Detailed Answer
What Are Lost Wages?
Lost wages refer to the income you would have earned if an injury had not prevented you from working. This includes regular pay, overtime, bonuses, commissions, tips and self-employment earnings.
Utah Law on Economic Damages
Under Utah Code Ann. §78B-3-107, you may recover economic losses—such as lost earnings—caused by a personal injury. You must file your claim within four years per Utah Code Ann. §78B-2-307 (Statute of Limitations).
Step 1: Gather Employment Records
- Pay stubs and W-2s: Collect recent pay stubs, W-2 forms or 1099s covering six months before the injury.
- Employer statement: Request a signed letter detailing your job title, hourly/salary rate, hours typically worked and dates/hours missed due to injury.
- Time sheets or payroll records: Obtain official records showing hours scheduled versus hours worked.
Step 2: Document Your Disability Period
Obtain medical documentation showing when you were unable to work. A doctor’s note, physical therapy records or hospital discharge papers should clearly state the dates you could not perform job duties.
Step 3: Calculate Your Lost Earnings
Multiply your wage rate by the total number of work hours missed. For salaried employees, divide your annual salary by the number of workdays per year, then multiply by days lost.
Step 4: Support Self-Employment Claims
- Tax returns and profit-loss statements: Use recent federal income tax returns (Schedule C for sole proprietors) and year-to-date profit/loss statements.
- Invoices and appointment logs: Show work you could not accept.
Step 5: Present Your Claim
Submit a demand package to the at-fault party’s insurer. Include a cover letter, a summary of your claim, copies of employment and medical records, and your calculation of lost earnings. Keep a copy of every document and record of dates you sent or received correspondence.
Step 6: Filing a Lawsuit if Needed
If negotiations stall, you can include lost wages as “special damages” in your complaint. A court may award the full amount if you prove your calculations with credible evidence.
Disclaimer: This article is for educational purposes and does not constitute legal advice. Consult a qualified attorney before making legal decisions.
Helpful Hints
- Track all communication with insurers, employers and medical providers.
- Keep digital and paper copies of every document.
- Seek medical treatment promptly to avoid disputes over injury timing.
- File your claim before the four-year statute of limitations expires.
- Consult a personal injury attorney early if the insurance company disputes your losses.