Lost wages are the income you actually missed while recovering — documented with pay stubs and employer records. Lost earning capacity is broader: the reduction in your ability to earn in the future because of a lasting injury.
Lost Wages vs. Lost Earning Capacity
A permanent impairment that forces a career change or part-time work can mean substantial lost earning capacity even after you return to work.
Proving the Loss
Wage records, tax returns, and employer statements document past losses. Vocational and economic experts establish diminished future earning capacity, accounting for the injury's effect on your specific occupation and the broader job market.
Self-employed and gig workers can also recover, with appropriate documentation.
Capturing the Full Loss
A free review can help ensure both your lost wages and your lost earning capacity are valued.
Have questions about your own situation? Get a free, confidential case review. You pay no fee unless you win. Call 973-566-5599.
This article is for general informational purposes only and is not legal advice. For guidance on your specific situation, consult a licensed Texas attorney.