Economic loss
Claiming Lost Wages and Income After an Accident
An injury that keeps you from working hits the household budget immediately. Knowing how lost income is claimed — past and future — helps you plan while you recover.
The first kind of loss
Wages you have already missed
The most visible part of an income claim is the pay you have lost while unable to work. This covers wages, salary and other regular earnings from the date of the accident up to the point your claim is assessed. For employees it is usually documented through payslips, an employer's letter and tax records. For the self-employed it takes a closer look at invoices, business accounts and the work that had to be turned away.
Keeping these records organised from the start saves a great deal of effort later and removes an easy line of dispute.
Often overlooked
Future earning capacity
The harder loss to measure is what an injury does to your ability to earn going forward. Reduced hours, a change of role, missed promotions or an early end to a career can all flow from a serious injury — and all of it can form part of a claim.
Why future loss is the bigger story
For many people, the wages missed in the first months are modest beside the long-term effect on their working life. A tradesperson who can no longer lift, or a professional whose concentration is affected, may face years of reduced income. Estimating this fairly calls for medical evidence about your limitations and a realistic view of the career path the accident interrupted — the heart of any lost income compensation claim. It is rarely simple, and it is rarely worth guessing.
Keep these safe
Records that support an income claim
- Payslips and an employer's letter confirming time off
- Tax returns and group certificates
- Business accounts and invoices, if self-employed
- Medical certificates linking your absence to the injury
Superannuation and benefits
Lost income often carries hidden losses with it. When you are not working, employer superannuation contributions stop too, and that gap in retirement savings can itself be claimed. Sick leave or annual leave used to cover an absence may also be recoverable. These threads are easy to forget in the moment yet they add up over the life of a claim.
Don't settle too soon
Because future income loss only becomes clear as your recovery unfolds, settling before your condition has stabilised risks leaving real losses uncompensated. Patience and good records protect you here. For the wider context on how all of this fits together, see the guide.
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