Can I Recover Income Loss If I’m Salary?

Medical bills can pile up quickly when you’re injured in a car accident, and an inability to work while healing leaves many wondering how they’ll make ends meet. For some employees, they may wonder if they can recover lost wages if they’re paid a set salary instead of hourly.

The answer is yes, salaried workers are eligible for income loss. A skilled Orlando personal injury attorney can help ensure that every dollar of your lost income is properly documented and pursued, however you are paid.

Salaried vs. Hourly Workers: What’s the Difference?

Under Florida law, victims of car accidents can recover compensation for lost income resulting from injuries that prevent them from working. These losses may be covered initially by Personal Injury Protection benefits, which pay 60% of lost wages up to $10,000.00 minus any applicable deductible , regardless of who is at fault, under Florida No-Fault law.

Yet PIP benefits rarely cover all lost income, especially for salaried workers or those in higher-earning positions. In serious injury cases, additional claims against the at-fault driver may be necessary to recover the full amount of missed wages and other financial losses.

At first glance, it might seem that hourly employees have a clearer path to showing wage loss because their pay is directly connected to the number of hours worked. But salaried employees, those who receive a consistent paycheck regardless of hours, can also experience significant wage loss after an accident.

Here’s how the difference plays out:

• Hourly workers. Wage loss is typically calculated by multiplying the number of missed hours by the hourly rate. Pay stubs and work schedules usually provide straightforward proof.
• Salaried workers. Income loss is determined by dividing the annual or monthly salary into daily or weekly rates. Employers can verify the time missed due to medical recovery, therapy, or temporary disability. Even if you used sick days or paid time off, you may still be entitled to recover the value of those lost benefits.

To recover lost wages, you’ll need documentation showing your regular income and the amount of work missed due to the accident.

Future and Indirect Losses

Wage loss isn’t limited to the days immediately following the accident either. Serious injuries can affect future earning potential, limit career advancement, or require long-term adjustments to work duties. In those cases, you may be entitled to compensation for loss of future earning capacity, a more complex calculation that requires expert financial analysis.

Whether you’re an hourly worker or on a fixed salary, income loss is a real and recoverable damage after a car accident. But insurance companies often minimize these claims, especially when the calculations aren’t straightforward.

Don’t let your employment status stand in the way of full financial recovery after an accident. Talk to Orlando personal injury attorney about all of your recovery options.

Need help recovering from income loss? The attorneys at Israoui Law are available to guide you through the insurance claim process, however you are compensated for your work. For the personal attention you deserve, call 407-381-4529 today. Always speak to an experienced accident lawyer before speaking to any Insurance company.