The financial impact of an accident can extend far beyond medical bills and short-term lost wages. Many victims find that they can no longer work in the same capacity, or at all, because of lasting physical or mental limitations. This is known as lost or diminished earning capacity, and it can significantly affect your future financial stability. In New Jersey, proving your lost earning capacity requires ample evidence demonstrating how your injuries will reduce your ability to earn income in the future. To learn more and secure skilled legal representation during your case, read on and consult with a knowledgeable New Jersey personal injury lawyer today.
What’s the Difference Between Lost Wages and Lost Earning Capacity?
While they are often confused for one another, lost wages and lost earning capacity are two separate damages. Lost wages cover the income that you have already lost while taking time off work to recover from your injury. However, lost earning capacity focuses on your future losses and ability to earn that will be impacted by your injury.
What Evidence Do I Need to Prove Lost Earning Capacity After an Accident in NJ?
There is a variety of evidence that can be beneficial in proving your lost earning capacity to an insurer or court. The following and more can help demonstrate the extent of your future losses.
1. Medical information
Some of the most influential evidence will come in the form of medical records showing the extent, severity, and permanence of your injuries. Testimony from physicians and medical specialists can also explain how your injuries impact your ability to work. Medical imaging, rehabilitation notes, and disability evaluations can also support the credibility of your claim.
2. Employment records
To prove how your income capacity has decreased, you must first establish what it was pre-injury. This can be done through pay stubs, tax returns, and W-2s. In addition, performance reviews and past promotions can help demonstrate your career trajectory and the loss of future opportunities.
3. Expert testimony
A vocational expert can evaluate your job skills, education, and limitations to determine how your injuries affect your future employment and income. They can also suggest what jobs, if any, you can perform post-injury and the salary ranges they offer.
Economists can also help calculate and explain your projected income loss over time and take into account inflation, career growth, and life expectancy. Their testimony can quantify the long-term financial impact of your injury in easily digestible terms.
4. Personal statements and witness testimony
Your own testimony about how your injury limits your daily work activities can strengthen your case. Statements from employers, coworkers, friends, or family members can also help describe changes in your abilities and work habits.
Understanding the evidence that will help prove your loss of future income is crucial in protecting your rights and your financial future for both yourself and your family. To learn more, speak with a skilled personal injury attorney today.
