In the event you get hurt at work and become unable to work for a period of time or even permanently, what you pay yourself will have an impact on your case. If you have elected New Jersey Sole Proprietor Coverage, you are entitled to payment of your medical bills (100%), payment of temporary disability benefits while you are incapacitated (70% of wages, capped at $749/week in 2010) and permanent partial/total disability benefits.
The temporary and permanent disability benefits are calculated based on your gross weekly wage. The business income does not count toward the calculation of your benefits. A look back at the last 26 weeks before your accident or illness is generally used to determine your rate. So, if you paid yourself $300/week, your rate is $210/week. However, if you paid yourself $1,070/week, then you have maximized your benefits at would be entitled to $749/week. Because accidents cannot be planned, it is important that you plan ahead. In the event you have a work related accident, we have a team of experienced attorneys and paralegals ready to help you.