How to Calculate Lost Earnings in a South Carolina Wrongful Death Lawsuit

Lost earnings represent a major economic damage in a typical wrongful death lawsuit. When a family loses a wage earner, they are deprived of a vital source of income for the foreseeable future. The family may have been depending on this income, and it is important to calculate exactly how much this lost income costs the family when pursuing justice. How exactly do you calculate how much your loved one would have earned throughout the rest of their life? This might be a question worth asking a wrongful death attorney in South Carolina.

Consider Their Expected Retirement Date

A first step might be to consider the date at which they would have likely retired. Note that it may not be appropriate to simply use the “standard retirement age” of 65 in this scenario. Some careers are associated with much earlier or later retirement dates. For example, accountants generally continue to work well past the age of 65, while firefighters tend to retire much earlier than the age of 65.

Once you have determined your loved one’s retirement age, you can determine how many years they would have continued working. If your loved one was relatively old when they passed away from the accident, this number might be low. If your loved one was relatively young, you might be eligible to receive compensation for decades of lost earnings.

Consider Their Employment Benefits

One should not forget employment benefits when calculating lost earnings. For many workers, the value of employment benefits is extremely high. Although your loved one might not have received these benefits in the form of dollar amounts, the family still loses access to them after a fatal accident. These might include stock options, health insurance, retirement accounts, and much more. Your lawyer might be able to help you calculate the net value of these earnings over time.

The Importance of Realistic Projections

These calculation methods can become quite complex, as families may need to make realistic projections about career advancement, promotions, bonuses, and other benefits the employee would have enjoyed throughout life. Inflation is a major factor in today’s economy, and one might argue that the minimum wage is likely to increase considerably over the next few decades.

You might also need to consider your loved one’s likelihood of promotion over time. In some cases, company leaders may be willing to testify about this likely pathway toward higher success and earnings. For example, your loved one’s employer might have been grooming them for a future position in management or the executive suite.

Can a South Carolina Wrongful Death Lawyer Help Me?

A South Carolina wrongful death lawyer may be able to help you pursue fair compensation after losing your loved one. Lost earnings represent an important economic damage in these cases, and you have every right to maximize this compensation when facing an uncertain financial future. Consider discussing this subject in more detail with Mickelsen & Dalton, LLC.

Sources:

 aeaweb.org/conference/2015/retrieve.php?pdfid=1600&tk=QyBA2sf4

epi.org/minimum-wage-tracker/