How much does workers' comp pay?+
Most states pay 66.67% (two-thirds) of your average weekly wage (AWW) for temporary total disability (TTD). A few states use different rates: Massachusetts and New Hampshire pay 60%, New Jersey, Oklahoma, and Texas pay 70%, and Connecticut, Rhode Island, Alaska, Iowa, Maine, and Michigan use 75-80% of after-tax wages. All states cap the weekly benefit — ranging from $631 in Mississippi to $2,350 in Iowa.
Is workers' comp taxable?+
No. Workers' compensation benefits are not subject to federal income tax. However, if you also receive Social Security Disability Insurance (SSDI), part of your SSDI benefits may become taxable if your combined workers' comp + SSDI exceeds 80% of your pre-injury earnings. State tax treatment follows the federal exemption in all states.
What is the waiting period?+
The waiting period is the number of days after your injury before wage replacement benefits begin (medical treatment is covered from day one). Most states have either a 3-day or 7-day waiting period. If your disability exceeds the 'retroactive period' (typically 14-21 days), the waiting period is paid retroactively. This means for longer injuries, you get paid for the full time off.
What are monopolistic states?+
Four states require employers to purchase workers' comp exclusively from a state fund (no private insurers): Ohio (BWC), Washington (L&I), Wyoming (DWS), and North Dakota (WSI). This doesn't affect your benefits — it just means the state government, not a private insurer, manages the claims.
Can my employer opt out of workers' comp?+
Texas is the only state where workers' comp coverage is truly voluntary. Employers who opt out ('non-subscribers') lose certain legal protections and can be sued by injured workers without the usual defenses. Oklahoma had an opt-out system starting in 2013, but it was ruled unconstitutional in 2016. In all other states, coverage is mandatory.
What's the difference between TTD, TPD, PPD, and PTD?+
TTD (Temporary Total Disability) pays when you can't work at all during recovery — this is what this calculator estimates. TPD (Temporary Partial Disability) pays a portion when you can work light duty at reduced wages. PPD (Permanent Partial Disability) compensates for lasting impairment after you reach maximum medical improvement. PTD (Permanent Total Disability) pays ongoing benefits when you can never return to work.
How long do workers' comp benefits last?+
TTD benefits typically last until you can return to work or reach Maximum Medical Improvement (MMI). Most states don't have a strict time limit on TTD, but some do (Georgia caps at 400 weeks unless catastrophic). PPD benefits have scheduled durations based on the body part and impairment percentage. PTD benefits may last until retirement age or for life, depending on the state.
Does workers' comp cover medical bills?+
Yes, separately from wage replacement. Workers' comp covers all reasonable and necessary medical treatment related to your work injury — typically with no deductibles, copays, or coverage limits. This includes ER visits, surgery, physical therapy, prescriptions, and medical devices. You generally must use approved providers or get authorization.