Guides / Average weekly wage
Guide · 5 min read

Average Weekly Wage (AWW): The Number Every California Comp Check Is Built On

How California computes average weekly earnings under Labor Code §4453: the four calculation methods, the two-thirds rule, the 2026 rails (TD $264.61–$1,764.11, PD $160–$290), why earnings fights move temporary disability but rarely move PD, and what counts when pay is irregular or comes from two jobs.

Before the rating string, before the impairment fights, one number gets set that scales everything: the average weekly wage. TD pays two-thirds of it. PD runs it against a cap. The life pension caps it a third way. Labor Code §4453 (text per leginfo, checked July 2026) decides how it’s computed — and rails computed by the engine decide what it turns into.

The four ways §4453(c) computes it

(1) Regular full-time — 30+ hours and five+ days a week: working days per week × daily earnings at the time of injury. (2) Two or more employers — earnings aggregate across all jobs held at or about the time of injury (the other jobs counted at no higher an hourly rate than the injury job paid). (3) Irregular pay — piecework, commission, weekly/monthly salary: actual earnings averaged over a convenient period, up to one year. (4) The catch-all — under 30 hours, or wherever the first three can’t “reasonably and fairly” apply: 100% of average weekly earning capacity. That last phrase is where most AWW litigation lives — earning capacity, not just the last paycheck.

Two-thirds, between rails

weekly rate = 2⁄3 × AWW — then clamped to the year’s minimum and maximum

The 2026 rails, engine-computed: TD runs from $264.61 to $1,764.11 a week (the max binds at AWW $2,646.17); PD runs from $160 to $290 (max binds at AWW just $435). Points on the curve: AWW $300 pays TD $264.61 (the minimum props it up) and PD $200; AWW $600 pays TD $400, PD $290; AWW $1,200 pays TD $800 — PD still $290. Every year’s caps: the rates page.

Why TD fights are money fights — and PD fights usually aren’t

Because the caps sit so far apart. Nearly every full-time worker clears $435 AWW, so the PD rate pegs at $290 no matter what overtime, tips, or the second job add — the PD dispute is about the percentage, not the wage. TD is the opposite: two-thirds of every AWW dollar up to $2,646.17 lands in the weekly check, so an AWW understated by $300 quietly shorts the worker $200 every week of temporary disability. When earnings records are thin, method (4)’s earning-capacity standard is the lever.

What counts

The aggregate rule means the second job counts — routinely missed because the carrier only sees the injury employer’s payroll. Irregular earners — pieceworkers, commission sales, seasonal trades — average over up to a year rather than being priced off a slow month. And where a worker was on a temporarily low wage (apprentice rates, reduced hours) the capacity standard asks what the work is genuinely worth weekly, not what the last stub happened to say. Disclose everything; the AWW is set once and echoes through every benefit and the §4650 payment clock.

Rails assume the stated year; figures scale with actual earnings between them. Estimates for informational use; not legal advice.

Rate your spine right here

Same engine as the tables above — pick your occupation and age, slide the WPI from the report, and carry it into the full calculator when you’re ready.

Loading the engine…

FAQ

What is AWW in workers’ comp?
Average weekly wage — the earnings figure, set under Labor Code §4453, that nearly every indemnity benefit is computed from. Temporary disability pays two-thirds of it, subject to annual minimums and maximums; permanent disability uses it against a much lower cap; the life-pension formula caps it separately. Get the AWW wrong and every check downstream is wrong.
How is average weekly wage calculated in California?
Four methods under §4453(c). (1) Regular full-time work — 30+ hours and five+ days a week: working days per week times daily earnings at injury. (2) Two or more employers around the time of injury: the earnings aggregate across all jobs. (3) Irregular pay — piecework, commission, or pay set by week or month: actual weekly earnings averaged over a convenient period up to one year. (4) The catch-all — under-30-hour work or any case where the other methods can’t fairly apply: 100% of what reasonably represents the worker’s average weekly earning capacity.
What is the maximum TD rate for 2026?
Engine-computed against the statutory schedule: temporary disability pays two-thirds of AWW between a $264.61 weekly minimum and a $1,764.11 weekly maximum for 2026 dates of injury — the max binds once AWW reaches $2,646.17. The TD rails move every January 1 with the State Average Weekly Wage; the permanent-disability rails do not.
Does a second job count toward workers’ comp benefits?
Yes. Under §4453(c)(2), when a worker holds two or more jobs at or about the time of injury, average weekly earnings aggregate across all of them — with the statute limiting the other jobs’ earnings to no higher an hourly rate than the injury job paid. Workers routinely leave this money unclaimed because the claims administrator only sees the injury employer’s payroll; disclose the second job.
Why is the PD rate so much lower than the TD rate?
Different caps. For 2013+ injuries the PD weekly rate tops out at $290 — a ceiling reached at just $435 of AWW — while the TD maximum ($1,764.11 for 2026) doesn’t bind until $2,646.17. Almost every full-time worker maxes the PD rate, which is why earnings disputes move TD money substantially but rarely change the PD check at all.
More in “Start here
How PD is calculatedReading a rating stringWhat a rating is worthWhat comp paysLife pensionSettlement valueTD vs PD
Rate a real case — free
Every step in this guide, computed for you in under a minute.
Open the calculator
Settlement calculatorDeadline calculatorMoney chartString decoderCombine ratingsThe 2005 PDRSAll twelve tools
Life pensionAll guides