How do I calculate and support lost wage claims when hours and pay rate records are missing?

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Calculating Lost Wages in North Carolina When Records Are Missing

Why Accurate Lost Wage Calculations Matter

In a North Carolina personal-injury claim, you may recover the income you would have earned had the accident not happened. These damages fall under “special damages” (out-of-pocket losses). Juries expect proof that is reasonably certain; you do not need perfection, but you must present reliable evidence. When pay stubs or time sheets are missing, you can still build a solid claim by combining alternative documents, testimony, and expert analysis.

North Carolina Legal Framework

Step-by-Step Method to Calculate Lost Wages Without Traditional Records

  1. Identify the earnings period. Document the dates you missed work—including partial days—for treatment, recovery, or doctor-ordered restrictions.
  2. Gather alternative income proof.
    • Tax returns, W-2s, or 1099s (IRS transcripts are free and show year-to-date income).
    • Bank statements showing regular payroll deposits.
    • Employer HR or payroll ledger obtained by a Rule 45 subpoena if voluntary cooperation fails.
    • Written employer verification on company letterhead listing average hours, pay rate, overtime, bonuses, and dates missed.
    • For self-employed claimants: business invoices, QuickBooks reports, or client contracts to demonstrate historical earnings.
  3. Average pre-injury earnings. Compute the average weekly wage (AWW): (total gross income ÷ number of weeks reviewed). A 52-week look-back is common, but shorter periods can be used with an explanation (e.g., recent promotion).
  4. Project lost hours.
    • If time sheets are gone, rely on co-worker schedules, company policies, or the claimant’s sworn diary corroborated by medical records.
    • Multiply missed hours by the established hourly rate, adding lost overtime differentials and shift premiums.
  5. Add fringe benefits. Health insurance contributions, pension matches, or accrued paid-time-off can be part of lost compensation if you can show their monetary value.
  6. Account for taxes. Present gross figures to the jury, but be ready to show net take-home pay if requested under Dailey v. City of Charlotte (NC Ct. App. 2013) which cautions against double recovery.
  7. Document ongoing impairment. If the injury affects future earning capacity, use a vocational rehabilitation specialist or economist to calculate discounted present value of future losses under Rule 702.

Supporting Evidence When Records Are Missing

Type of EvidenceHow It Helps
Sworn Affidavit from EmployerConfirms pay rate, average hours, and dates absent.
Co-Worker Testimony (Rule 701)Describes usual schedule and corroborates missed days.
Medical RecordsShow doctor-imposed work restrictions tied to specific dates.
Bank Deposit HistoryEstablishes consistent pay frequency and amounts.
Industry Wage Data (BLS)Fills gaps for seasonal or cash-paid work.

Helpful Hints

  • Request IRS wage & income transcripts early—they arrive within 10 days.
  • Send a spoliation letter to the employer if you believe payroll data may be deleted.
  • Document why records are missing; juries forgive gaps when a clear explanation exists.
  • Keep a daily "injury journal" noting pain levels, appointments, and missed work hours.
  • Consult a vocational economist for future loss calculations exceeding one year.

Bottom Line

You do not need perfect payroll records to win lost-wage damages in North Carolina. By combining tax documents, banking history, employer statements, and well-supported calculations, you can demonstrate your losses with the reasonable certainty the law demands. Gathering this evidence quickly preserves its credibility and maximizes recovery.

Need Help Proving Lost Wages? Our personal-injury team has years of experience assembling solid wage-loss packages and negotiating with insurers. Call us today at 919-313-2737 for a free consultation and let us fight for the compensation you deserve.

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