More TTD Means TPD More Likely: MN Workers’ Comp. Wage Loss

According to an analysis done by the MN Department of Labor and Industry, workers who receive Temporary Total Disability (TTD) benefits for an extended period are more likely to be eligible for Temporary Partial Disability (TPD) benefits once they return to work. 

Temporary Total Disability (TTD) benefits are available to injured workers if they are completely restricted from working, or if they are unable to return to their date-of-injury employer as a result of their injuries, and they are conducting a diligent job search. These benefits are currently available for a maximum of 130 weeks at a rate of 2/3 of the workers’ average weekly wage (AWW) at the time of the injury, capped at a maximum of $850.00 per week. If the employee has reached maximum medical improvement (MMI), entitlement to TTD ceases 90 days after reaching MMI.

Temporary Partial Disability (TPD) benefits are available to injured workers who are able to return to work at a reduced wage due to their work-related injury or illness. TPD benefits are available for a maximum of 225 weeks, but for no more than 450 weeks after the date of injury. TPD benefits are paid at a rate of 2/3 of the difference between the workers’ average weekly wage (AWW) and their reduced earnings.

The Department of Labor and Industry determined that the overall percentage of injured workers with wage loss benefits who receive TPD benefits has stayed at about 29 percent. For injuries between 2003 and 2008, the percentage of indemnity claims with TPD benefits increases with the duration of TTD benefits, leveling off at about 55 percent for claims with more than six month of TTD benefits.

In plain language, what this means it that the longer an injured worker receives temporary total disability (TTD) benefits, the more likely it is that he or she will be eligible for temporary partial disability (TPD) benefits. 

In our Minnesota workers' compensation practice, we see many claims where an injured worker with permanent restrictions returned to work, possibly with minimal or no wage loss, and then subsequently lost that job, or had to take a lower paying job due to his or her injuries. In many of these cases, the injured worker was never told they were eligible for additional TPD benefits.

For a free, no-obligation workers' compensation case evaluation, contact Meuser & Associate at 877-746-5680, or click here to send us an email to schedule an appointment with one of our attorneys. 

Overtime and MN Workers' Comp. Wage Loss

For folks who work overtime on a regular basis, missing out on that overtime pay due to a work injury can be a significant hardship. In Minnesota, overtime pay may be taken into account when calculating an injured workers’ average weekly wage. 

In Minnesota, the amount of an injured worker’s wage loss benefits is based on that worker’s average weekly wage (AWW) at the time of the injury. If that injured worker worked overtime, and that overtime pay was “regular and frequent throughout the year,” it should be included in the average weekly wage calculations.

Obviously, what “regular” and “frequent” mean is somewhat subject to interpretation. For example, if you worked ½ an hour of overtime once in the 6 months before your injury, it probably shouldn’t be included in calculating your average weekly wage. If, on the other hand, you worked a minimum of  hours 10 overtime every week in the 6 months before your injury, that overtime pay should probably be included.

In those cases where overtime isn’t quite so regular, there can be disputes as to whether or not it should be included. 

So why is this a big deal?

For folks that worked a substantial amount of overtime prior to their injury, it can mean the difference of hundreds or even thousands of dollars. 

For example, if an individual was paid $15.00 per hour and worked 40 hours per week, every week for six months prior to his or her injury, his or her average weekly wage would be $600.00, entitling him or her to temporary total disability (TTD) benefits of $400.00 ($600.00 (x) 2/3) per week, if that individual is off work as a result of a work injury.

If that same individual worked 10 hours of overtime per week, every week, at time-and-a half ($22.50), his or her average weekly wage would be $825.00 ($600.00 + $225.00), entitling him or her to temporary total disability (TTD) benefits of $550.00 ($825.00 (x) 2/3), if that individual is off work as a result of a work injury. That’s an extra $150.00 per week. If that worker is off work for an extended period of time due to a work injury, that extra $150.00 per week makes a huge difference!

The issue of overtime also comes into play when an injured worker who used to regularly work overtime hours cannot work overtime following a work injury due to his or her work restrictions.

Using the same example as above, if the injured worker cannot work overtime due to his or her work injury, he or she is missing out on $225.00 per week in overtime pay, meaning that he or she is probably eligible for temporary partial disability (TPD) benefits.

