Reviewed By: Personal Injury Team Last Updated: July 30, 2026
A workplace injury can send you down a lengthy road to full recovery, marked by challenges both physical and financial. With uncertainty about the future mounting, injured workers may misunderstand the compensation they are entitled to – and settle for less than they deserve.
We’ve detailed the difference between loss wages and loss of future income here, so read on to learn more.
What Are Lost Wages?
If you have been injured in a serious on-the-job accident, it’s unlikely that you will be able to return to work in your normal capacity. For many, this time away from work – and the loss of a consistent paycheck – can wreak havoc on their family’s finances.
That’s why you’ll often find the term “lost wages” listed as one of the compensation benefits available in a workers’ compensation claim.
Lost wages refer to the amount of money a worker would have earned had they been able to work. Lost wages include hourly wages, overtime, bonuses, sick days, vacation days, company benefits (like a work cell phone), and tips.
Keep in mind that, in workers’ compensation cases, your lost wages may be limited. If you have been injured on the job, consult a workers’ comp attorney to ensure that you are maximizing your benefits.
How Are Lost Wages Different From Loss of Future Income?
While lost wages refer to the money already lost due to your injuries, loss of future income refers to the anticipated future earnings that are never received due to the nature of your accident.
For instance, if you suffered a fall while on the clock that resulted in partial paralysis, your ability to work for that company – and others – in the future will be greatly impacted. Simply put, your earning potential is limited in the years to come.
Determining the loss of future income, or earning capacity, involves answering several key questions related to your employment history, age, skills, and more.
Questions may include the following:
- How much money were you earning prior to the incident?
- What is the degree and scope of your disability?
- What was your career trajectory at the time of the accident?
The dollar amount assigned to your loss of earning capacity will vary based on these factors, and it is not unheard of for injured workers to be offered less than they deserve. Working with a skilled workers’ comp lawyer can help prove your future value while ensuring you receive the compensation you are entitled to.
Does Workers’ Comp Cover Lost Wages and Loss of Future Income?
According to the South Carolina Workers’ Compensation Commission, these three types of benefits are available for work-related injuries: medical benefits, lost wages, and permanent disability.
Lost wages are typically straightforward to calculate, requiring only past pay stubs or other documentation from your employer, like lost perks, typical overtime hours, etc. Lost wages in some cases, like those involving self-employed workers, are more difficult to determine.
While lost wages may be relatively easy to calculate, receiving compensation for future earnings can be a bit more complicated – given that calculations take various personal and professional factors into account.
For this reason, it’s best to work with a team of knowledgeable workers’ comp lawyers near you. Skilled in workers’ compensation claims, we have the knowledge and experience required to maximize the compensation you receive.
Get the Help You Need From a Charleston Workers’ Comp Attorney
Working with our team at Hoffman Law Firm could mean the difference between a financially stable future and one defined by despair.
Highly skilled in SC law, our legal team can help determine the proper amount to seek in your claim, while facilitating communication with your employer and insurance companies. Let us handle the heavy lifting while you focus on your recovery.
With offices in Georgetown, SC, and Charleston, SC, our personal injury law firm supports accident victims throughout the Palmetto State. As the leading workers’ comp lawyers in Charleston and Georgetown, we have established a reputation for success and great service!
Schedule your free consultation today with a personal injury attorney in Charleston or Georgetown, SC, and we will take it from there.
SOURCES & REFERENCES
- South Carolina Workers’ Compensation Commission (SCWCC): Disability Benefits and Average Weekly Wage Calculations
- South Carolina Code of Laws: Title 42 – Workers’ Compensation (S.C. Code Ann. § 42-9-10 Total Disability & § 42-9-20 Partial Disability)
- U.S. Bureau of Labor Statistics (BLS): Occupational Employment and Wage Statistics Guidelines
- American Academy of Disability Evaluating Physicians (AADEP): Guidelines for Estimating Loss of Earning Capacity
LEARN MORE ABOUT WORKERS’ COMPENSATION CLAIMS
Want to make sure your Workers’ Compensation claim is fully protected? Explore these related guides from Hoffman Law Firm:
- Lost Wages vs. Loss of Future Income: How Do You Determine Your Benefits in a Workers’ Comp Claim?: A deep dive into calculating wage loss, average weekly wage limits, and earning capacity.
- Understanding Your Permanent vs Temporary Disability: Differences of Permanent and Temporary Disability in workers’ comp process.
- What Happens During a Vocational Exam in a SC Workers’ Comp Claim?: How vocational experts evaluate your future employability and financial impact after an injury.
- 6 Common Mistakes That Can Ruin Your SC Workers’ Comp Claim: Crucial steps to take and errors to avoid when protecting your financial recovery.
Disclaimer: This content is for informational purposes only and does not create an attorney-client relationship. Every workers’ compensation claim is unique, and the information provided may not apply to your specific situation. If you have questions about your rights after a workplace injury, consult a qualified South Carolina workers’ compensation attorney.
