A workplace injury can leave you wondering how much of your paycheck will survive while you recover. In New York, workers’ compensation generally pays two-thirds of your average weekly wage multiplied by your medically supported degree of disability, subject to applicable limits. If you are temporarily totally disabled, the starting calculation is two-thirds of your average weekly wage. Partial disability or a return to lower-paying work can change the amount. The important question is whether the insurer has correctly calculated your earnings and evaluated your ability to work.

Key Takeaways: How Much Does Workers’ Comp Pay for Lost Wages in New York?

• Total temporary disability generally pays two-thirds of your average weekly wage, subject to state limits.
• For injuries from July 1, 2026, through June 30, 2027, the maximum weekly benefit is $1,281.50.
• The first seven disability days become payable only when disability extends beyond 14 days.
• Medically necessary work restrictions can support benefits after you return to lower-paying work.
• Notify your employer in writing within 30 days of the accident and file your claim within two years.

How Are Workers’ Comp Lost-Wage Benefits Calculated in New York?

The calculation begins with your average weekly wage, but accepting the employer’s number without checking it can leave money on the table. New York generally looks at gross earnings during the 52 weeks before your injury, including overtime. Your work schedule and days paid affect the calculation, so dividing annual earnings by 52 is not always the correct method. Seasonal work, a recently started job, or concurrent employment may require additional analysis.

Assume your established average weekly wage is $1,200. At 100% temporary disability, the basic weekly calculation produces $800; at 75%, it produces $600. These examples assume the applicable minimum and maximum do not change the result. The degree of disability is determined using medical evidence and other relevant information. If your treating provider and the insurer’s medical examiner disagree, the Workers’ Compensation Board may need to resolve the dispute before your weekly benefit is established.

For injuries occurring from July 1, 2026, through June 30, 2027, the maximum weekly benefit is $1,281.50. The minimum weekly benefit is $384.45 or the employee's actual weekly wages, whichever is less, subject to applicable statutory limitations. An eligible worker whose weekly wages are below $384.45 may therefore receive their full weekly wages. Your injury date controls the applicable limits; an older claim does not automatically receive the newest maximum. An attorney checks payroll records, the employer’s Form C-240, and medical reports together because correcting only one part of the calculation may leave another underpayment unresolved.

When Do New York Workers’ Comp Wage-Replacement Benefits Begin?

The waiting period affects which days are payable, not whether you can receive necessary medical care. Generally, no lost-wage benefits are payable for the first seven calendar days of disability. If disability lasts eight through 14 days, benefits start with day eight. Once disability extends beyond 14 days, the initial seven days become payable retroactively.

For an accepted claim involving more than seven days of disability, payments must begin within 18 days after the disability begins or within 10 days after the employer first learns of the accident, whichever is later. A disputed claim can delay payment while the Board determines whether benefits are owed. Keep a dated record of missed work and medical disability certifications so a later award accounts for the correct periods.

How Long Can You Receive Lost-Wage Benefits in New York?

The duration depends on your disability classification and continuing entitlement, rather than a universal expiration date. Temporary benefits address your condition during recovery. When you reach maximum medical improvement, the analysis shifts toward whether you have lasting impairment and how it affects your earning capacity. Permanent total disability has no fixed limit on the number of payable weeks.

For most non-schedule permanent partial disability claims involving injuries on or after March 13, 2007, benefits are capped at 225 to 525 weeks, depending on loss of wage-earning capacity. That determination involves more than a medical percentage; vocational factors can affect the outcome. For injuries occurring on or after April 10, 2017, temporary disability payments made for periods more than 130 weeks after the injury can reduce the number of weeks available under a later non-schedule permanent partial disability award. However, certain protections apply when a worker has not reached maximum medical improvement. When permanency is at issue, the worker submits supporting medical evidence, the insurer has an opportunity to obtain an independent medical examination, and the Board determines that maximum medical improvement has not been reached, temporary disability payments made before a finding of maximum medical improvement generally cannot be counted against the eventual benefit limit. Different counting rules also apply to intermittent temporary partial disability payments. New York Workers’ Compensation Law § 15, “Schedule in Case of Disability,” makes the classification and payment history important to evaluating remaining benefits.

What if You Can Return to Work Only With Restrictions?

