2023 Maximum Compensation Rate
Florida Statute 440.12 sets forth that there shall be a maximum compensation rate in Florida workers’ compensation claims. It also dictates a minimum compensation rate.
The Division of Workers’ Compensation issued a memo that for all injuries in 2023, the maximum compensation rate will be $1,197. This is quite a significant increase from the max comp rate in 2022, which was $1,099. Almost a 9% increase from the prior year.
The increase was driven by current wage data and the labor market shortages which drove higher pay. The process of calculating the max compensation rate happens in November when the Florida Department of Economic Opportunity determines the statewide average weekly wage paid by employers subject to the Florida Unemployment Compensation Law for the four calendar quarters ending June 30 of that year. At that time, the Division calculates the maximum compensation rate for the next year.
The workers’ compensation maximum compensation rate caps payments at a certain rate. If an injured worker was making $2,000 per week prior to the injury, he/she would receive a maximum of $1,197 per week in compensation benefits – and not 66 2/3 (Roughly $1,333.40) for Temporary Total Disability or 64% (Roughly $1,280) for Temporary Partial Disability benefits.
The maximum compensation rate impacts more injured workers in Florida than the minimum—however, both are equally harsh. If a high wage earner of $300,000 per year, or $5769.23 per week, was to suffer an injury in 2023 which put him/her out of work, he/she would be limited to a maximum of $1,197 per week in compensation benefits.
The minimum compensation rate shows up typically in cases of volunteer workers who are subject to coverage through very specific state or government volunteer opportunities.
If you have questions regarding workers’ compensation in Tampa, call our office for a free consultation.