How To Calculate Loss Of Earnings – Examples And Guide

By Cat Mulligan. Last Updated 7th December 2023. An injury can affect you mentally, physically, and financially. If you had to take sick leave from work, you may have suffered a loss of earnings. A loss of earnings calculator can show how much compensation you may be entitled to. However, there are other avenues you could take to get an accurate compensation calculation.

If you’ve suffered an injury due to someone else’s negligence, you may be eligible to make a loss of earnings claim for the financial harm done. You can speak to our advisers to discuss how much compensation you may be entitled to.

If your claim is valid, they can connect you to a personal injury solicitor from our panel to explore No Win No Fee agreements with you and potentially start the claims process.

You can contact a friendly adviser from our team by:

  • Ringing them on 0800 408 7825.
  • Putting your details into our contact form to chat with an adviser whenever you’re next available.
  • Talking to an adviser via our live chatbox to receive advice straight away. 
loss of earnings calculator

Claiming for loss of earnings

Select A Section

  1. What Is A Loss Of Earnings Claim?
  2. How Do You Calculate Loss Of Earnings In Personal Injury Claims?
  3. How Does A Future Loss Of Earnings Calculator Work?
  4. Can I Use A Loss Of Earnings Calculator As A Non-Employee?
  5. What Evidence Do I Need For A Loss Of Earnings Claim?
  6. Personal Injury And Loss Of Earnings Calculator
  7. Make A Loss Of Earnings Claim On A No Win No Fee Basis
  8. Related Loss Of Earnings Claim Articles

What Is A Loss Of Earnings Claim?

A loss of earnings claim is a personal injury claim that covers your injuries as well as any earnings you have lost as a result. For example, if you had to take time off work to recover from your injuries, this could result in a loss of earnings. Or, your injuries may be so severe that you can longer work.

However, not every injury will result in a personal injury claim. In order to form the basis of a valid claim, you must be able to prove that:

  • Someone else owed you a duty of care.
  • They breached this duty.
  • You were injured as a result.

When these three factors come together, they are known as negligence under tort law. Where you are and what role you play can all factor into whether you are owed a duty of care. For example, while in the workplace, your employer owes you a duty of care. This means that they have to take all reasonably practicable steps to ensure your safety while working, as per the Health and Safety at Work etc. Act 1974 (HASAWA).

You’re also owed a duty of care in public places, in which case the controller of the space must take steps to ensure your reasonable safety, per the Occupiers’ Liability Act (1957).

If you’d like to learn more about making a claim, contact our advisors today. They can evaluate your case for free, and could potentially connect you with a solicitor from our panel. Or, read on to learn about using tools like a loss of earnings calculator to calculate loss of earnings compensation.

How Do You Calculate Loss Of Earnings In Personal Injury Claims?

If you suffer an injury due to another party’s negligence, you might be eligible to claim compensation. As part of the special damages head of your claim, you could recover any loss of earnings you experience. Special damages, as well as compensation for your pain and suffering, will be covered further in this guide.

Each payout is based on individual circumstances, such as the loss of pension contributions. Additionally, you may find that your injury means that you need to retrain for a different role or can only return on a part-time basis. Or, you may find that you cannot return to work, such as following brain damage in a car accident. Although a loss of earnings calculator will consider how much compensation could be claimed, it may not consider returning to work on a part-time basis or your pension contributions.

Free advice on how to calculate the loss of earnings for personal injury is available from our advisors. They could even provide you with a free estimate of your personal injury compensation claim. Call our team today for help with claiming loss of earnings as part of your personal injury compensation payout.

How Does A Future Loss Of Earnings Calculator Work? 

