How to Measure Lost Earning Potential
Being seriously injured in an accident can completely upend your life. As medical bills start to pile up, you could be facing a perilous financial situation, especially if you have to take time off work while you heal. And if your injuries were so severe that you became disabled, your earning capacity could be significantly reduced or lost for the rest of your life. With no reliable source of income and a long recovery ahead, you might be wondering how you’re going to cover all of the costs you’ve incurred, not to mention general life expenses in the future.
Fortunately, if you were hurt in an accident that was caused by someone else’s negligence, you could be entitled to recover compensation from the at-fault party for lost earning potential, also known as future lost income. By seeking compensation for lost earning potential, you can protect your future quality of life. Damages for lost earning potential are designed to compensate you for income you would have made in the future if you had not been injured.
The Augusta personal injury attorneys of Chris Hudson Law Group believe you should be able to obtain compensation to cover losses to any income you could potentially gain in the future, especially if you cannot return to work at all or only in a reduced capacity that will affect your position level and income. For a full explanation of your options regarding your specific situation, and to find out more how we can help you obtain the financial relief you deserve for your permanent disability, you can contact our law firm at (706) 690-4613 to schedule a no-cost consultation.
What is Lost Earning Capacity?
If your accident-related injury kept you out of work, you likely missed out on hourly wages, commissions, and other forms of compensation or benefits. Many individuals who file personal injury claims seek compensation for lost income. To be successful, you must demonstrate how the injury kept you from working, and you must be able to show documented evidence of the income you missed out on, using past pay stubs or other documentation.
On the other hand, lost earning potential refers to losing out on income you likely would have earned in the future. As an example, say you suffered a permanent injury to your arms, hands, or shoulders in a car accident caused by someone else’s negligence. You can no longer move your arm, or you have a very limited range of motion. Regardless of your field or industry, you will likely have a harder time maintaining gainful employment because of your disability. In fact, you may never be able to work again at all. If your physician determines that you have a permanent disability, you could seek compensation for lost earning capacity.
How is Lost Earning Capacity Calculated?
Unlike lost income, lost earning potential is more challenging to prove. Moreover, lost earning capacity is not calculated based on the amount you made just before your injury. The court typically considers your earning potential before your injury based on an average of what you have made over a period of time, along with other factors. Some factors the court will consider when determining lost earning capacity include:
- Your profession and level of education
- Your professional abilities, special skills, talents, etc.
- Where you live and work
- Your work history, including raises and promotions
- The current market value or average pay rate for your skills and abilities
Quantifying your lost earning capacity can be difficult without the help of an experienced legal professional. Every case is unique because every person has different skills, occupations, and earning potential that must be considered on a case-by-case basis.
Contact Chris Hudson Law Group for Help Determining Your Lost Earning Capacity
At Chris Hudson Law Group, we will fully analyze all aspects of your previous and current work history, your expectancy, and other factors the court will consider when making their calculations. Our lawyers have many years of experience assisting our clients with all aspects of their personal injury claims, and we have achieved great success helping those in need obtain the maximum amount of compensation allowed under the law.
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Our nationally ranked and award-winning lawyers truly care about you and your family, and you can trust that we will do all we can to help you get the relief you deserve. To begin the process, contact an Augusta personal injury attorney at Chris Hudson Law Group by calling us at (706) 690-4613, or reach out through the contact form located on our website. We offer free consultations with full confidentiality, and we work on a contingency fee basis, so we won’t collect a fee unless we successfully obtain compensation on your behalf.