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[Legal Dictionary] Definition of Average Weekly Wage, Average Daily Wage

July 15, 2015 Legal Dictionary

After an injury, you’ll probably start doing some research on personal injury law. You may come up against some unfamiliar terms while you read. There may also be familiar words and phrases that have a much more specific definition in legal circles than they do in day-to-day conversation.

Average weekly wage is often referred to as AWW. It is, as you may expect, a calculation of an injured employee’s average weekly earnings. Insurance companies, personal injury lawyers and judges sometimes use this figure to determine the amount of a lost wages benefit to which the employee may be entitled if he or she becomes disabled.

Average daily wage, or ADW, is calculated based on daily earnings. A lost wage benefit may be calculated using this figure in an instance where AWW would be less accurate in representing the injured employee’s earnings.

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