2021 Pennsylvania Workers’ Compensation Rate Calculations

At the start of every year, the Commonwealth of Pennsylvania updates its maximum workers’ compensation rate. If you were injured in 2021, then your wage loss benefits will be based on the new rate for this year. If your injury occurred in 2020, then you will use the rate from 2020. And so on.

Maximum Compensation Rate

The maximum compensation rate is based on the statewide average weekly wage (AWW). It is ⅔ of the AWW. And since the AWW typically increases with inflation each year, the maximum compensation rate does as well. The following table shows the maximum rate for the past six years as well as the change in rate from the previous year.

YearMaximum Compensation RateChange in Rate from Previous Year
2021$1,130+4.53%
2020$1,081+3.05%
2019$1,049+2.34%
2018$1,025+3.02%
2017$995+1.74%
2016$978+2.84%

Compensation Rate Tiers

Below the maximum compensation rate, there are three other compensation rate tiers that are based on the maximum. Each of these tiers has a different rate calculation, and which tier you fall into is dependent on your AWW. In the table below, the left column is your AWW and the right column is how your compensation rate will be calculated.

Average Weekly WageCompensation Rate
Above $1,695Flat Rate of $1,130
$1,695 – $847.51⅔ of Average Weekly Wage
$847.50 – $627.78Flat Rate of $565
Below $627.7890% of Average Weekly Wage

Conclusion

The maximum workers’ compensation rate for 2021 is set at $1,130. To ensure that the wage loss compensation you receive is as close to this maximum as possible, the proper calculation of your AWW is vital. Improper calculation could place you in a lower rate tier than you are meant to be in.

Contact Hillsberg Law

My name is Geoffrey Hillsberg, and I have been solely practicing workers’ compensation law in the State of Pennsylvania since 1995. If you have been injured on the job, please contact my law office today. I will fight for your right to compensation after a workplace injury.


The advice offered above is general in nature and may not be applicable to every case. Consultation with an attorney is highly recommended. Reliance on this advice does not represent the formation of an attorney-client relationship in the absence of a fee agreement with Mr. Hillsberg.