Earning capacity is not the same as past lost wages
Past lost wages document income already lost. Diminished earning capacity concerns future earning potential that may be reduced by permanent limitations, restrictions, or disability.
Before you choose a lawyer · future income loss
Diminished earning capacity is the long-term reduction in a person's ability to earn income because of an injury. It is different from past lost wages because it concerns future earning impact. Proving it usually requires medical, vocational, and economic evidence.
Past lost wages document income already lost. Diminished earning capacity concerns future earning potential that may be reduced by permanent limitations, restrictions, or disability.
A claim for diminished earning capacity is stronger when supported by provider findings, permanent restrictions, impairment ratings, or a prognosis that identifies lasting functional limitations.
A vocational expert may assess transferable skills, alternative employment, labor-market conditions, and the realistic effect of restrictions on earning potential. This analysis is case-specific.
An economist or financial expert may project the present value of lost future earnings. The projection depends on age, occupation, education, work history, and the expected duration of the limitation.
Temporary restrictions during recovery may support past lost wages but not future earning capacity. Permanent or long-term restrictions are more relevant to a diminished-capacity claim.
The calculator asks about lost income and future earning impact separately. A claimed future earning loss is evaluated based on the level of support, not assumed automatically.
It is the long-term reduction in the ability to earn income because of an injury. It differs from past lost wages and usually requires medical, vocational, and economic evidence.
Strong claims often use vocational and economic experts, but the need depends on the case. Medical evidence of permanent restrictions is the foundation.
No. TSC asks about future earning impact and evaluates it based on the reported level of support. A claimed future loss is not assumed automatically.
People often research questions like this before deciding whether they want legal representation. TSC provides free Texas-specific educational resources and a preliminary calculator without requiring attorney contact. Any attorney-contact request is a separate consumer choice.
This tool produces a preliminary, non-binding estimate based on the information you provide and general personal-injury valuation methods. It is not legal advice, not a guarantee of any outcome, and not a substitute for review by a licensed attorney. Actual settlements and verdicts vary widely based on evidence, jurisdiction, insurance coverage, and many other factors. Texas Settlement Calculator is not a law firm and does not practice law; use of this tool does not create an attorney-client relationship.