A return to work does not necessarily end wage replacement. If your injury forces you into fewer hours or lower-paying duties, reduced-earnings benefits may cover up to two-thirds of the difference between your pre-injury average weekly wage and current earnings, subject to applicable limits. For example, a reduction from $1,200 to $750 weekly could support a $300 weekly benefit. The earnings reduction must be attributable to the work-related disability.

The strongest evidence connects specific restrictions to specific job demands. A report limiting lifting to 10 pounds helps explain why a warehouse worker cannot resume ordinary duties. A vague note saying only “light duty” leaves room for disagreement about whether an offered position is suitable. Obtain the proposed duties in writing and have your treating provider evaluate them before accepting or rejecting the assignment.

Partially disabled workers may also need to demonstrate reasonable efforts to find work within their restrictions, depending on the claim’s status. Save applications, employer responses, and vocational rehabilitation records when that requirement applies. Refusing suitable work or leaving employment for reasons unrelated to the injury can create a separate dispute over whether the disability caused your wage loss.

Are Workers’ Comp Lost-Wage Benefits Taxable?

Workers’ compensation payments for occupational injuries or illnesses are generally exempt from federal income tax, and New York describes these lost-wage benefits as tax-free. That can make the difference between your former take-home pay and your benefit smaller than the gross figures suggest. Wages earned after returning to light duty are still taxable wages. If workers’ compensation reduces your Social Security disability benefits, the offset portion may be treated as Social Security income and potentially taxed, making individualized tax advice useful.

What Workers’ Compensation Deadlines Matter in New York?

Waiting for your employer or insurer to handle everything can jeopardize an otherwise valid claim. For an accidental injury, generally provide written notice to your employer within 30 days and file an Employee Claim, Form C-3, with the Workers’ Compensation Board within two years. Occupational disease claims have different timing considerations tied to disablement and awareness of the work connection. Exceptions may apply, but relying on one creates avoidable uncertainty.

Use these steps to protect the record:

1. Give written notice identifying when, where, and how the injury occurred, and retain proof of delivery.
2. File Form C-3 yourself rather than assuming the employer’s accident report completes your filing obligation.
3. Review Board decisions promptly, because an application for administrative review generally must be filed within 30 days after the decision is filed.

What Can You Do if Your New York Workers’ Comp Benefits Are Disputed?

A denial and an underpayment require different responses. The insurer may dispute whether the injury occurred at work, whether it caused your inability to work, or whether your disability warrants the claimed rate. Identify the actual reason before gathering evidence. Witness accounts may establish the accident, while payroll records and detailed medical opinions address different issues.

For a medical dispute, ask whether the report explains functional limitations, work capacity, and the connection to the workplace injury. A diagnosis alone may not establish entitlement to a particular disability rate. Gaps in treatment or inconsistent histories can give the insurer grounds to challenge otherwise legitimate wage loss. An attorney can address those weaknesses before testimony or a hearing turns an incomplete account into the record.

If the insurer has accepted your claim but your benefits have been stopped, reduced, or improperly calculated, you can request Board assistance using Form RFA-1W, Request for Assistance by Injured Worker. If the insurer has denied your claim or has not yet accepted it, a different review process may apply. Depending on the dispute, resolving the issue may require additional documentation or a hearing. Continue documenting missed work and earnings while the dispute is pending, because the eventual award must address specific periods and amounts.

What Other Workers’ Comp Benefits May Be Available in New York?

Weekly checks are only part of the claim. Necessary treatment for the established work injury may remain covered even after wage benefits end. Certain permanent impairments can support a schedule loss of use award, which follows different rules from ongoing non-schedule wage replacement. Returning to work does not automatically eliminate that potential award.

These distinctions matter when evaluating a settlement. Under New York Workers’ Compensation Law § 32, “Waiver Agreements,” a negotiated settlement can close wage benefits, medical benefits, or both, with Board approval. A lump sum should be weighed against remaining payments and future treatment needs. Closing medical coverage can transfer substantial costs to you, so the settlement’s scope matters as much as its headline amount.

Need Legal Help? Brandon J. Broderick, Attorney at Law, Is Just One Phone Call Away

An incorrect wage calculation, disputed disability rating, or unsuitable return-to-work offer can reduce the benefits your household depends on. Brandon J. Broderick, Attorney at Law, can evaluate your earnings records, medical evidence, and claim history to identify what is affecting payment. Experienced legal guidance can help you challenge an underpayment and weigh settlement terms against your future needs. Reach out now to discuss your New York workers’ compensation claim and protect your right to benefits.

Contact us today for a free legal consultation.