How to Calculate Lost Wages After a Minor Neck or Back Injury in Washington

Short answer: Add up the hours or days you actually missed because of the injury (ER visits, medical appointments, physical therapy, restricted duty), multiply those hours/days by your usual gross pay rate (hourly rate or prorated daily/salary rate), and back that up with documentation (paystubs, employer statements, medical appointment records). For self‑employed people, use tax returns, business records, or an accountant’s calculation of lost profits. This article explains step‑by‑step methods, what to include and exclude, how to prove the loss, and practical examples under Washington law.

Disclaimer

This is educational information, not legal advice. I am not a lawyer. If you have a claim, consult a licensed Washington attorney about your situation.

1. What counts as recoverable lost wages?

In a typical Washington personal injury claim, recoverable past lost wages generally include the income you actually lost because you could not work due to the injury and care required (emergency-room visits, follow-up visits, and physical therapy). That usually means:

• Hours or full days you missed from your regular job.
• Income lost because you were placed on work restrictions and earned less (reduced hours or light duty pay difference).
• Income lost while attending reasonable medical treatment appointments required by your doctor (travel time and time in appointment where it caused lost work time).

2. Basic formula — hourly employee

For hourly workers, use:

Lost wages = (hourly rate) × (number of hours missed)

Include overtime if you routinely worked overtime and the missed time caused loss of overtime earnings. Use gross pay (before taxes) as the usual starting point for economic loss.

3. Basic formula — salaried employee

For salaried employees, calculate a daily or weekly rate based on normal pay:

• Daily rate = (annual salary) ÷ (number of work days per year you are paid for). Many people use 52 weeks × days per week (for example, 260 workdays for 5 days/week).
• Weekly rate = (annual salary) ÷ 52.

Then: Lost wages = daily or weekly rate × days or weeks missed.

4. Self‑employed or 1099 workers

For contractors and small business owners, calculate lost profits rather than gross receipts. Useful evidence includes:

• Schedule C (tax return) and profit & loss statements.
• Bank deposits tied to business income.
• Contracts, invoices, and cancelled work showing you lost income because of injury.

Lost wages for self‑employed persons are normally net business income lost (profits), not gross sales. If uncertain, get an accountant declaration to quantify lost profits tied to missed work and missed jobs.

5. What about partial days, travel time, and waiting for medical care?

Count any portion of the workday you missed because of the injury or required medical care. If you missed morning work for an ER visit and returned in the afternoon, calculate the hours missed. Add reasonable travel time and waiting time that directly caused lost work time. Keep contemporaneous records (calendar entries, time cards, employer verification).

6. Are paid leave and PTO considered?

If you used sick leave, vacation, or PTO to cover time off, you might still claim the economic loss (because you lost the use of that paid time) — some insurers will consider it part of your wage loss; others will treat it differently. Keep records showing PTO was used because of the injury. If your employer continued full pay while you were out and you suffered no actual economic loss, there may be nothing to claim for those dates. However, if you used PTO that you otherwise would have used later (reducing future paid time off), explain that to the adjuster and provide documentation.

7. Benefits, fringe items, and taxes

Recoverable lost wages typically refer to gross earnings. Fringe benefits (health insurance, retirement contributions) and non‑cash benefits are sometimes part of damages in certain claims, but they can be complicated to value. Taxes are not usually deducted from the lost‑wage figure shown to a jury — courts commonly award gross losses and then tax consequences are addressed separately. Discuss this with an attorney for complex claims.

8. Evidence you need to prove lost wages

Strong proof speeds settlement and supports a fair award. Useful evidence includes:

• Paystubs for the period before and after the injury.
• Employer statement or payroll verification letter confirming hours/days missed and usual pay (signed by payroll or HR).
• Timesheets/timecards and scheduling records.
• Tax returns or W‑2s for salaried workers.
• Invoices, contracts, and bookkeeping for self‑employed workers.
• Medical records showing date & time of ER visit, physical therapy attendance, and any work restrictions or notes indicating inability to work.
• Personal calendar entries, contemporaneous emails to your employer requesting time off, and phone logs showing appointment scheduling.

9. Example calculations

Example 1 — hourly worker:

• Hourly rate: $20/hour
• Missed: 8 hours for ER visit + 3 PT sessions × 2 hours each = 6 hours
• Total hours missed = 14 hours
• Lost wages = $20 × 14 = $280

Example 2 — salaried worker:

• Annual salary: $52,000 → weekly = $1,000 → daily (5‑day wk) = $200
• Missed: one full workday for ER, two half‑days for PT = 1 + (0.5×2) = 2 days
• Lost wages = $200 × 2 = $400

Example 3 — self‑employed contractor:

• Average weekly net profit (based on tax returns): $1,200
• Missed two weeks of billable work due to PT schedule and pain
• Lost wages (profits) = $1,200 × 2 = $2,400 (supported by invoices and tax docs)

10. What if the employer disputes the time missed or the amount?

Obtain a signed employer verification that lists days/hours missed and pay rate. If the employer refuses, use other documentary proof (paystubs, timecards, emails asking to be excused, and medical appointment records). For disputes about overtime or bonuses, produce historical pay records showing prior practice.

11. Timing — statute of limitations in Washington

Most personal injury claims in Washington must be filed within three years from the date of injury. See RCW 4.16.080 (Washington statutes set the general three‑year limitation for actions for injuries to the person). Filing deadlines can change depending on facts (minor plaintiffs, government defendants, or other exceptions), so check the statute or talk to a lawyer promptly: RCW 4.16.080.

12. Practical tips when dealing with an insurer or opposing party

• Document everything now. Keep copies of paystubs, appointment notes, and employer communications.
• Ask your doctor to record work restrictions and whether appointments were medically necessary during work hours.
• Get an employer letter confirming missed time and usual pay rate.
• Be conservative and transparent when presenting your wage loss — insurers check payroll and tax records.
• If you’re self‑employed, prepare a month‑by‑month comparison showing lost revenue and why jobs were missed.

Helpful Hints

• Save appointment confirmations and check‑in receipts from the ER and PT clinics — they show exact dates and times.
• Use screenshots or printouts of your work schedule if your employer posts them electronically.
• Track travel time to/from medical appointments if that time caused you to miss work.
• If you used PTO, document that PTO was taken because of the injury; keep a note of what PTO days you have left.
• For complex losses (future wage loss, diminished earning capacity), consult a Washington attorney — those issues require expert testimony.
• Act quickly — Washington’s statute of limitations is limited, often three years for personal injury claims (see RCW 4.16.080).

When to talk to a Washington attorney

If the amount of lost wages is significant, if the insurance company denies responsibility, if your employer disputes the hours, or if your injury affects future earning capacity, contact a Washington attorney who handles personal injury or employment claims. An attorney can help obtain payroll records, calculate future losses, and negotiate or litigate for a fair recovery.