Understanding Loss of Earning Capacity

What is loss of earning capacity? An injury can impact more than just your immediate health—it can affect your entire future. One of the most significant long-term consequences we help clients understand is the potential loss of earning capacity—how your ability to earn income may be reduced because of an injury.

What Is It?

Loss of earning capacity refers to the long-term reduction in your ability to earn after an injury. It’s not the same as lost wages, which only account for time missed during recovery. This concept focuses on your future, especially if your injury prevents you from returning to your job or limits your ability to work in the same capacity.

For example, a construction worker who suffers a permanent spinal injury may not be able to continue working in that field. The financial consequences extend far beyond their recovery period.

How Is It Calculated?

Several factors influence how loss of future income is estimated:

• Job & Skill Set: Physical demands, specialized training, and professional role

• Age & Health: Your stage in life and overall health before the injury

• Severity of Injury: Whether your work is temporarily or permanently affected

• Education & Retraining Potential: Ability to shift to a new career if needed

Medical experts, vocational specialists, and economists often work together to estimate how your injury could affect your lifetime income.

Why It Matters

This element of your case can be just as important—if not more—than your current medical bills. Without proper consideration, you may be left with insufficient resources to support yourself and your family in the years to come.

That’s why we work with trusted professionals and fight for compensation that considers not just your present—but your future too.

Need Help?

At Sawyer Injury Law, we understand how complex and personal each case is. If you’ve suffered an injury that may affect your long-term income, contact us for a free consultation.