California Workers’ Compensation Temporary Total Disability Rates for 2023

California’s Division of Workers’ Compensation (DWC) recently announced that the 2023 minimum temporary total disability (TTD) rate is $242.86 per week. The maximum TTD rate is $1,619.15 per week.

Employees receive TTD wage benefits if they suffer a work-related injury that leaves them temporarily unable to return to work. The amount of the benefits is two-thirds the amount of a worker’s pre-injury weekly earnings. If that amount is below or above the minimum or maximum rate listed above, the state adjusts it accordingly.

In terms of categories of California workers’ comp benefits, temporary total disability benefits are different from temporary partial disability benefits (TPD). Workers will receive TPD benefits if they suffer a work-related injury and resultantly must return to work in a modified capacity where they are receiving less pay. The amount of the benefit is typically the difference between a worker’s pre-injury weekly wage and his/her post-injury weekly wage.

Note that an insurer will only approve a workers’ compensation claim if an employee suffers a work-related injury.

Our California workers’ compensation attorneys will highlight the following in this article:

• 1. What are the minimum and maximum temporary total disability rates for 2023?
• 2. What are temporary total disability benefits?
• 3. How does an injured worker calculate temporary total disability payments?
• 4. How long do TTD payments last?
• 5. Are TTD benefits the same as TPD benefits?

1. What are the minimum and maximum TTD rates for 2023?

Under California’s workers’ compensation laws, if an injured worker qualifies for temporary disability payments, the amount of those payments must at least meet a state-imposed minimum rate. Similarly, amounts cannot exceed a state-set maximum rate.

For 2023, the minimum TTD rate is $242.86 per week. The maximum TTD rate is $1,619.15 per week.¹

State law requires California to increase the minimum and maximum amounts annually by an amount equal to the percentage increase in the State Average Weekly Wage (SAWW).^{2 3}

California law also says that the State must increase minimum and maximum rates for those workers with a date of injury on or after January 1, 2003 who are receiving a life pension or permanent total disability benefits (PTD). But again, since the SAWW decreased, the minimum and maximum rates for these benefits will remain the same as those used for 2021.

2. What are temporary total disability benefits?

Employees may receive TTD wage benefits if they suffer a work-related injury that leaves them temporarily unable to return to work.

Note that temporary disability benefits are only paid if insurance companies agree that an employer’s injury was in fact a workplace injury. If an insurer denies a workers’ compensation claim, an employee is not entitled to receive workers’ compensation benefits. However, a worker may still qualify for disability benefits from the Employment Development Department (EDD). EDD benefits are paid for a non-work-related injury that causes a person to miss work.⁴

Note, too, that a doctor must state that a worker is temporarily unable to return to work for an employee to receive TTD benefits.

3. How does an injured worker calculate temporary total disability payments?

The amount of a person’s TTD check is two-thirds of the worker’s average weekly wage rate/weekly earnings.⁵

Once the state calculates the amount of an employee’s TTD benefits, it then adjusts it (if applicable) according to the minimum and maximum TTD rates for that year.

Example: Assume Jill suffers a work injury in 2023. Prior to the injury, she earned $2,100 per week. Two-thirds of her weekly earnings is $1,400. However, since the maximum temporary total disability rate for 2023 is $1,619.15, Jill will only receive that amount in benefits.

Consider, though, the scenario where Jill earned $200 per week before her injury. Two-thirds of this amount is approximately $133.33. But since this amount is below the minimum TTD rate for 2023, Jill will receive the minimum benefit rate of $242.86.

4. How long do TTD payments last?

A worker will continue to receive temporary disability benefits until:

• the employee returns to work,
• a doctor advises the employee that he/she can return to work, or
• the worker’s condition stabilizes, and he/she becomes eligible for permanent disability benefits.⁶

Note, though, that California law says that injured employees can only collect temporary disability benefits for a total of 104 weeks within a five-year period from the date of injury.⁷

5. Are TTD benefits the same as TPD benefits?

No. Temporary partial disability benefits (TPD) are similar to TTD benefits in so far as they compensate an injured worker for lost wages following a work injury.

However, TPD benefits apply if:

1. an injured worker can return to work following an injury in either a modified or light-duty capacity, and
2. the worker is placed in a lower-paying job to comply with his/her medical restrictions.

TPD wage benefits are usually the difference between a worker’s wages before the injury and the employee’s wages after the injury.

The state continues to pay workers TPD benefits until they can return to work in their original capacity.

For additional help…

For additional guidance or to discuss your case with a workers’ comp lawyer, we invite you to contact our law firm at the Shouse Law Group. Our attorneys provide both free consultations and legal advice you can trust.

Our lawyers also represent clients throughout California State, including those in Los Angeles, Orange County, and San Diego.

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