Since that worker is earning less money as a result of his or her work injury, the workers’ compensation insurer is required to pay 2/3 of the difference between his or her average weekly wage (AWW), and his or her reduced earnings. In this case, that injured worker would be eligible for temporary partial disability (TPD) benefits of $150.00 per week. Over an extended period of time, that can add up to a lot of money!

Unfortunately, insurance companies frequently overlook overtime pay in calculating an injured workers’ average weekly wage (AWW). 

Again looking at the example above, if the workers’ compensation insurance company failed to include that workers’ overtime pay in calculating his or her average weekly wage (AWW), he or she would be missing out on an additional $150.00 per week on temporary total disability (TTD) benefits if he or she was completely off work, or an additional $150.00 per week in temporary partial disability (TPD) benefits if he or she was no longer able to work overtime following his or her work injury.

Underpayments of wage loss benefits based on an incorrect average weekly wage (AWW) calculation is one of the most common errors or disputes we see in our Minnesota workers’ compensation practice.

In fact, we regularly sit down with injured workers who are currently receiving workers’ compensation benefits, only to discover that the workers’ compensation insurance company has underpaid them hundreds or thousands of dollars. For a free, no-obligation Minnesota workers’ compensation case evaluation, call Meuser & Associate at 877-746-5680 or click here to send us an email. 

MN Workers’ Compensation Benefits: Types of Benefits Available for Injured Workers in Minnesota

There are four main types of workers’ compensation benefits available to injured workers under the Minnesota Workers’ Compensation Act.

Medical Expense Benefits

If you’ve sustained a work-related injury in Minnesota, the employer and insurer are responsible for payment of “reasonable and necessary” medical care and treatment to cure and/or relieve the effects of the work injury. Covered treatments include, but are not limited to: hospitalization, prescriptions, medical mileage reimbursement, nursing services, chiropractic care, physical therapy, assistive devices, MRI’s, CT scans, EMG’s, counseling, injections, chronic pain management, psychological care, and occupational therapy.

Wage Loss Benefits

Temporary total disability benefits (TTD): Temporary total disability benefits are wage loss benefits available to injured workers who are completely unable to work, or who are released to return to work with restrictions, but are unable to find work within those restrictions. TTD is calculated at 2/3 of an injured worker’s average weekly wage (AWW) at the time of the injury. This benefit is current capped at a maximum of $850 per week, for a maximum of up to 130 weeks. An injured workers’ entitlement to temporary total disability (TTD) also ends 90 days after reaching maximum medical improvement (MMI), if the employee fails to conduct a diligent job search, if the employee is released to work without restrictions, or if the employee is terminated for misconduct.

Temporary partial disability benefits (TPD): Temporary partial disability benefits are wage loss benefits available to an injured worker who is back at work but is earning less than they were at the date of injury due to his or her work restrictions. TPD benefits are calculated by subtracting a worker’s post-injury earnings from their average weekly wage (AWW) at the time of the injury. The difference is then multiplied by 2/3 to determine the amount of temporary partial disability benefits. This benefit is limited to 225 weeks and is not payable more than 450 weeks after the date of the injury.

Permanent total disability benefits (PTD): Permanent total disability benefits are available for injured workers who are permanently prevented from performing any substantial gainful employment. This wage loss benefits is payable as 2/3 of the worker’s average weekly wage (AWW) through age 67. As of October 1, 1995, in order to qualify for permanent total disability (PTD) benefits, an injured worker must meet certain thresholds in addition to showing he or she is physically incapable of substantial gainful employment.

Permanent Partial Disability Benefits

Permanent partial disability (PPD) or permanency benefits is a payment for the loss of use of a body function. PPD benefits are paid in accordance with the permanent partial disability schedules set forth by the Department of Labor and Industry. These benefits are payable weekly or as a lump sum.

Rehabilitation Benefits

Rehabilitation benefits are available to injured workers that are having difficulty returning to their former job due to their work injury. Vocational rehabilitation services are provided by a Qualified Rehabilitation Consultant (QRC). You have the right to choose your own QRC. A QRC will provide you with an initial consultation to determine whether you're entitled to rehabilitation services. Rehabilitation services can include medical management, return to work services, job search and placement services, or formal retraining.

For a free, no-obligation consultation regarding your Minnesota workers’ compensation rights, contact Meuser & Associates at 877-746-5680, or click here to send us an email.

