Will an injury on the job derail your retirement plans?

On Behalf of | Oct 15, 2021 | Workers' Compensation

You work hard to pay your bills and budget your money carefully so that you can meet all your responsibilities while still saving for retirement. Regularly putting money aside is an important part of preparing for your golden years no. You probably know exactly how long you will need to work to have sufficient resources for a comfortable retirement.

Unfortunately, an unexpected stop or reduction in your income could prevent you from achieving your financial retirement goals. Getting hurt while at work might mean a leave of absence or even a long-term reduction in your earning potential. Those changes might derail your retirement plans.

Unexpected medical bills account for two-thirds of bankruptcy filings and leave many workers struggling to rebuild. How can you protect your plans for a peaceful retirement after a work injury?

Injuries can complicate your financial circumstances quickly

Whether you got into a car crash while driving for work or you fell down a flight of stairs and broke your leg, an on-the-job injury may require medical treatment and rest so that you can recover. Thankfully, workers’ compensation will cover the costs for your necessary medical care.

You can also make a claim for disability benefits if you will have to miss more than seven days of work. Making a disability claim is important to those facing a protracted leave of absencece as those benefits help replace up to 70% of their wages, although the state does have a maximum benefits amount.

You may also find yourself struggling to return to the same line of work and may need to take a lower-paying job because of your injury. In that scenario, permanent partial disability benefits could help you address the gap between what you used to earn and what you earn now. Although there may still be a reduction in your take-home pay, those benefits can ensure that you can at least pay your basic expenses without needing to dip into your retirement savings.

Workers’ compensation prevents an injury from changing your future

Mounting medical expenses, unpaid leaves of absence and long-term physical consequences can all damage your financial situation. Without benefits, getting hurt on the job could lead to financial devastation for responsible, working adults.

Filing a claim for workers’ compensation benefits can help you connect with care and financial support so that you can recover from your injury and move on with your life.