Receiving Compensation for Lost Income Due to a Vehicle Accident

calculating lost incomeIf you’ve been injured in a vehicle accident, you’re entitled to recover damages for the harm you’ve suffered. These damages may include compensation for medical expenses, pain and suffering, and lost income.

Recoverable Income

You’re entitled to recover lost income from those individuals responsible for your injuries. This is true regardless of whether you work full-time, part-time, or if you’re self-employed. Further, if you used sick leave or vacation time for your time away from work, you’re entitled to be reimbursed for that time. To receive compensation for the income you’ve lost, you’ll need to provide evidence of the time you’ve missed from work due to the accident and the amount you would have been paid during the time you couldn’t work.

Documenting Lost Income

To recover the income you’ve lost, you will need supporting documentation that proves your claim. This may include:

  • A letter from your employer specifying the number of hours you usually work and the total amount of time you’ve missed due to the accident.
  • Your tax returns and pay stubs, as evidence of the income you were receiving prior to the accident. This also provides documentation of the frequency of pay raises and bonuses.
  • Documentation showing the earnings you would have received from the time the accident occurred until the settlement or court judgement date, in the event you are self-employed. This includes freelancers, sole proprietors, and independent contractors, who may submit a 1099 form, invoices, or receipts as proof of lost income.
  • Future lost income and reduced earning capacity, which can be determined by an expert witness, typically a forensic economist. Your employment history, age, and the physical disability you’ve suffered due to the accident will likely be important factors used to determine your future income losses.

You Need an Attorney

If you’re missing out on past, current, or future income due to injuries stemming from a vehicle accident, you deserve compensation. An experienced attorney can help you determine the value of your lost income and he will work to ensure that you receive the recovery you deserve. To learn more, contact the Cain Law Firm to schedule a free, no-obligation case evaluation.