Current reference: September 2026
Workers' compensation systems generally provide temporary total disability (TTD) benefits when a work-related injury or illness temporarily prevents an employee from working.
Although many states use a formula based on a percentage of the employee's average weekly wage (AWW), the calculation varies substantially by jurisdiction. Some states calculate benefits using spendable or after-tax wages, some use an average monthly wage, and several have special formulas that can change the result depending on the employee's earnings or circumstances.
This chart focuses on the basic calculation methodology for temporary total disability benefits. It does not attempt to replace state-specific calculations involving maximum/minimum rates, offsets, concurrent employment, dependents, seasonal employment, special occupations, or other statutory adjustments.
Alaska is one of the clearest examples of why a simple “percentage of AWW” comparison can be misleading.
TTD is generally 80% of spendable weekly wages, with the 2026 compensation rate subject to a statutory minimum and maximum. Alaska's Department of Labor currently describes the 2026 calculation as 80% of spendable weekly wages, with a $358 minimum and $1,627 maximum.
Practical implication: An employee earning $1,500 gross per week does not simply receive 80% of $1,500. The spendable-wage calculation must...
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