How Much Does Disability Pay in New Jersey?
Understand how financial support is calculated for New Jersey residents facing an inability to work due to disability or specific life events.
When New Jersey residents are unable to work due to a health event or family care need, state programs offer financial support. These programs provide wage replacement to alleviate financial strain. This article explains how benefit amounts are calculated for New Jersey’s Temporary Disability Insurance, Family Leave Insurance, and Workers’ Compensation programs.
New Jersey Temporary Disability Insurance Benefit Amounts
New Jersey Temporary Disability Insurance (TDI) provides partial wage replacement to eligible employees temporarily unable to work due to a non-work-related illness, injury, or disability, including pregnancy and childbirth. This program supports individuals when they cannot perform job duties for medical reasons. Eligibility requires an employee to have worked at least 20 weeks earning a minimum of $303 per week, or a total of $15,200 in the four quarters preceding the leave, known as the base year.
The weekly TDI benefit is 85% of an individual’s average weekly wage (AWW). For 2025, the maximum weekly benefit is $1,081. The benefit is capped at 70% of the current State Average Weekly Wage (SAWW). A seven-day waiting period typically applies before benefits begin, though this period may be waived for certain public health emergencies or covered after 22 consecutive days of disability.
The average weekly wage for TDI is determined by reviewing earnings from the first four of the last five completed calendar quarters prior to the claim date. This period constitutes the base year.
TDI benefits can be received for a maximum of 26 weeks within any 52-week period. New Jersey offers both a State Plan and Approved Private Plans for TDI; benefit calculation methods are generally consistent between them. Receiving payments from other programs, like Workers’ Compensation or Social Security Disability, can impact TDI benefits, potentially leading to a reduction or ineligibility for concurrent payments. Reduced TDI benefits are available if an individual returns to work on a partial basis, covering the difference between their partial wages and what they would have received if fully disabled.
New Jersey Family Leave Insurance Benefit Amounts
New Jersey Family Leave Insurance (FLI) provides wage replacement benefits to eligible workers needing time off for specific family-related reasons. These include bonding with a new child (birth, adoption, or foster placement), caring for a seriously ill family member, or handling matters related to domestic or sexual violence. FLI benefits support employees during these important life events, allowing them to tend to family needs without a complete loss of income.
The calculation method for FLI benefits mirrors that of Temporary Disability Insurance. Claimants receive 85% of their average weekly wage (AWW). For 2025, the maximum weekly benefit for FLI is $1,081, aligning with the TDI maximum. The average weekly wage is determined using the same base year criteria as TDI. There is no waiting period for FLI benefits.
FLI benefits can be received for a maximum of 12 consecutive weeks within a 12-month period if taken continuously, or up to 56 individual days (8 weeks) if taken intermittently. The definition of a “family member” under FLI is broad, encompassing spouses, children, parents, parents-in-law, siblings, grandparents, grandchildren, domestic partners, and chosen family. Benefits are generally not payable for periods during which an employee receives paid sick leave, vacation time, or other employer-provided leave at full pay.
New Jersey Workers’ Compensation Benefit Amounts
New Jersey Workers’ Compensation provides benefits for employees who suffer work-related injuries or illnesses. This system offers both wage replacement and medical benefits, ensuring injured workers receive necessary care and financial support during their recovery. Workers’ Compensation benefits differ from other disability programs because they specifically address work-related incidents, operating under a no-fault insurance system.
Workers’ Compensation involves different types of benefits, each with distinct payment calculations. Temporary Total Disability (TTD) benefits are provided when a worker is temporarily unable to work due to a job-related injury or illness. These benefits are calculated at 70% of the injured worker’s average weekly wage (AWW).
The AWW for Workers’ Compensation is generally determined by averaging weekly pay over the eight calendar weeks prior to the disabling injury, and it includes various forms of compensation such as tips, bonuses, commissions, and overtime. These benefits typically begin after a seven-day waiting period, unless the worker is out of work for more than 14 days, in which case the first seven days are paid retroactively. TTD benefits continue until the worker returns to work, reaches maximum medical improvement, or for a maximum of 400 weeks.
Permanent Partial Disability (PPD) benefits compensate for a permanent impairment resulting from a work-related injury, rather than lost wages. The payment amount is determined based on a schedule of losses or a percentage of disability, reflecting the loss of function of a body part. For instance, injuries to scheduled body parts like arms, legs, hands, feet, fingers, toes, eyes, ears, or teeth have specific weeks of compensation assigned. Unscheduled losses, which involve other parts of the body such as the back or heart, are more complex to calculate and often require medical evaluation to determine the extent of impairment. These benefits are paid weekly after temporary disability payments conclude.
Permanent Total Disability (PTD) benefits are for injuries that result in a complete and permanent inability to work. The calculation rate is similar to TTD, at 70% of the average weekly wage, subject to state maximum and minimum thresholds. PTD benefits are initially provided for a period of 450 weeks and may continue beyond that if the injured worker can demonstrate they remain unable to earn wages. Medical benefits, which cover treatment, prescriptions, and rehabilitation services, are also a component of Workers’ Compensation, but these are payments made directly to healthcare providers, not cash benefits to the worker.
Factors like pre-existing conditions can influence the final calculated benefit amount in Workers’ Compensation cases. New Jersey law allows workers to receive benefits if a job-related injury aggravates an existing condition. While a pre-existing condition does not automatically disqualify a claim, proving that the work environment or duties worsened the condition requires strong medical evidence. If a work injury exacerbates a prior condition, medical care and lost wages for that aggravation are covered.