WHAT ARE TEMPORARY TOTAL DISABILITY (TTD) BENEFITS?
What Is The Required Waiting Period Before Benefits Begin?
How To Calculate Your Weekly Benefit Rate?
Your weekly benefit rate is a determined from the following steps:
- First, the New Jersey work injury law sets a maximum and minimum amount for the payment of TTD benefits. The amount adjusts annually and applies across the board for all injured workers. For the year 2022, the temporary disability rate for workers hurt on the job is a maximum of $1,065.00 per week and a minimum of $284.00 per week. The chart below summarizes the range of weekly benefit rates for the given year:
- Second, the injured workers actual wage rate establishes a gross average weekly wage for the date of the injury. The question is: What is the injured worker paid in an average work week? Employees who receive varying rates from week to week typically rely on a 26-week (6 month) average for a gross weekly rate. The gross weekly rate includes bonuses and tips. Alternatively, an hourly rate approach may better reflect the true average in some circumstances. This is particularly true of part-time or seasonal employment.
- Third, the injured workers wage benefit is 70% of the gross weekly rate subject to the maximum and minimum amounts for the year of injury. The benefit is generally tax-free at the state and federal level.
- Fourth, the total number of days out of work must be counted and multiplied by 70% of the average weekly wage.
How Long Can An Injured Worker Be On Temporary Disability?
- An authorized medical provider declares the worker is at maximum medical improvement (MMI) for the injury
- The worker returns to work
- The employer offers a light-duty assignment to the worker after the worker is medically cleared for light duty