Factors Used To Determine Future Earnings Losses In A Wrongful Death Claim

The loss of a loved one is always difficult, and losing them due to the negligence of some other person or entity is even worse. Filing a wrongful death claim can help you obtain compensation for the tangible costs you will incur because your relative passed away. Future earnings potential is something that is often considered during these cases because you will have to live without that financial support when you would not have otherwise had to. Determining future earnings losses or capacity is not as straightforward as it sounds. There are actually several factors that can affect how much an individual could have earned if they had not lost their life. 

How many years the individual would have had left to work. 

The attorney will look at how many years the individual likely had left to work before they would have retired. For example, if the individual who lost their life was already 60 years old, they would likely only have a few years left to work before they would have retired. Therefore, future earnings loss wouldn't be as great for this individual as what they would be for someone who was younger.

How much the individual earned before they lost their life. 

The attorney will look at how many years the individual worked before they lost their life, and how much they earned during that time. Past earning capacity is a good predictor of future earning capacity. For example, if an individual steadily made $10,000 more every year all the way until the year they lost their life, there is a high likelihood that their income would have risen the same going forward. Therefore, future earning capacity could be shown to be more than just what they made every year. On the flip side, if the individual had sporadic employment and didn't make a lot of money, this could work against you in court when future earnings losses are assumed. 

How much the individual made according to their geographic location. 

Geography can greatly affect the earning capacity of any individual in a certain job role. For instance, someone on the west coat may make more money than someone who lives on the east coast if they are a licensed plumber, a doctor, or even just a factory worker. When determining how much future compensation was lost due to the wrongful death, the location the person would have been working will be taken into consideration. 

For more information, contact a wrongful death attorney in your area.

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