Disclaimer: This article is for informational purposes only and does not constitute legal advice. Consult a licensed attorney to discuss your specific situation.
Detailed Answer
Under New Mexico law, you may recover compensation for income you miss due to an injury or wrongful act. Lost wages cover earnings you would have received but for the injury. Below is an overview of the types of income you can include when calculating your lost wages under New Mexico law:
1. Base Wages and Salaries
Your regular hourly or salaried earnings form the foundation of a lost-wage claim. Use your pay stubs or employer payroll records to establish your standard rate of pay and hours worked.
2. Overtime Pay
If you regularly work overtime, you can include those higher rates. For workers’ compensation claims, New Mexico defines “average weekly wage” to include overtime in calculating benefits (NMSA 1978 § 52-1-40).
3. Commissions, Bonuses and Tips
Performance incentives like sales commissions, productivity bonuses and service tips count toward your income. Document past incentive earnings to calculate an average.
4. Self-Employment and Contract Income
Independent contractors and business owners may recover business profits or consulting fees lost due to inability to work. Use tax returns, invoices and bank statements to prove lost revenue.
5. Fringe Benefits and Perquisites
Many employers provide value beyond cash wages: health insurance premiums, pension contributions, car allowances or housing. You can claim the monetary value of benefits lost during your recovery period.
6. Future Earning Capacity
If your injury reduces your ability to earn in the long term, you may seek damages for diminished future earning capacity. Expert testimony often supports this element of a personal injury claim.
7. Other Income Sources
Include any additional regularly received income you cannot collect, such as royalties, rental income or dividends if your injury prevents you from managing these activities.
Helpful Hints
- Gather all pay records—wage statements, tax returns and benefit summaries—to document your income history.
- Keep a detailed diary of days lost and hours you could not work due to your injury.
- Ask your employer for a written statement of lost hours, pay rate and benefits withheld.
- Consult a medical expert to link your inability to work directly to your injury.
- In workers’ compensation cases, review NMSA 1978 § 52-1-40 for definitions of wages and benefit calculations.
- Meet all notice and filing deadlines to preserve your right to recover lost wage benefits.