How Is Workers' Compensation Calculated?
Question
How can I calculate the amount of my compensation if I got injured at work?
Answer
You can calculate your workers’ compensation by using the average weekly wage formula from the R.I. Department of Labor. Our workers comp lawyer in Rhode Island team can also help ensure the calculation is done correctly, especially if your wages involve overtime, bonuses, or multiple jobs. For a broader overview of how benefits are determined, you can also review our RI workers’ comp benefits.
The Weekly Indemnity Formula
The amount you receive in your weekly workers’ compensation benefit check (sometimes referred to as “weekly indemnity”) is calculated using a statutory formula that is based on your average straight gross earnings during the 13 weeks immediately prior to your injury, plus an average of your overtime and bonuses for the 52 weeks prior to your injury, and your dependency status (i.e., single/married/children, etc.). Understanding related areas like how benefits are included in a claim can also help you interpret how these numbers affect your total entitlement.
How To Determine Your Spendable Base Wage?
This formula is used to arrive at your “average weekly wage” (AWW) for workers’ compensation purposes. Your average weekly wage amount (AWW) is then used to determine your “spendable base wage,” which can be obtained by using the RI Department of Labor’s spendable base wage tables in effect as of the date of your injury.
Find your average weekly wage on the left-most column on the applicable wage table, and then go across that row to find your status on the applicable table columns (i.e., single-2 or married-3, etc.). That number will be your “spendable base wage.” Once you have that number, what you actually receive in your weekly workers’ compensation check will be 75% of that number—your weekly check will amount to 75% of your spendable base wage.
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