New Jersey Minimum Workers' Compensation Benefits Explained

The state minimum workers' compensation in New Jersey provides 100% payment of reasonable medical expenses and a wage‑replacement benefit equal to two‑thirds of the employee's average weekly wage, up to a statutory maximum of $1,131 per week (as of 2024). Benefits continue for as long as the injury prevents the employee from performing their regular work, subject to periodic reassessment.

Medical Benefits

Employers must cover all medically necessary treatment related to the work injury, including doctor visits, surgery, medication, rehabilitation, and prosthetics. There is no cap on the total amount paid for medical care.

Wage Replacement

The temporary total disability (TTD) rate is two‑thirds of the average weekly wage (AWW) earned during the 52 weeks before the injury, not to exceed the state maximum. The AWW is calculated from the employee's earnings and hours worked, and the benefit begins after a three‑day waiting period.

Permanent Disability

If the injury results in lasting impairment, a permanent partial disability (PPD) or permanent total disability (PTD) award may be granted. Rates are based on a statutory schedule that assigns a percentage value to specific body parts and functions.

Benefit Duration and Limits

Temporary benefits continue until the employee reaches maximum medical improvement (MMI) or returns to suitable work. For PTD, benefits may be payable for the employee's lifetime, subject to periodic reviews.

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