You may be awarded compensation for the money you’re predicted to lose in the future due to your injury. Here are some examples of future losses: 

  • Future loss of earnings. If your injuries prevent you from being able to work in the same role, you could find yourself in a job that pays less. What’s more, if you’re unable to work at all because of your injuries, you could lose out significantly. You could recover these financial losses if you make a successful claim.
  • Care costs. It may be the case that you continue to be cared for in the future due to the long-term effects of your injury. If you have to pay out of your own pocket, you may be compensated for this. You could even claim compensation if a loved one has to leave their job to provide you with gracious care. 
  • Prescription medication. You may have to take medication in the future for your injury. If it’s likely you’ll have to pay for this, you may be owed compensation.

Your personal injury solicitor will help calculate the amount of compensation for future loss of earnings you might be entitled to.

Please don’t hesitate to contact our team of advisers, who can help value your claim accurately. If they feel your claim could have a good chance of success, they might connect you with a personal injury solicitor from our panel to begin your loss of earnings claim.

Can I Use A Loss Of Earnings Calculator As A Non-Employee?

You may be wondering about claiming for loss of earnings if you are no longer employed where your accident occurred.

No matter whether you were injured at work or outside of it, if it was due to someone else’s negligence and they’d owed you a duty of care, you could claim.

Employers owe employees and visitors to the workplace a duty of care to ensure their safety under the Health and Safety at Work etc. Act 1974.

Under the Occupiers’ Liability Act 1957, those in control of places that are accessible to the public should ensure they’re safe for visitors to use.

Here are some examples of where people who aren’t classed as ’employees’ could still claim for a loss of earnings:

  • Self-employed. If you’re self-employed, you’re not classed as an employee. However, you may still lose money if you can’t work due to your injuries. Therefore, you may be entitled to loss of earnings compensation whether you were injured on a client’s site or at the supermarket
  • Agency workers. An agency worker is someone whose employer is technically an agency, such as a recruitment agency. The agency finds the employee companies to work for. However, your injury may not allow you to carry out this work and therefore you may be entitled to compensation for loss of earnings. 

Those are two examples of non-employees, but anyone who is paid for work but not employed by someone else is also classed as a non-employee. You can get in touch with our team of advisers today to discuss making a potential loss of earnings claim. 

What Evidence Do I Need For A Loss Of Earnings Claim?

If you are looking to include a claim for a loss of earnings as part of the compensation you are seeking, you can collect supporting evidence in the form of:

  • Payslips: Which can act as evidence of your expected income
  • Bank statements
  • Contracts & emails: Contracts or proposals you had received for work can be evidence of an expected or a future loss of income
  • A medical report of your injury: A medical report outlining your injury’s recovery time can be evidence of the time in which you will be unable to work, and support the amount of compensation you are requesting.

You can collect evidence to support your claim for a loss of income alongside other evidence that could help support your claim in general such as:

  • CCTV or similar recordings: These can help prove liability for your injury.
  • Witness statements: Collect the contact details of witnesses to your accident and injury, who could be able to provide statements to use later on.

If you are looking for help or advice on evidence to collect for your personal injury claim please reach out to one of our advisers. They can discuss making a claim for a loss of earnings with you and give you advice on other evidence that could help your claim.

Can I Still Make A Loss Of Earnings Claim Without Evidence?

If you are making a claim for loss of earnings, you may wonder whether you need evidence to do so. As mentioned above, evidence you could collect of lost wages can include payslips.

Alternatively, if you are making a loss of earnings claim as a self-employed person, you could submit copies of your accounts.

If you would like to know more about loss of earnings compensation, contact our advisors using the details at the top of the page. They can assess whether your claim could be successful and if it seems like it could, you could be passed onto one of the No Win No Fee lawyers from our panel.

Personal Injury And Loss Of Earnings Calculator

You may want more information about the compensation calculation for your loss of earnings claim. To potentially claim for loss of earnings, you would need to also receive compensation for injuries caused by third-party negligence.

The primary head of claim in a personal injury claim is called general damages. To potentially receive loss of earnings compensation, you would also need to receive compensation for general damages. This compensation is for the suffering and pain caused by the injury. The Judicial College Guidelines provide more information about the potential general damages compensation amount you could receive.

