How to Calculate Loss of Earnings

Written by charlotte johnson
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How to Calculate Loss of Earnings
Employees receive loss of earnings if they are injured on the job. (work gloves image by timur1970 from

If you are the victim of an accidental injury at work, you may lose time on the job as a result. In this case, you are legally entitled to reimbursement for the money you would have made had you not been injured. Calculating your loss of earnings is a simple process that allows you to get the financial assistance that you deserve when you are out of work due to work-related injury or illness.

Skill level:
Moderately Easy

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  1. 1

    Determine the amount of money that you make monthly. You should be able to find this on a paycheck stub. If you don't have a paycheck stub, check your tax information from the previous year--your earnings should be on that as well.

  2. 2

    Multiply that figure by 12. For instance, if you make £1,950 each month, multiply that figure by 12 to get £23,400.

  3. 3

    Divide your answer from step two by 52 to determine the amount you make weekly. In this example, you would divide £23,400 by 52 to get a weekly wage of £450.00.

  4. 4

    Multiply your weekly net income by the number of weeks you missed work in order to calculate your loss of earnings. For instance, if you missed three weeks of work, multiply three by £450.00 to get £1,350.00.

Tips and warnings

  • If you missed a partial week, use a decimal point in your last step of multiplication. Each day equals 0.2 weeks. For instance, if you missed two weeks and three days, you would multiply your weekly income by 3.6.

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