MN Workers’ Compensation Wage Loss Maximum and Minimum Rates

Temporary total disability (TTD) benefits are available to injured workers who are completely off work due to a work-related injury in Minnesota. The amount of this benefit is calculated at 2/3 of the employee’s average weekly wage (AWW) at the time of the injury, but is subject to certain maximum and minimum amounts.

For injuries on or before September 30, 1992, the maximum amount of temporary total disability benefits was based on 100% of the Statewide Average Weekly Wage (SAWW).

10-01-86 .............$360.00
10-01-87 .............$376.00
10-01-88 .............$391.00
10-01-89 .............$413.00
10-01-90 .............$428.00
10-01-91 .............$443.00

The minimum amount of temporary total disability benefits for injuries before September 30, 1992 was 50% of the Statewide Average Weekly Wage (SAWW) or gross wage, whichever was less, but no less than 20% of the Statewide Average Weekly Wage (SAWW).

10-01-86 ....$180.00....$ 72.00
10-01-87 ....$188.00....$ 75.20
10-01-88 ....$195.50....$ 78.20
10-01-89 ....$206.50....$ 82.60
10-01-90 ....$214.00…$ 85.60
10-01-91 ....$221.50…$ 88.60

For injuries between October 1, 1992, and September 30, 1995, the maximum amount of temporary total disability benefits was based on 105% of the Statewide Average Weekly Wage (SAWW).

10-01-92 ........... $481.95
10-01-93 ........... $508.20
10-01-94 ........... $516.60

The minimum amount of temporary total disability benefits for injuries between October 1, 1992, and September 30, 1995 was based on 20% of the Statewide Average Weekly Wage or the employee’s actual weekly wage, whichever is less.

10-01-92 ........... $91.80
10-01-93 ........... $96.80
10-01-94 ........... $98.40

For injuries on or after October 1, 1995, the maximum and minimum compensation rates are set by statute:

Maximum:

10-01-95 ............ $615.00
10-01-00 .............$750.00
10-01-08 .............$850.00

Minimum (the amount set by statute, or the employee’s actual weekly wage, whichever is less):

10-01-95 ........... $104.00
10-01-00 ........... $130.00

If you have an injury on or before October 1, 2008, it’s easy to make a mistake as to the correct amount of your compensation rate.

Make sure you receive all the Minnesota workers’ compensation benefits you are entitled to. For a free, no-obligation case consultation, contact Meuser & Associates at 877-746-5680 or click here to send us an email to schedule an appointment with one of our Minnesota workers’ compensation lawyers.

Wage Loss Benefits and Minnesota Workers’ Compensation

If you suffer wage loss as the result of a work-related injury, you may be entitled to wage loss benefits including:

Temporary Total Disability (TTD) Benefits: TTD Benefits are available to employees who are completely unable to work due to a work-related injury.

TTD Benefits are calculated as 2/3 of the employee’s Average Weekly Wage (AWW) at the time of the injury. For injuries that occurred after October 1, 2008, TTD benefits are available for a maximum of 130 weeks. For injuries that occurred between October 1, 1995 and September 30, 2008, TTD benefits are available for up to 104 weeks. Generally, for injuries that occurred prior to October 1, 1995, there is no specific time limit on the receipt of TTD wage loss benefits.

Temporary Partial Disability (TPD) Benefits: TPD Benefits are available to employees who are suffering from a work-related disability, but are able to work at a reduced earning capacity. TPD Benefits are intended to make up for the difference in earnings.

TPD Benefits are calculated as 2/3 of the difference between the employee’s current earnings and the employee’s Average Weekly Wage (AWW) at the time of the injury. For injuries that occurred between January 1, 1984 and September 30, 1992, there is no specific durational limit on the receipt of TPD wage loss benefits. Between October 1, 1992 and present, receipt of TPD benefits is limited to a maximum 225 weeks.

Permanent Total Disability (PTD) Benefits: PTD Benefits are available to employees who are permanently and totally disabled from working as the result of work-related injuries. In 1992, the legislature further defined “permanent total disability:”

“…‘totally and permanently incapacitated’ means that the employee’s physical disability, in combination with the employee’s age, education, training and experience, causes the employee to be unable to secure anything more than sporadic employment resulting in an insubstantial income.” (Minn.Stat. § 176.101(5)(b).)

