Lost Income Claims Explained: Recovering Compensation After Injury in WA

Podcast Transcript: Lost Income Claims Explained – Recovering Compensation After Injury in WA

Disclaimer: The information provided in this podcast is for general informational purposes only and does not constitute legal advice. Listening to this podcast does not create an attorney-client relationship with Foyle Legal. For advice tailored to your situation, please consult a qualified legal professional.

Welcome to Personal Injury Claims Explained by Foyle Legal – your trusted source for understanding personal injury claims in Western Australia. Each week, we simplify complex legal issues, from motor vehicle accidents to workplace injuries, so you can confidently navigate your rights and claim the compensation you deserve.

Understanding Lost Income Claims

We’ve all been there – going about your day, maybe tripping on a curb or having an intense game of basketball, and suddenly, you’re sidelined with an injury. Injuries can make you realise how much we rely on our bodies not just to function physically but also financially. While pain and suffering are top of mind, today’s deep dive is all about the financial ripple effect: claiming lost income.

It’s more complicated than just saying, “I missed work, so I get this many paychecks.” We’re joined by our expert in compensation law to break down what you need to know.

A Deeper Look into Lost Income Claims

Let’s dive into some examples from Foyle Legal’s resources to understand the nuances of lost income claims. These real-life scenarios illustrate the complexities and potential pitfalls people encounter when making these claims.

Example 1: Full and Partial Work Capacity

One common misconception is that income claims are all-or-nothing. For example, Shirley, a PE teacher, broke her leg and couldn’t work full-time for a few months. While she may seem entitled to lost wages for the months she was out, her case also highlights partial work capacity. If you can only work part-time, you’re still entitled to compensation for the difference in your earnings, even if you can work in some capacity.

Example 2: Loss of Opportunity

Take Jacob, who was unemployed at the time of his injury. Although he wasn’t earning, he had a job offer in the mines contingent on a health check. His injury prevented him from passing, which stopped him from starting the job. This situation, known as “loss of opportunity,” highlights that you may claim lost income based on potential earnings, not just what you were actively making.

Proving Your Lost Income Claim

It’s not enough to simply say you’ve lost income; evidence is crucial. The article emphasises the importance of documentation to support your claims. Here’s a breakdown of some key evidence:

Tax Returns

Many people minimise their taxable income, which can complicate proving a higher income in lost wage claims. While tax returns are a good starting point, they may not always reflect the full picture of your earning potential.

Pay Slips and Non-Standard Employment

For employees with regular paychecks, pay slips are straightforward. However, for gig workers or FIFO workers, fluctuating income and multiple employers make detailed documentation even more important.

Employment Contracts

Contracts often outline benefits like overtime and allowances. Many overlook the details in their contracts, but these can be critical in determining lost income, especially if they contain clauses entitling you to bonuses or additional benefits.

Self-Employment: The Challenges

For the self-employed, proving lost income can be especially challenging. Your tax return only shows part of the picture, and income often fluctuates. To strengthen your claim, be prepared to provide invoices, client lists, and testimonials. Essentially, you’re proving the entire value of your business, not just a single salary.

Future Losses and Career Trajectory

Lost income claims don’t stop at your current earnings; they may also consider your future earnings. For example, John, a boilermaker, might have expected raises and promotions if not for his injury. These potential career advancements are part of what makes future loss claims complex and challenging to prove.

Pre-existing Conditions

Your claim may also be affected by pre-existing conditions. For instance, if John had a previous shoulder issue, even if he was still able to work, that might influence his future earning potential, complicating his claim further.

Key Takeaways for Lost Income Claims

Lost income claims can be intricate, involving everything from tax returns to future career potential. For those with non-traditional or self-employed income, documentation and expert support are invaluable. Think of your income records as an insurance policy, and don’t wait for tax season to get organised.

If this episode got your gears turning, do some research, consider what resonated, and start thinking proactively about protecting your income. Thank you for tuning in to Personal Injury Claims Explained by Foyle Legal. We hope this episode helped clarify your rights and the next steps in your injury claim journey. Don’t forget to subscribe, leave a review, and visit foylelegal.com for more information.

See you next time!