On November 27, 2023, the State of California Department of Industrial Relations (DIR) announced the new temporary total disability (TTD) rates for 2024. Here is what to know:
- The lowest possible TTD benefit will stay at $242.86 per week, and
- The highest possible TTD benefit will stay at $1,619.15 per week.
No changes were made to TTD rates because State Average Weekly Wage (SAWW) in California did not increase last year. Below, our Fresno workers’ compensation defense law firm discusses the TTD rates.
Understanding Temporary Total Disability (TTD) Benefits
Temporary Total Disability (TTD) benefits are a major component of the workers’ compensation system in California. They provide financial assistance to employees who—as a consequence of a work-related injury or illness, cannot perform their regular job duties temporarily. TTD benefits aim to partially replace lost wages during the recovery period. They are generally paid at two-thirds of the amount of an injured worker’s average weekly wage.
There is a Minimum and Maximum TTD Benefit in California
California’s workers’ compensation law sets both minimum and maximum limits for TTD benefits to ensure fairness and adequacy in the compensation provided. The minimum and maximum amounts are designed to reflect a percentage of the injured worker’s average weekly earnings prior to the injury, subject to the statutory caps. It is important for both employees and employers to understand these limits to ensure compliance. As stated previously, the minimum and maximum benefits are staying the same in California for 2024:
- $242.86 per week minimum; and
- $1,619.15 per week maximum.
The California TTD Rates are Adjusted Annually Based on State Average Weekly Wage
California recognizes the importance of adjusting TTD benefits in line with economic changes. Indeed, the TTD rates are revised annually, based on the State Average Weekly Wage (SAWW). The adjustment ensures that the benefits remain relevant and sufficient in the face of inflation and other economic shifts. The annual adjustment is a critical factor for employers to consider.
Employers/Insurers are Responsible for Paying the Appropriate Benefits
In California, the responsibility of paying TTD benefits falls on employers and their insurers. The obligation underscores the importance of maintaining adequate workers’ compensation insurance. An employer must ensure timely and accurate benefit payments as per the state guidelines. Failure to do so can result in legal consequences and additional liabilities. It is essential for employers to work closely with their insurance providers to manage claims in the proper manner.
Contact Our Fresno Workers’ Compensation Defense Lawyer Today
At Yrulegui & Roberts, our Fresno workers’ compensation claims defense lawyers have the professional expertise that employers, claims administration firms and insurance companies can rely on. If you have any questions or concerns about the TTD rates, please do not hesitate to contact us today to get immediate help with your case. From our main office in Fresno, we provide results-first workers’ compensation defense services throughout the area.