How do I calculate Average Weekly Wage?
If you were injured at Work and need to receive Workers’ Compensation, one of the first steps is determining how much you are normally paid. Your average weekly wage helps establish the starting point for calculating certain workers’ compensation benefits.
In order to calculate it, start with a set time period before the injury. In Maryland Workers’ Comp cases, that time period is usually 14 weeks leading up to the injury.
Here is a mathematical example calculation:
Add up your total pay: Add up all the money you made before taxes during that time period. Include regular pay, tips, overtime, and any bonuses.
Divide: Take that total money and divide it by the number of weeks.
Let's say you worked for 14 weeks over the summer and made different amounts each week:
Calculating Average Weekly Wage
Week:
$550
$550
$450
$450
$450
$450
$450
$450
$550
$450
$550
$550
$550
$550
First, add them all together to get your total money:
( 550 + 550 + 450 + 450 + 450 + 450 + 450 + 450 + 550 + 450 + 550 + 550 + 550 + 550) = $7,000
Next, divide that total by the 4 weeks you worked:
( 7,000 / 14 weeks ) = $500 per week
Your Average Weekly Wage is $500. Even though you never made exactly $500 in any single week, it is the mathematical average of your weekly earnings. This is the value you would use when filling out Workers’ Compensation claim forms.