Am I eligible for temporary disability benefits? – II

Sep 28 2016

Last time, our blog began discussing how injured workers here in Colorado can derive considerable comfort from the fact that they’re eligible for wage replacement, otherwise known as temporary disability benefits.

To that end, we explored how there are two different types of temporary disability benefits — temporary total disability and temporary partial disability — with the former available to workers left completely disabled for a temporary amount of time, and the latter available to workers who have healed enough to return to modified duty on either a part- or full-time basis.

We’ll continue our discussion in today’s post, taking a closer look at how temporary total disability benefits are paid.

How much will an injured worker receive in TTD benefits?

TTD benefits paid to injured workers are two-thirds of their average weekly wage subject to a predetermined limit established by state law that is in effect on the date of the injury.

Does the average weekly wage only consider salary or gross wages?  

Not necessarily. The average weekly wage can include everything from tips and overtime to reasonable board and per diem payments reported to the IRS, among others.

It’s important to note, however, that if an employer opts to continue paying certain benefits, the value will not be included when calculating the average weekly wage.

How often should an injured worker be receiving TTD benefits?

According to the Colorado Division of Workers’ Compensation, injured workers should receive payment for TTD benefits at a minimum of once every two weeks.

What if an injured worker was holding another job at the time of the accident?

As far as the computation of the average weekly wage is concerned, if the injured worker was working a second job and loses wages there as a result of the injury sustained at their primary place of employment, the wages from this second job can be included.

Are TTD benefits taxable?

In general, workers’ compensation benefits are not taxable at the state or the federal level.

We’ll continue examining this topic in future posts, including examining the circumstances in which TTD benefits can be reduced and or stopped altogether.

Consider speaking with a skilled professional as soon as possible to learn more about your rights and your options as they relate to temporary disability benefits.