As of October 1, 1995, an injured employee must meet certain thresholds in order to prove permanent total disability, including:

• The employee has at least a 17% permanent partial disability rating of the whole body.
• The employee has a permanent partial disability rating of the whole body of at least 15% and the employee is at least 50 years old at the time of the injury.
• The employee has a permanent partial disability rating of the whole body of at least 13% and the employee is at least 55 years old at the time of the injury, and has not completed grade 12 or obtained a GED certificate.
  

PTD benefits are calculated as 2/3 of the employee’s Average Weekly Wage (AWW) at the time of the injury. PTD benefits are generally available until the age of retirement. PTD benefits may also be offset against other government disability or old age and survivor benefits, including social security disability benefits, social security retirement benefits, PERA benefits, police and firefighter relief association benefits, and state retirement benefits.

If you’ve been injured on the job, and the insurance company has accepted your claim, the question is not “if” they will discontinue your benefits at some point, but “when.” Even if there is not currently a dispute regarding your workers’ compensation benefits, it is a good idea to speak with a workers’ compensation lawyer to make sure you get all the benefits you are entitled to. Often, people we speak with are hesitant to hire a lawyer when there is no dispute with the insurance company. One thing we always point out is that even if you retain us, if there is no dispute over your benefits, no attorney’s fees are withheld from your benefits. Retaining a lawyer before a dispute arises can substantially reduce the time it takes to initiate your claim when a dispute does arise.

If you are permanently and totally disabled as the result of a work-related injury, in combination with any non-work related health conditions that limit your ability to work, you should speak with a workers’ compensation lawyer. Seldom do workers’ compensation insurance companies voluntarily agree that you are Permanently Totally Disabled, which means that they will probably have to pay you wage loss benefits for a much greater length of time than if you are not permanently and totally disabled.

The experienced workers’ compensation lawyers at Meuser & Associates can help make sure you get the wage loss benefits you are entitled to. Contact us today at 877-746-5680 or click here to send us an email to schedule a free, no-obligation consultation.

Visit Minnesota Workers' Compensation and Personal Injury Law Firm, Meuser & Associates, P.A., at MeuserLaw.com

Temporary Total and Temporary Partial Disability Benefits and the Waiting Period Under MN Workers’ Comp. Law

If you are injured on the job in Minnesota and you miss time from work, in order to be eligible for wage loss benefits, including temporary total disability benefits or temporary partial disability benefits, your inability to work must extend beyond the three day “waiting period.”

While it sounds simple enough, calculating the waiting period of three days can actually be fairly complex. Here’s a guide to computing the waiting period:

• The waiting period is counted in consecutive calendar-days, not workdays.
• The first day of any disability is the first day to start counting the waiting period.
• Any disability or time missed from work, including missing just part of the day, even if your employer paid you for a full day’s work, is considered the first day of disability.
• If you miss time from work to get medical treatment, that day is considered a day of disability for purposes of calculating the waiting period.
• If you miss time from work beyond the three day waiting period, compensation is owed for dates of disability after the three-day waiting period.
  
• If you miss time from work on the 10th calendar day or beyond, counted from the first date of missed time due to injury, compensation is owed from the first date of disability, including for time missed during the waiting period.
• If the only disability beyond the waiting period is for days you are not normally scheduled to work (such as holidays or weekends), there is generally no compensation owed for those days of disability.
  

If your disability extends beyond the waiting period, you may be entitled to wage loss benefits, including temporary total disability or temporary partial disability benefits. If you have no disability on or beyond the tenth day after your initial date of disability, generally, you are not entitled to compensation for any lost time during the initial waiting period. If you have a period of disability on the tenth calendar day after the first day you lost work time due to your injury, the insurer is responsible for compensation for time lost during the waiting period.

Waiting period calculation errors are one of the most common errors we see by workers’ compensation insurance adjusters. We also frequently see them failing to pay for time missed during the waiting period if the disability extends beyond the tenth day. Unfortunately, errors like this are extremely common.

If you believe there may be an error in the calculation of your wage loss benefits, call us to schedule a free, no-obligation case evaluation. We can be reached at 877-746-5680 or click here to send us an email.

Visit us at MeuserLaw.com!