If you never fully recovered from a workplace injury or injuries that occurred before 1990, you may be entitled to a permanent disability award (a pension). A pension helps compensate you both for your reduced ability to earn as much money as before your accident, and for the actual physical loss or impairment itself.
The amount of your pension depends on:
- how much you were earning before your accident
- the date of your injury, and
- the level of your permanent disability.
Calculating your pension
To calculate your pension, your case manager uses your wages before your accident, adjusts them to today's dollar value, and then applies a percentage rating according to the WSIB Permanent Disability Rating Schedule. This percentage relates to the level of impairment that remains once you have recovered as much as possible (maximum medical recovery) from your injury or illness.
Maximum medical recovery (MMR) refers to the point at which you have recovered as much as possible from the injury or illness and probably won't have any more significant improvement in your medical condition.
Claims for accidents before April 1, 1985
If you were injured before April 1, 1985, we calculate your pension based on 75% of your gross earnings (earnings before deductions) for the year or lesser period immediately before the date of your accident, adjusted to today's dollar value.
To calculate your monthly pension amount, we convert 75% of your gross earnings to a monthly amount, and then multiply it by the percentage level of disability.
Here's an example of how we calculate your pension:
Accident date: January 12, 1983
- PD Basis (pre-accident gross earnings): $350.00
- Percentage of Award: 20%
- Monthly Gross Earnings: $350.00 x 4.3333* = $1516.66/month
- 75% of Gross Earnings(value of 100% Pension):$1137.49/month
- Value of 20% Pension in 1983:$1137.49 x 20% = $227.50/month
- Pension adjusted to 2002 dollar value:$379.04/month
* 4.3333 = weeks in a month
Claims for accidents between April 1, 1985 and January 2, 1990
If you were injured between April 1, 1985 and January 2, 1990, we calculate your pension based on 90% of your net average earnings (earnings after deductions) before the date of your accident, adjusted to today's dollar value.
To calculate your monthly pension amount, we convert 90% of your net average earnings figure to a monthly amount and then multiply it by the percentage level of disability.
An example of how we calculate your pension is shown below:
Accident date: November 15, 1985
- PD Basis (pre-accident gross earnings):$500.00/ week
- Net Exemption Code:01
- Net Average Earnings:$378.09/ week
- Weekly Rate (90% net):$340.28
- Percentage of Award:20%
- Value of 100% Pension:$340.28 x 4.333* = $1474.54/ month
- 20% Pension as of November 1985:$1474.54 x 20 % = $294.91/ month
- Pension adjusted to 2002 dollar value:$416.63/ month
* 4.3333 = weeks in a month
We pay pensions in two ways:
If your pension award is less than 10% in all your claims and your permanent impairment is not expected to worsen, you may ask for a one-time lump sum payment. Once the lump sum is paid, no monthly pension is payable.
Receiving a lump sum payment does not affect your entitlement to other WSIB benefits and services.
If your pension is greater than 10% in all your claims, it is paid as a monthly benefit. The pension is payable for life. If your medical condition does get worse, you can request a reassessment of your monthly pension.
What if my pension is 100%?
Severely injured workers who have a 100% pension also receive special assistance.
To receive more information, please contact your case manager.