages refer to the income you would have earned if your accident-related injuries hadn’t prevented you from working. They include:
- Regular hourly or salaried income.
- Overtime pay.
- Bonuses and commissions.
- Employer-provided benefits like paid time off or retirement contributions.
Lost wages typically account for income missed from the date of the accident until a settlement or verdict. You may also be entitled to lost earning potential for longer-term impacts, which considers future income losses caused by your injuries.
Louisiana Laws on Lost Wages Claims
Under Louisiana Civil Code Article 2315, accident victims can claim damages for financial losses caused by someone else’s negligence. This includes lost income, enabling victims to recover wages lost during recovery.
Recoverable Types of Income
When filing a lost wages claim, ensure you account for all possible income losses, including:
- Salary: Your regular pay was missed during recovery.
- Overtime: Extra hours you were scheduled to work but couldn’t.
- Commissions and Bonuses: Sales-based earnings and performance incentives forfeited due to absence.
- Employer Benefits: Lost vacation days, sick leave, and other perks.
How to Calculate Lost Wages
The calculation depends on your employment type:
For Hourly Workers
Multiply the number of hours missed by your hourly Wage.
Example:
- Hourly Wage: $28
- Hours Missed: 24 (3 days x 8 hours/day)
- Lost Wages: $672 ($28 x 24)
For Salaried Workers
Divide your annual Salary by total work hours (usually 2,080). Multiply the resulting hourly rate by the hours missed.
Example:
- Annual Salary: $55,000
- Work Hours Per Year: 2,080
- Hourly Wage: $26.40 ($55,000 ÷ 2,080)
- Hours Missed: 40
- Lost Wages: $1,056 ($26.40 x 40)
Important: Even if you use vacation or sick days, their value should still be included in your lost wages claim, as they were used due to the accident.
Proving Lost Wages in Louisiana
Documentation is critical to a successful claim. Essential evidence includes:
- Wage Verification Form: A statement from your employer detailing missed work hours and earnings.
- Pay Stubs and Tax Returns: Proof of your usual income.
- Medical Records: Evidence of your injuries and recovery period.
- Work Schedules: Verify the hours you were scheduled to work.
Self-Employed Individuals: Proving Lost Income
Self-employed individuals face unique challenges in proving lost wages. You’ll need to show:
- Contracts or client agreements indicating expected income.
- Previous years’ tax returns.
- Business income statements will highlight revenue drops during your recovery.
Hiring an experienced accident attorney is critical, as insurers may argue that your income loss is unrelated to the accident.
What About Lost Earning Potential?
You can claim lost earning potential for long-term or permanent injuries, compensating for future income you would have earned.
Proving Lost Earning Potential
This often requires expert witnesses, including:
- Medical Experts: To assess the severity of your injuries.
- Vocational Analysts: To determine how your injuries impact career opportunities.
- Economists: To calculate your projected earnings.
Additional Compensation Options
If your accident caused a disability, you might qualify for:
- Workers’ Compensation: If the accident occurred on the job, you might be eligible for Temporary Total Disability Pay (TTD).
- Social Security Disability Insurance (SSDI): For long-term disabilities, provided you meet specific criteria.
Consulting a car accident lawyer ensures you explore all avenues for compensation.
Why You Need a Louisiana Car Accident Lawyer
Calculating and proving lost wages can be complicated, especially when dealing with insurers and legal technicalities. A skilled attorney can:
- Gather the necessary documentation.
- Negotiate with insurance companies.
- Advocate for fair compensation in court if needed.
Get Help With Your Lost Wages Claim
At Alvendia, Kelly & Demarest Accident Law Firm, we understand the financial strain car accidents impose. Whether you’re an hourly worker, salaried employee, or self-employed, our team is here to help you recover lost wages, medical expenses, and more.
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In 2003, after being dissatisfied with the quality of legal care for victims of car accidents, Roderick ‘Rico’ Alvendia sought to establish a new firm focused on providing high-quality legal services to aid injured victims and their families. J. Bart Kelly, sharing Rico’s passion for upholding justice, joined the firm later that year, and established a partnership.
