How is Average Weekly Wage Calculated for Workers’ Compensation?
If you are injured on the job in Maryland, it is important to find out as soon as possible whether you may be eligible to receive workers’ compensation benefits. In order to receive benefits, you will need to report your injury to your employer as soon as possible, but no later than 10 days from the date of the injury, and all formal workers’ compensation claims must be filed with the Maryland Workers Compensation Commission within 60 days from the date of the injury. In addition to meeting timing requirements, you will need to show that your work injury arose out of and occurred in the course of employment. Once your claim is approved, you can be eligible for benefits that include medical coverage, wage-replacement benefits, and disability benefits if you have suffered a total temporary disability or a partial or total permanent disability.
You are likely wondering: how much will my wage-replacement benefit be? You are not paid your full salary that you would have received if you had not been injured and had continued working. Instead, you are paid a percentage of your “Average Weekly Wage.” The amount of the Average Weekly Wage you receive will depend on the period for which you will be receiving benefits and the date of your injury that gave rise to your workers’ compensation claim.
How the Average Weekly Wage is Calculated
Before we explain a bit more about the amount of the payment you might be able to expect from workers’ compensation, it is important to understand how the Average Weekly Wage in general is calculated.
The Commission will look at your gross wages, including any overtime pay you earned. In short, whatever money you earned in gross will be considered. The Commission will either look at your gross earnings during the 14-week period prior to your injury, or the weeks in that period during which the employee actually worked. In the event that you dispute the Average Weekly Wage as determined by the Commission, you can work with an attorney to submit a statement of your weekly pay in that 14-week period or you can request a hearing with the Commission.
How Much of the Average Weekly Wage Gets Paid?
Generally speaking, an employee will receive two-thirds of their Average Weekly Wage. However, for higher earners, it is important to know that there is a cap.
For higher earners, the payment is two-thirds of the Average Weekly Wage, with a cap based on the State Average Weekly Wage. For workers’ compensation periods of less than 75 weeks, for a present injury, a person’s payment is likely to be capped at 16.7 person of the State Average Weekly Wage. For compensation periods of more than 75 weeks but fewer than 250 weeks, the payment is capped at one-third of the State Average Weekly Wage. The State Average Weekly Wage changes based on the year, increasing each year.
Contact Our Maryland Workers’ Compensation Attorneys
Do you need help with your workers’ compensation wage-replacement benefits or appealing a calculation of your Average Weekly Wage? An experienced Maryland workers’ compensation lawyer at the Law Offices of Steinhardt, Siskind and Lieberman, LLC can speak with you today.
Source:
cc.state.md.us/adjud_claims/comp_rates.html
