Detailed Answer

Disclaimer: This information is for educational purposes only and does not constitute legal advice. Consult a qualified attorney in South Dakota for guidance specific to your situation.

1. Why Wage Records Matter

In a lost wage claim, you must prove the income you lost because of an accident. Accurate records demonstrate your pre-accident earnings, hours worked, employment status and any benefits you missed. South Dakota courts rely on concrete documentation to calculate fair compensation.

2. Core Documents to Gather

• W-2 Forms: Federal W-2s from the past one to three years show annual wages, tax withholdings and employer information. They provide a baseline for your usual earnings.
• Pay Stubs: Recent pay stubs—ideally the last three to six months—detail your gross income, hours worked, overtime, bonuses and deductions. They help prove the exact amount you would have earned during your recovery period.
• 1099 Forms: If you work as an independent contractor or receive non-employee compensation, IRS Form 1099-NEC (or previous 1099-MISC) establishes your yearly earnings from each payer.

3. Additional Supporting Records

• Tax Returns: Copies of your federal and state tax returns (Form 1040 and schedules) for the past one to three years confirm income from all sources, including self-employment, rental income or dividends.
• Employer Verification: A written statement from your employer confirming your job title, hourly rate or salary, typical hours and benefits helps corroborate your stubs and W-2s.
• Profit & Loss Statements (for self-employed): A detailed ledger of business income and expenses shows net earnings before the accident.
• Bank Statements: Six months of statements can fill gaps if you lack pay stubs or if you received direct deposits for freelance work.

4. How South Dakota Law Applies

South Dakota sets a three-year limit for personal injury actions, including lost wage claims. See SDCL § 15-2-14. File your claim before the deadline to preserve your right to recover lost earnings.

5. Presenting Your Claim

Organize documents chronologically and highlight relevant numbers—gross wages, net pay, hours lost. Prepare a summary chart that matches each document to the period of work you missed. This clarifies your request and speeds up settlement discussions or court review.

Helpful Hints

• Request duplicate W-2s or tax transcripts from the IRS if you misplaced originals.
• Ask your payroll department for electronic copies of pay stubs; they often retain records longer than you do.
• For freelance work, maintain a client invoice log that cross-references to 1099s and bank deposits.
• Track any paid leave (vacation, sick days) you used instead of recovering wages; courts may consider unpaid leave separately.
• Keep digital backups of all documents and confirm dates with calendar entries or time-tracking apps.
• Consult a South Dakota attorney early—missing a key record can weaken your case or delay recovery.