These figures have been taken from the latest guidelines available, published in 2022. However, please remember that we cannot guarantee exactly what you’ll receive. These figures should only provide you with a general idea of what your potential compensation amount could be. Please also note that the first entry in this table is an estimated figure that’s not based on the Judicial College Guidelines.

Edit
Injury Severity Notes Compensation Bracket
Multiple serious injuries plus special damages Serious If you are claiming for numerous serious injuries, then you may be compensated for all of these as well as special damages, which may include loss of earnings. Up to £500,000+
Injuries to the Elbow A Severely Disabling Injury This compensation bracket is applied to elbow injuries considered severely disabling. £39,170 to £54,830
Injuries to the Elbow Less Severe Injuries Elbow function is impaired but it doesn’t need serious surgery. £15,650 to £32,010
Shoulder Injuries Severe The brachial plexus is damaged, causing a significant disability. £19,200 to £48,030
Wrist Injuries (b) Permanent, significant Permanent significant disability but the wrist can still move slightly. £24,500 to £39,170
Wrist Injuries (c) Less severe This injury isn’t as severe but some disability is caused that’s permanent. An example of this is stiffness and pain. £12,590 to £24,500
Back Injuries Moderate (ii) This compensation bracket covers many frequently encountered injuries such as soft tissue injuries, disturbed ligaments and muscles or prolapsed discs. £12,510 to £27,760
Foot Injuries Moderate Permanent deformity and continuing symptoms caused by displaced metatarsal fractures. Long-term osteoarthritis and/or surgery requirements may be possible. £13,740 to £24,990
Foot Injuries Modest This bracket covers relatively more simple metatarsal fractures, ruptured ligaments or puncture wounds. The exact compensation offered will depend on the recovery time and the impact on day-to-day life. Up to £13,740

Examples Of Special Damages Other Than Loss Of Income

Loss of earnings compensation falls under the second head of claim known as special damages. This is the head of your claim that addresses the financial effects of your injuries, both current and future. Some examples of expenses other than loss of income that could be covered by this heading can include the cost of:

  • Travel to and from appointments or work.
  • Medical expenses such as prescriptions.
  • Over-the-counter medications.
  • Domestic help, such as help with cooking or cleaning.
  • Childcare.
  • Mobility aids.

It’s important to remember that you will need to collect evidence to support these losses. As such, it can be beneficial to keep any invoices, receipts, or other financial documents that illustrate the losses you’ve sustained.

For more information on loss of earnings claims, or to find out if you could be entitled to special damages, we recommend that you contact our team. One of our advisors could offer you a free consultation and may be able to connect you with a solicitor from our panel.

Loss of earnings calculator

Calculating loss of earnings for a personal injury claim

Make A Loss Of Earnings Claim On A No Win No Fee Basis

Our panel of No Win No Fee solicitors would be happy to discuss working with you under a No Win No Fee agreement. This is a contract that your lawyer and yourself agree to. It shows the conditions your lawyer has to meet before receiving payment.

It states that if your claim does not succeed, you won’t have to pay your solicitor fees. If your claim is successful, a small percentage of your compensation will be deducted by your lawyer. The legally capped percentage taken by your lawyer is known as a success fee. The majority of the compensation would still be awarded to you.

There are many financial benefits to a No Win No Fee claim, so please don’t hesitate to contact our advisers. They can have a chat about your situation and value your claim without the need for a loss of earnings calculator. 

Once you’ve spoken with an adviser, you don’t have to continue with the services of our panel of solicitors. However, if your claim is legitimate, an adviser can connect you to a personal injury lawyer from our panel. They can then assess the compensation sum you may be owed and begin working on your personal injury claim.

You can get in touch with our team of advisers through:

  • Telephone on 0800 408 7825 to chat about your claim.
  • Our contact form to get a response when you’re available.
  • Our instant chat pop-up box to talk straight away. 

Related Loss Of Earnings Claim Articles

If you’d like to learn more about making a loss of earnings claim, please see the guides below:

If you need any more help making a loss of earnings claim, please get in touch.