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How is my Average Weekly Wage Calculated

How is my Average Weekly Wage Calculated

Not long ago we received an inquiry from a potential client (who we now represent) concerning the amount of their temporary total disability (ttd) check.   The injured worker knew that their workers’ compensation check was based on his average weekly wage, but the amount of their ttd check was low and they questioned how their average weekly wage was calculated.  After hiring our firm, we were able to get the amount of our client’s temporary total disability check increased.

So, just how are an injured workers’ average weekly wage determined when calculating my workers compensation monetary benefits?

In Alabama, an injured worker’s average weekly wage (AWW) is determined by taking the injured workers’ earnings for the 52-weeks immediately preceding their job injury and dividing this number by 52.  This is to include any bonus paid.  In addition, if the worker missed a week of work during the 52-week period and did not receive any compensation, then that week should be subtracted from the calculation.

The value of any fringe benefits (eg. Health insurance) received by the worker is NOT included in the calculations UNLESS their employer stop paying their portion of said benefits.  If this occurs, then the value of said fringe benefits is included in the calculation of the injured workers’ average weekly wage.

If the injured worker has not been working for 52 weeks prior to their job injury, then the average of the earning they received while so employed is used and divided by the number of weeks worked, unless this amount is not just.  In this situation, the average weekly wage of a similarly situated employee is used.

Ensuring that your average weekly wage is properly calculated is vital to you receiving the compensation you need while you are recovering from your job injury, and oft time the workers compensation insurance carrier will forget to add bonus or subtract weeks in their calculations, so you need to be sure to review these figures yourself.

If you were hurt at work and you have questions about your right to Alabama+ Workers Compensation benefits, don’t hesitate to contact and talk to one of the experienced Alabama Workers Compensation Attorneys at Powell and Denny today for a free consultation.  Virtual appointment via Zoom are available for your protection during the pandemic.

Powell and Denny: We Work When You Can’t

Offices in Birmingham, AL and Huntsville, AL


Powell and Denny have been selected as one of the Best Law Firms by U.S. News and World Report for each of the last 7 years, have been selected as one of Birmingham’s Top Lawyers by B-Metro Magazine for the last 3 years, have been selected by The National Advocates as one of the Top 20 Workers’ Compensation Firms (plaintiffs) and Powell and Denny, P.C.-has been selected as one of the “Best of the Best” law firms by The American Registry.

Mr. Denny is AV rated by Martindale Hubbard (the highest rating possible) and Mr. Powell has been rated as Superior by The National Registry

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+ Powell and Denny have successfully represented injured workers from Birmingham, Huntsville, Florence, Muscle Shoals, Tuscumbia, Athens, Decatur, Town Creek Ardmore, Hartselle, Madison, Toney, Scottsboro, Ft. Payne, New Hope, Guntersville, Albertville, Boaz, Ashville, Anniston, Gadsden, Cullman, Jasper, Gardendale, Morris, Kimberly, Centerpoint, Leeds, Tarrant City, Fairfield, Hueytown, Bessemer, Adger, Tuscaloosa, Cordova, Alabaster, Pelham, Harpersville, Opelika, Phenix City, Montgomery, Clanton, Calera, Enterprise, Monroeville, Mobile, Evergreen and towns and cities in between.

How is my Average Weekly Wage Calculated

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  • Birmingham Office
    1320 Alford Avenue
    Suite 201
    Birmingham, Alabama 35226
    Phone: 205-978-2051
    Fax: 205-978-2054
  • Huntsville Office
    600 Boulevard South
    SW Suite 104
    Huntsville, Alabama 35802
    Phone: 256-705-3510
    Fax: 256-705-3513

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