New Jersey Workers' Comp Benefits: TD, Permanency & Medical (2026)

New Jersey workers' compensation provides medical treatment and wage replacement for work-related injuries.

Medical Benefits

Coverage: All reasonable and necessary medical treatment Duration: For life as needed No copays: Worker pays nothing for authorized treatment Includes: Doctors, hospital, surgery, medications, therapy, medical equipment

Temporary Disability Benefits

When: Cannot work during recovery Rate: 70% of gross average weekly wage Maximum (2026): Approximately $1,063/week Waiting period: First 7 days unpaid (unless disability exceeds 7 days, then retroactive) Duration: Up to 400 weeks total (26 weeks per year for partial disability) Payment: Biweekly

Permanent Disability Awards

When: Residual disability after reaching maximum medical improvement

Scheduled Injuries (Specific Loss)

Permanent loss or loss of use of body part

Examples:

• Arm: 250 weeks
• Leg: 210 weeks
• Hand: 210 weeks
• Foot: 160 weeks
• Eye: 125 weeks
• Thumb: 60 weeks
• Finger: 30-50 weeks (varies)

Calculation: Percentage of loss × number of weeks × 70% AWW

Example: 50% loss of function of hand

• 50% × 210 weeks = 105 weeks
• 105 weeks × 70% AWW

Unscheduled Injuries (Total Body)

For injuries not on schedule (back, neck, head, internal organs)

Calculation: Based on percentage of total disability Maximum: 600 weeks Determined by: Medical evidence, functional capacity, age, education, transferable skills

Permanent Total Disability

When: Unable to do any work Benefits: Weekly benefits for life Rate: 70% of AWW Subject to maximum weekly rate

Death Benefits

Eligibility: Spouse, children, dependents Amount:

• Spouse: 50% of deceased's AWW (70% if children)
• Children: Additional percentage Duration:
• Spouse: Until remarriage (lump sum of 2 years benefits upon remarriage)
• Children: Until age 18 (age 23 if full-time student, no limit if disabled) Burial expense: Up to $3,500

Disfigurement Awards

For permanent scarring or disfigurement Amount: Up to $15,000 (typically) Based on: Size, location, visibility

Benefit Calculation Example

Average weekly wage: $1,200 Temporary disability: 70% × $1,200 = $840/week

Permanency example (30% permanent partial disability, back injury):

• 30% × 600 weeks = 180 weeks
• 180 weeks × $840/week = $151,200 total
• Paid over time or lump sum settlement

FAQs

Q: Are workers' comp benefits taxable? A: No. All benefits are tax-free.

Q: Can I receive workers' comp and Social Security Disability? A: Yes, but benefits may be offset to avoid exceeding 80% of pre-injury earnings.

Q: What if I can work part-time? A: You may receive partial temporary disability benefits for wage difference.

Q: How is permanency calculated? A: Based on medical impairment rating, functional capacity evaluation, vocational factors.

Q: Can I get a lump sum settlement? A: Yes. Permanency can be settled for lump sum. Consult attorney before accepting.

Related Topics

• Filing a New Jersey Workers' Comp Claim
• New Jersey Denied Claims
• New Jersey Workers' Compensation Overview

Last updated: January 5, 2026