State statutes allow those harmed by others to seek compensation through the civil courts. A cyclist injured by a distracted driver could file a personal injury lawsuit to cover expenses that go beyond the coverage carried by the driver at fault for the wreck. Family members grieving the death of a loved one in a crash caused by a drunk driver could file wrongful death lawsuits that seek to recoup the economic harm caused by the tragedy.
Those pursuing personal injury litigation generally need to ask for a specific amount of compensation as part of that process. Recovering lost wages is often an important part of that process. What factors do injured people and grieving families need to consider when they request lost wages as part of a lawsuit?
The value of benefits
People frequently focus on lost paychecks. However, employment provides more than just regular income. People also have a variety of different benefits provided by their employers which may have an economic value of roughly a third of their base pay, sometimes even more than that. Benefits can range from paid leave to comprehensive insurance packages. Plaintiffs need to determine the current and potential future value of the benefits earned by a professional.
The likelihood of advancement
Few people remain in the same position with an employer throughout their careers. Most people apply for better jobs with other companies or seek promotions with their employers. New positions often come with higher wages and better benefits. Considering future career development is important when estimating long-term lost income.
Regular raises
Even those who intend to stay in the same profession indefinitely usually receive raises from their employers. Some companies offer routine cost-of-living raises to ensure that worker pay remains at least stable given inflation. Other companies offer performance space pay raises to those who go above and beyond for their employers.
Simply looking at current income and calculating years of wages may result in an unfairly low amount of compensation for lost future wages. Having support when calculating the value of lost income as part of a personal injury lawsuit can help people secure an appropriate amount of compensation given their losses.
