Getting paid for missed work and lost wages after a crash
Last checked November 8, 2026
You can usually claim lost wages after a car accident if your injury kept you from working, and you can prove the time and the pay. Claims against the at-fault driver usually pay at settlement. Your own PIP coverage may pay sooner, where you have it. Amounts and rules vary by state.12
What is a lost wages claim?
A lost wages claim asks for the pay you missed because of your injury. It is a separate item from your medical bills and your pain. New Jersey's model jury charge describes a right to be compensated for earnings lost because of injuries caused by someone's negligence.3 Utah's model instruction includes lost earnings and loss of earning capacity.4
Those are two different things. Utah's instruction says earning capacity is not the same as lost earnings.5 Lost wages look back at what you already missed. Earning capacity looks ahead if you cannot do the same work again.
- Hourly pay and salary you missed
- Overtime you would have worked, if you can show it
- Tips and commissions, if you can show a pattern
- Sick or vacation days you had to use, in many cases
- Self-employed income you lost
Who pays lost wages after a car accident?
| Source | What it may pay | Varies? |
|---|---|---|
| The at-fault driver's insurer | Lost pay as part of the claim, usually at settlement and up to the policy limit | Yes |
| PIP, Texas | PIP also pays 80% of lost wages, where you have this coverage.1 | Texas only |
| PIP, Florida | Sixty percent of lost gross income, subject to the policy's PIP limit.6 | Florida only |
| PIP, Utah | The lesser of $250 per week or 85% of lost gross income, up to 52 weeks.2 | Utah only |
| Pennsylvania income loss coverage | A portion of your lost wages, if you have this coverage.7 | Pennsylvania only |
| Workers' compensation | If you were working when the crash happened. California generally pays two-thirds of gross wages, with limits.8 | Yes |
| State disability | California's program pays for non-work-related injury or illness if you qualify.9 | Few states have one |
Texas regulators explain that PIP is similar to medical payments coverage but it also pays for things like lost wages.10 Check your declarations page to see what you bought. Some of these sources reduce or offset each other, and those rules vary by state.
How do I prove lost wages?
You need to show two things: that you missed work because of the injury, and how much you lost. California regulators say you must provide documentation of your loss, including lost wages.11
- Get a note from your doctor that says when you could not work and any limits on what you can do.
- Ask your employer for a letter with your job, pay rate, normal hours and the exact days you missed.
- Gather pay stubs from before and after the crash.
- Keep your W-2s or tax returns. If you are self-employed, keep invoices, bank records and your Schedule C.
- Keep a log of each day or partial day you missed, including medical appointments.
- Send copies. Keep the originals.
Calculating lost wages: a simple example
EXAMPLE ONLY. These numbers are made up to show the math. They do not predict any claim.
| Item | Example |
|---|---|
| Hourly pay | $20 |
| Hours per week | 40 |
| Weeks missed | 3 |
| Gross wages lost in this example | $2,400 |
Whether the number uses gross or take-home pay depends on the state and on the source of payment. New Jersey's model charge says lost earnings must be based on net take-home pay, not gross income.12 Florida's PIP, on the other hand, is written in terms of gross income.6 Ask which number applies to you.
How long do I have to claim lost wages?
It varies. Benefit claims can have very short deadlines. New York's no-fault rules, for example, say lost wage claims must be submitted within 90 days.13 A claim against the at-fault driver has a longer lawsuit deadline, such as Arizona's general two years.14 Ask your insurer for its deadlines in writing.
Can I claim lost wages from a car accident without an injury?
Usually, the lost time needs to connect to an injury. Time off to deal with your car or go to a repair shop is harder to claim, and the rules vary by state and insurer. It is still worth keeping track of it. Ask the adjuster what they will consider.
Be honest about work limits
Do what your doctor says about going back to work. Do not take on work your doctor told you to avoid, and do not report time off that you worked. If your employer offers light duty and your doctor agrees, tell the adjuster. A person who has been injured is supposed to use reasonable diligence in caring for their injuries and avoiding a worse situation.15
Questions
Does car insurance pay for lost wages?
It can. The at-fault driver's insurer may pay as part of a claim. PIP may also pay, such as in Texas, where a state agency says it pays 80% of lost wages.1
How do I prove lost wages if I am paid in cash?
Use what you have: bank deposits, invoices, messages with customers and tax returns. California regulators say documentation of your loss is required.11
Does workers' comp pay lost wages after a crash at work?
It often does. California generally pays two-thirds of gross wages, with limits.8 Other states differ.
Is there a deadline to claim lost wages?
Yes, and it varies. New York's no-fault rules say 90 days for lost wage claims.13
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Guides
- Pain that shows up days after a crash: when to get checked
- Hit by a driver with no insurance: what you can do
- How long does a car accident settlement take?
- How contingency fees work and what you take home
- How much is my injury claim worth? The factors that decide it
- How to get a police report for a car accident, and what to do if it is wrong or missing
Accidents
Sources
- Texas Office of Public Insurance Counsel, checked 2026-11-08. “PIP also pays 80% of lost wages.”
- Utah Code § 31A-22-307, checked 2026-11-08. “the lesser of $250 per week or 85% of any loss of gross income and loss of earning capacity per person from inability to work, for a maximum of 52 consecutive weeks after the loss”
- New Jersey Model Civil Jury Charge 8.11C, checked 2026-11-08. “has a right to be compensated for any earnings lost as a result of injuries caused by defendant's negligence”
- Utah Model Jury Instructions, checked 2026-11-08. “Special Damages also include lost earnings and loss of earning capacity.”
- Utah Model Jury Instructions, checked 2026-11-08. ““Earning Capacity” is not the same as lost earnings.”
- Fla. Stat. § 627.736, checked 2026-11-08. “Sixty percent of any loss of gross income and loss of earning capacity per individual from inability to work”
- Pennsylvania Insurance Department, checked 2026-11-08. “This pays a portion of your lost wages when injuries sustained in an auto accident keep you from working.”
- California Division of Workers' Compensation, checked 2026-11-08. “As a general rule, you are paid two-thirds of your gross (pre-tax) wages at the time of injury, with minimum and maximum rates set by law.”
- California EDD, checked 2026-11-08. “Disability provides short-term benefit payments when you can’t work and lose wages due to a non-work-related:”
- Texas Department of Insurance, checked 2026-11-08. “But it also pays for things like lost wages and other nonmedical costs.”
- California Department of Insurance, checked 2026-11-08. “you must provide documentation of your loss (injuries, medical expenses, lost wages, etc.).”
- New Jersey Model Civil Jury Charge 8.11C, checked 2026-11-08. “Any award for lost earnings must be based on net [take-home] pay, not on gross income.”
- New York DFS, checked 2026-11-08. “mandated that lost wage claims must be submitted within 90 days.”
- A.R.S. § 12-542, checked 2026-11-08. “there shall be commenced and prosecuted within two years after the cause of action accrues”
- Utah Model Jury Instructions, checked 2026-11-08. “A person who has been injured is supposed to use reasonable diligence in caring for the injuries and in acting in a way that avoids a worse situation.”