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Calculating normal weekly earnings

Your weekly compensation payments are based on the wages you received from your current employer in the 12 months before your injury.

If you started work with your employer recently, or don’t have 12 months’ employment history, we may simply base your earnings on what you've earned in the time you've been employed.

If this isn't possible, we can use another employee's earnings as a guide. This means someone who was employed by the same employer, under the same industrial instrument.

Your WorkCover insurance covers you if any of your workers experience a work-related injury or illness. If your worker needs to take time off, you'll have to pay an excess.

Your worker’s normal weekly earnings are one of the things we consider when determining your employer excess.

What’s included?

Wage payments are the regular amount you'd have received if you hadn't been injured at work. The amount may differ from your average weekly earnings. Wage payments can include:

  • salary or wages
  • regular overtime
  • higher duties
  • penalty rates
  • allowances (except those listed below).

Wage payments don't include:

  • allowances or expenses relating to travel, car, relocation, meal, education, living in the country or away from home, entertainment, clothing, tools and vehicles
  • superannuation
  • any lump-sum termination payments for superannuation, accrued holidays, long service leave or any other purpose
  • amounts paid to a worker as an employer excess.

The wage payments calculator

If you earned different amounts each week before your injury, we need to work out an average rate to make sure you’re paid a fair amount. The wage payments calculator helps us determine this figure.

We’ll ask your employer to provide wages information. Simply enter the different amounts for each week of the period. The tool will calculate and display your weekly rate of compensation. You can then choose if you’d like to submit this earnings information to us.

We need your help to work out wage payments for any workers who claim. Please submit payment information via our online wage payments calculator as soon as you're aware of a claim.

You’ll need your worker’s claim number and be sure to enter a value for each pay period, even if it's $0 (nil).

If you need help using the calculator or want more information on wage payments, call us on 1300 362 128.

How does the calculator work?

The wage payments calculator uses statistical measures of mode, median and mean to work out a fair amount

  • Mode is the most frequently recurring amount.
  • Median is the middle amount in a sequence listed in ascending order.
  • Mean is the sum of all amounts divided by the total number of amounts.

The calculator considers:

  • If the mode occurs at least 1/3 of the time, we use this as the wage payment amount.
  • If not, the calculator compares the median and the mean.
  • If the mean is within 5% of the median, we use the greater amount as the wage payment.
  • If the median and the mean differ by more than 5%, we use the median as the wage payment.
  • If a mode of $0 (nil) occurs at least 1/3 of the time and if the median is also $0 (nil), we’ll use the mean as the wage payment.

If you’re concerned with a calculation, please contact us so we can step you through the workings.  If we're unable to resolve your concerns, we can provide a written explanation and you can seek a review of the decision with the Workers' Compensation Regulator.