Yes. If you were hurt on the job in New York, workers’ compensation can replace a portion of the wages you lost while you were unable to work. How much you receive, and for how long, depends on the severity of your injury and how it affects your ability to do your job.
Most people know workers’ comp covers medical bills. The wage replacement side catches them off guard. You get hurt, you miss work, and then the checks start coming — but they’re smaller than your paycheck. You didn’t do anything wrong. It’s just how the benefit is calculated, and understanding it can change how you plan for the weeks ahead.
This post breaks down how lost wage benefits work under New York workers’ compensation, what the weekly payment actually looks like, and what can reduce or delay your check.
Talk to Katz, Leidman, Freund & Herman About Your Claim
Lost wage benefits are your right. Don’t settle for less than what you’re owed. Contact Katz, Leidman, Freund & Herman today to speak with our workers’ compensation lawyers in New York City about your situation.
How Does New York Workers’ Compensation Calculate Lost Wage Benefits?
New York workers’ comp pays you two-thirds of your average weekly wage, up to a maximum set by the state. That cap changes every year, so the amount available to an injured worker in 2024 is different from what it was five years ago.
Your average weekly wage is based on your earnings over the 52 weeks before your injury. It’s not just your base salary. Overtime, second jobs, and other consistent income can all factor in. If your work history is uneven, the calculation gets more complicated.
Here’s the part that matters most: you don’t get 100% of what you earned. You get 66.67% of it. That gap is real, and it adds up fast. A worker earning $1,200 a week would receive roughly $800 under workers’ comp. After a month, that’s $1,600 less than their normal income.
What Disability Categories Affect How Much You Receive?
New York workers’ comp doesn’t treat all injuries the same. The benefit amount depends on which disability category your injury falls into.
- Temporary total disability: You can’t work at all right now. You receive two-thirds of your average weekly wage up to the state maximum, for as long as you remain fully disabled.
- Temporary partial disability: You can do some work, but not your full duties. You receive two-thirds of the difference between what you earned before the injury and what you can earn now.
- Permanent partial disability: Your injury caused lasting limitations, but you can still work in some capacity. The benefit is based on the degree of your disability and a schedule set by New York law.
- Permanent total disability: You can no longer work in any capacity. Benefits can continue for life, depending on the circumstances.
The category isn’t always obvious at first. Your doctor’s findings, your employer’s response, and the insurance carrier’s evaluation all play a role in determining where your claim ends up.
When Do Lost Wage Payments Start After a New York Work Injury?
There’s a waiting period built into the system. You don’t get paid for the first seven days you’re out of work — unless you’re disabled for more than 14 days. If your disability lasts 14 days or longer, you get paid retroactively for those first seven days.
For most serious injuries, that threshold gets crossed. But for workers who miss only a week or so, that waiting period means no wage replacement at all.
Beyond the waiting period, payments can be delayed by disputes over whether your injury is covered, whether it happened at work, or how severe it actually is. Insurance carriers are not always quick to approve claims. When a carrier disputes a claim, benefits can be held up while the case works through the New York Workers’ Compensation Board.
Filing promptly matters. You have 30 days to notify your employer after a work injury. If you miss that window, you risk losing your right to benefits entirely.
Can You Receive Lost Wage Benefits If You Go Back to Work Part-Time?
Yes, but the math changes. If your injury limits you to part-time work or a lighter-duty role at reduced pay, you may qualify for partial wage replacement.
The formula compares your pre-injury wages to what you’re actually earning now. You receive two-thirds of the difference. If you were earning $1,000 a week and can only earn $600 now, you’d receive two-thirds of the $400 gap, which comes out to about $267 per week in partial benefits.
That’s not a lot. But it stacks on top of your reduced paycheck and can make the difference between staying afloat and falling behind while your body heals.
Going back to light duty doesn’t close your claim. You still have rights. Our workers’ compensation lawyers in New York City can make sure a premature return to work doesn’t cost you benefits you’re still owed.
What Can Reduce or Stop Your Lost Wage Benefits?
Several things can cut into your wage replacement payments. Some of them are automatic. Others happen because of mistakes in how the claim was handled.
- Returning to full duty: Once you’re cleared to return to your regular job at your regular pay, benefits stop.
- Reaching maximum medical improvement: When doctors determine you’ve recovered as much as you’re going to, your claim transitions from temporary to permanent. Benefits may change.
- Receiving Social Security Disability: If you’re collecting SSDI, your workers’ comp benefits may be reduced. This offset is calculated by formula.
- Failing to attend independent medical exams: Insurance carriers can require you to see their doctor. Missing those appointments can pause your benefits.
- Non-cooperation with vocational rehabilitation: If the Board orders you to participate in job retraining and you refuse, benefits can be affected.
The insurance carrier is not your advocate. Their job is to close claims, not protect your income. Knowing what can trigger a reduction helps you avoid missteps that cost you money.
Does Workers’ Comp Cover All the Wages You Lost in New York?
No. Two-thirds of your average weekly wage is the formula, but it doesn’t account for everything. It doesn’t cover tips if they weren’t factored into your wage calculation. It doesn’t cover future raises or bonuses. It doesn’t account for the career setback that comes with a serious injury.
Workers’ comp was designed as a replacement benefit, not a full recovery. It gets you through the period when you can’t work. It doesn’t make you whole.
That’s why some injured workers also pursue claims for additional compensation when third-party negligence was involved. If someone other than your employer contributed to your injury — a contractor, an equipment manufacturer, a building owner — a separate claim may be possible. Workers’ comp and a personal injury lawsuit are not always mutually exclusive.
Frequently Asked Questions About Lost Wages and Workers’ Comp in New York
Does workers’ comp cover 100% of my lost wages in New York?
No. Workers’ comp in New York pays two-thirds of your average weekly wage, up to the state-set maximum. You will not receive your full pre-injury earnings.
How long can I receive lost wage benefits in New York?
It depends on your disability category. Temporary benefits last while you’re unable to work at full capacity. Permanent partial disability benefits are paid for a set number of weeks based on injury type and degree of impairment. Permanent total disability can result in lifetime benefits.
What is the maximum weekly workers’ comp payment in New York?
The maximum changes annually. It’s tied to the New York State Average Weekly Wage, which the state updates each year. Your workers’ compensation lawyers in NYC can give you the current cap and how it applies to your specific earnings.
What happens if my employer says I can return to light duty but I can’t do the job?
If your doctor agrees you cannot perform the offered position, your benefits should continue. Light-duty assignments need to be within your medical restrictions. When there’s a conflict between your doctor and your employer, the Workers’ Compensation Board can resolve it.
Can a workers’ comp insurance company stop my payments without warning?
Yes. Carriers can suspend payments in certain circumstances, including if they dispute the extent of your disability or if you miss a required medical exam. You have the right to challenge those suspensions at the Board. Act quickly. Delays can make the process harder.
Do I need a workers’ compensation lawyer to get lost wage benefits from workers’ comp in New York?
You’re not required to have one. But insurance carriers have legal teams whose job is to limit what they pay. Our workers’ compensation attorneys in New York City work on your behalf to make sure benefits are calculated correctly, disputes are challenged, and nothing falls through the cracks.
Talk to Katz, Leidman, Freund & Herman About Your Claim
Lost wage benefits are your right. Don’t settle for less than what you’re owed. Contact Katz, Leidman, Freund & Herman today to speak with our workers’ compensation lawyers in New York City about your situation.