Does Workmans Comp Pay for Lost Wages

Posted in Work Injury on September 10, 2025

An injury at work can leave you wondering how you will manage your bills while recovering. For many people hurt on the job, one of the first questions that comes to mind is, Does workmans comp pay for lost wages? The answer can mean staying afloat financially and falling behind on bills. At Crossman Law Offices, we understand that an injury can throw your entire routine off balance, making it harder to cover rent, keep up with utilities, and manage everyday expenses.

That is why a trusted Phoenix Workers’ Compensation Lawyer is often recommended to guide you, ensuring you understand your rights and the benefits you may be entitled to. Under Arizona law, workers’ compensation generally provides financial support to replace part of your income when a work-related injury or illness prevents you from working. These payments, known as lost wage or indemnity benefits, aim to reduce the financial strain while you focus on recovery.

Contact a Workers’ Compensation Lawyer

Message us

Call Us 602-248-0380

Lost Earnings And Workers’ Compensation Benefits

Workers’ compensation in Arizona provides two main benefits for injured employees: coverage for medical treatment and payment for lost income. When your injury prevents you from performing your regular job duties, you may be eligible to receive wage replacement benefits. These benefits are typically calculated as a percentage of your average monthly wage, as determined at the time of your injury. According to the Arizona Department of Administration, this amount will vary depending on your specific circumstances and the type of disability you have.

The idea behind these benefits is not to provide your full salary, but to ensure you can cover essential expenses while focusing on recovery. The replacement percentage is set by law, helping ensure consistency and fairness across all claims. Understanding how this percentage is calculated and what counts toward your average monthly wage can help you anticipate the amount you will receive. For example, overtime pay, bonuses, or a second job may or may not be factored into the wage calculation depending on your situation.

In some cases, seasonal workers or those with irregular hours might have their wages averaged over a more extended period to create a fair baseline. This can mean the difference between a benefit that covers most of your living expenses and one that falls short, so clearly understanding your wage history is essential.

When To Expect Lost Wage Compensation

Lost wage benefits do not begin immediately. In Arizona, you may need to wait several days before payments start, depending on how long your disability lasts. Once eligibility is established, payments are usually issued every two weeks. Timely communication with your claims administrator and providing updated medical reports can help prevent unnecessary delays.

Additionally, any retroactive payments owed to you from the waiting period are typically included in your first benefits check once the claim is approved. In more complex cases, wage benefits can be delayed if there is a dispute over the cause of injury, the extent of disability, or whether the injury was work-related. Having clear documentation and medical evidence can help resolve these disputes faster.

What Happens If Your Employer Keeps Paying You?

Sometimes, an employer may continue paying your wages even while you cannot work. If this happens, your workers’ compensation wage replacement benefits may be adjusted or withheld until the employer payments stop. This prevents duplicate wage payments from being received for the same period. Keeping accurate records of all payments received during your recovery is essential to calculating your benefits correctly.

Sometimes employers provide light-duty work at a reduced wage, which could also affect the amount of benefits you receive. In these situations, you might still be eligible for partial wage replacement to make up the difference between your reduced income and your pre-injury wage.

Understanding Temporary Total Disability In Workers’ Comp

Temporary Total Disability (TTD) applies when you are entirely unable to work for a temporary period due to your injury. Under Arizona law, TTD benefits generally cover two-thirds of your average monthly wage, up to the maximum allowed. These payments continue until your doctor releases you to return to work or determines that your condition has stabilized.

For example, if you break a leg and cannot perform your job for several months, you may qualify for TTD until you can resume duties, whether in your previous role or a modified capacity. In some cases, transitioning to a partial disability classification can occur if you return to work with restrictions.

Understanding Permanent Total Disability In Workers’ Comp

Permanent Total Disability (PTD) is granted when an injury is so severe that you cannot return to any form of gainful employment. Arizona also recognizes Permanent Partial Disability, which is assessed by a qualified physician using the American Medical Association’s Guide to the Evaluation for Permanent Impairment.

Scheduled Injuries refer to permanent disabilities to specific body parts, such as arms or legs, where the statute defines compensation periods.
Unscheduled Injuries involve conditions not listed in the schedule, where benefits depend on the loss of earning capacity as evaluated by a vocational specialist. In such cases, benefits may continue until your condition improves or your earning capacity changes.

Checks for PTD are issued monthly, ensuring long-term financial support for those unable to reenter the workforce. In certain situations, vocational rehabilitation services may help you transition into different types of work, even if you cannot return to your prior job.

How Can Crossman Law Offices Help You In Your Case?

Trying to navigate a workers’ compensation claim while also keeping up with medical treatments, recovery, and the emotional toll of being out of work can be exhausting. At Crossman Law Offices, we focus on easing that burden, explaining each step in straightforward terms so you can make informed decisions. We review your wage history carefully, collect strong medical evidence to support your claim, and challenge any unfair reductions to your benefits.

Whether your case involves TTD, PTD, or another wage replacement benefit, we remain at your side from the initial paperwork through any appeal that may be needed. Having a reliable Phoenix workers’ comp lawyer advocating for you can significantly influence the outcome of your case. If you’re ready to discuss your situation, contact Crossman Law Offices at 602-248-0380 today.

Avery N Crossman

Ms. Crossman is a State Bar Board Certified Workers’ Compensation Specialist and is past Co-Chair of the State Bar Workers’ Compensation Section. She has served as a faculty member at the State Bar Seminar on Professionalism and is a former Judge Pro Tempore in the Arizona County, Justice, and Superior Courts. In the past, she has spoken at seminars on Workers’ Compensation sponsored by the Industrial Commission of Arizona and the Arizona Association of Lawyers for Injured Workers. Ms.Crossman is a long-time member of the Arizona Association of Lawyers for Injured Workers. She is also a member of American Mensa.