Detailed Answer
After a personal injury in New Jersey, you can recover lost wages as part of your economic damages. Lost wages include income you would have earned if not for your injury. To secure this compensation, you must gather proof, calculate your losses accurately, and submit your claim within legal deadlines.
Understanding Lost Wages under NJ Law
Under New Jersey tort law, plaintiffs may claim lost wages as compensatory damages. If your injury stems from a motor vehicle collision, New Jersey’s Personal Injury Protection (PIP) statute covers up to $250 per week in wage loss. See N.J.S.A. 39:6A-8. For other accidents, lost wages are claimed directly from the at-fault party.
Step 1: Gather Your Records
- Pay stubs or direct-deposit records before and after your injury.
- Employer statements confirming hours missed and pay rate.
- Tax returns (Form W-2) for the past 2–3 years.
- If self-employed: profit and loss statements, 1099s, invoices and bank statements.
- Documentation of any benefits you received, such as short-term disability or workers’ compensation.
Step 2: Calculate Your Lost Income
Salaried employees multiply daily wage by days missed. Hourly workers multiply hourly rate by hours missed. Self-employed claim net income lost. Include bonuses, commissions and overtime if you can prove historical trends.
Step 3: Include Lost Wages in Your Demand
When you send a demand letter or file suit, attach a wage-loss summary. List each missed pay period, your normal earnings and the total loss. Include copies of all supporting documents. A clear package helps insurers or courts evaluate your claim faster.
Step 4: Observe Deadlines
Most personal injury actions in New Jersey must begin within two years of the injury. See N.J.S.A. 2A:14-2. If you miss this deadline, you generally lose your right to recover lost wages.
Other Considerations
If you receive partial wage replacement—such as from short-term disability—your net recoverable loss may decrease. Insurance companies will offset benefits paid. Keep detailed records of any benefits you receive and discuss potential subrogation with an attorney.
Disclaimer: This article is for educational purposes and does not constitute legal advice. Consult a qualified attorney to discuss your specific situation.
Helpful Hints
- Track daily symptoms and work limitations in a journal.
- Ask your employer for written confirmation of time lost.
- Keep original payroll and tax documents; send copies with your claim.
- Request a copy of your PIP wage-loss claim if you were in a vehicle accident.
- Consult an attorney before accepting a settlement to ensure all wage losses are covered.