(1) As used in this act, “after-tax average weekly wage” means average weekly wage as defined in section 371 reduced by the prorated weekly amount which would have been paid under the federal insurance contributions act, 26 U.S.C. § 3101 to 3126, state income tax and federal income tax, calculated on an annual basis using as the number of exemptions the disabled employee‘s dependents plus the employee, and without excess itemized deductions. Effective January 1, 1982, and each January 1 thereafter, the applicable federal and state laws in effect on the preceding July 1 shall be used in determining the after-tax weekly wage.
    (2) Each December 1 the director shall publish tables of the average weekly wage and 80% of after-tax average weekly wage that are to be in effect on the following January 1. These tables shall be conclusive for the purpose of converting an average weekly wage into 80% of after-tax average weekly wage.

Ask a workers compensation law question, get an answer ASAP!
Thousands of highly rated, verified workers compensation lawyers.
Claims, medical treatment, disability payments, termination, and more.
Get help with workers' comp forms, benefits, or employers' responsibilities
Click here to chat with a lawyer about your rights.

Terms Used In Michigan Laws 418.313

  • after-tax average weekly wage: means average weekly wage as defined in section 371 reduced by the prorated weekly amount which would have been paid under the federal insurance contributions act, 26 U. See Michigan Laws 418.313
  • average weekly wage: means the weekly wage earned by the employee at the time of the employee's injury in all employment, inclusive of overtime, premium pay, and cost of living adjustment, and exclusive of any fringe or other benefits which continue during the disability. See Michigan Laws 418.371
  • director: means the director of the bureau or his or her duly authorized representative. See Michigan Laws 418.201
  • employee: means :
    (a) A person in the service of the state, a county, city, township, village, or school district, under any appointment, or contract of hire, express or implied, oral or written. See Michigan Laws 418.161
  • state: when applied to the different parts of the United States, shall be construed to extend to and include the District of Columbia and the several territories belonging to the United States; and the words "United States" shall be construed to include the district and territories. See Michigan Laws 8.3o