The Georgia State Board of Workers’ Compensation just changed the game for calculating an injured associate’s average weekly wage by including custom bonuses. This move, which kicks in January 1, 2026, is a big deal for Atlanta law firms and their people. For anyone working in the city’s high-stakes legal field, this new interpretation fundamentally changes how compensation is figured out after a workplace injury.
Key Takeaways
- Heads up: Georgia’s State Board of Workers’ Compensation issued new rules, effective January 1, 2026, that count custom bonuses in the average weekly wage calculation for workers’ comp claims.
- Atlanta law firms need to change their payroll and benefits administration now to get these bonus structures right for their insurance premiums and any future claim payouts.
- If you’re an injured legal associate in Georgia, your claim needs to list every form of compensation, especially performance and custom bonuses, so you get the benefits you’re owed.
- Employers who don’t include custom bonuses when calculating wages are looking at penalties and possible lawsuits under O.C.G.A. Section 34-9-15.
Understanding the Amended Wage Calculation for Custom Bonuses
This whole thing started with an interpretive bulletin the Georgia State Board of Workers’ Compensation (SBWC) dropped on October 15, 2025. It expands the definition of “wages” under O.C.G.A. Section 34-9-1 (2026). Before this, figuring out whether bonuses counted towards the average weekly wage (AWW) was a constant source of fights, especially for the kind of non-standard, performance-based pay you see all the time in the legal world. The SBWC bulletin gets specific about “custom bonuses,” calling them any extra money an employee gets that’s tied to their performance or the firm’s, not just a Christmas bonus or a discretionary gift. This covers things like productivity bonuses, origination bonuses, and even year-end profit sharing if it’s a regular part of what an employee expects to earn, guaranteed or not.
The board’s logic is simple: workers’ comp is supposed to replace what you’ve lost in earning capacity. If a big chunk of an associate’s yearly income comes from these custom bonuses, leaving them out of the AWW calculation defeats the whole purpose. This is a material shift in how benefits are determined. Firms in competitive markets like Atlanta use these bonus structures to get and keep the best people. Ignoring those bonuses in a workers’ comp claim would mean punishing your top performers when they get hurt.
Who is Affected: Atlanta Firms and Injured Legal Associates
This policy change hits all Atlanta law firms, from solo shops to the big corporate practices in Midtown or Buckhead. Any firm with associates getting performance-based bonuses has to rethink its workers’ comp protocols now. That means reviewing your insurance policies to make sure your coverage is actually adequate for these higher wage calculations. If you don’t, you could be on the hook for underpaid premiums and a big liability headache when an associate files a claim. This could mean a substantial increase in the calculated average weekly wage for many associates, directly affecting the temporary total disability (TTD) rates.
For injured legal associates, this is good news. If you sustain a workplace injury, say, a slip-and-fall at your 191 Peachtree Tower office or a repetitive strain injury from long hours at the computer, your weekly benefits will finally reflect what you actually earn. It’s on you to be diligent. Document every dollar you get, including bonus structures, so it’s all counted in the claims process. An associate on a $50,000 salary who was also pulling in $20,000 in regular performance bonuses used to have their AWW based mostly on that $50k. Now, that $20,000 has to be included, which could boost their weekly benefit by hundreds of dollars.
Concrete Steps for Compliance and Protection
Georgia law firms need to act now to get compliant with the SBWC’s updated rules. First, you have to do a full review of all your compensation plans, especially for associates, and figure out which bonuses fit the new “custom bonus” definition. Then you’ve got to call your workers’ comp carrier and get your premium calculations adjusted, which will probably mean sending over new payroll records that break out the bonus payments. It’s also a good idea to be transparent with your employees about what this means for their benefits, maybe through an update to the employee handbook or a firm-wide memo.
You also have to make sure your HR and payroll people know exactly what’s going on. They need training on how to report wages accurately for workers’ comp, covering every single type of compensation. The State Board of Workers’ Compensation has all the forms and guidance you need on its website, sbwc.georgia.gov. Documenting everything correctly from day one makes the claims process smoother and cuts down on fights later. You should probably talk to a workers’ comp lawyer to make sure you’re working through this correctly and protecting the firm. It’s about creating a fair environment for your people, especially when they get hurt and are at their most vulnerable.
For injured associates, you have to be vigilant. When you file a claim, you must clearly spell out and document every source of income, including those custom bonuses. Collect your pay stubs, bonus statements, and your employment agreement, anything that spells out the bonus structure. If the insurance company or their administrator tries to calculate your average weekly wage without those bonuses, you have every right to fight it. Getting help from an attorney who specializes in Georgia workers’ compensation law can make all the difference in ensuring your claim reflects your true earnings and you get every penny you’re entitled to. The burden is usually on you to prove what you earned.
The Legal Framework: O.C.G.A. Section 34-9-1 and Beyond
The legal basis for this change is found in O.C.G.A. Section 34-9-1, which defines “average weekly wage.” That section lists what counts as earnings for workers’ comp. The SBWC’s new bulletin just clarifies what they consider “remuneration” and “gain” from a job. While the law itself didn’t change, the official interpretation has been stretched to cover modern pay practices, particularly in professional firms. The Georgia Court of Appeals has always said that workers’ comp laws should be interpreted broadly to help injured workers. This new guidance falls right in line with that thinking, stopping employers from gaming the system by shifting compensation into bonuses to keep AWW low.
Firms that don’t follow these rules are asking for trouble. Under O.C.G.A. Section 34-9-15, the board can hit you with penalties for underpaying benefits. Beyond that, fighting over AWW calculations can drag you into long, expensive litigation before the SBWC, racking up legal bills and administrative headaches. That kind of fight can also kill a firm’s reputation, especially in Atlanta’s tight-knit legal community. The Atlanta Bar Association is always talking about ethical employee treatment, and that definitely includes paying people fairly when they’re on disability.
The SBWC bulletin also pulls from old case law, even some Georgia Supreme Court decisions, that have wrestled with how to define wages. So while it’s not a new law, this administrative rule creates a single standard for something that was previously all over the map. The point of this standardization is to cut down on AWW litigation by making the rules clear from the start, a proactive step to bring some predictability to a very contentious part of the law.
Keeping up with these changes is a necessity for any firm in Georgia. The workers’ comp field moves fast, and interpretations like this one have real financial and operational consequences. You need to have someone regularly checking for updates from the SBWC and talking to experts to stay compliant. Your firm’s bottom line and your employees’ well-being are on the line.
This change to how custom bonuses are treated in workers’ comp is a major shift for Atlanta law firms. Getting ahead of these new guidelines by understanding and implementing them is the only way to ensure compliance, protect the firm, and give your people the benefits they deserve. A proactive approach will save you from future liabilities and build trust with your team.
What exactly is a “custom bonus” under the new Georgia workers’ compensation rules?
A “custom bonus,” according to the Georgia State Board of Workers’ Compensation, is any extra pay that’s directly tied to your performance or the firm’s. It’s not a random, discretionary gift. Think productivity bonuses, origination fees, or profit-sharing distributions that you regularly expect to earn, even if they aren’t technically guaranteed.
When did these new custom bonus rules take effect?
The new guidelines for including custom bonuses in the average weekly wage calculation became effective on January 1, 2026. This followed an interpretive bulletin that was issued on October 15, 2025.
How should Atlanta law firms change their workers’ comp insurance for this?
Atlanta firms need to review all their pay plans to see which bonuses now count as “custom.” After that, they need to contact their workers’ compensation insurance carrier. They’ll have to provide updated payroll records that break out these bonus payments so their premiums can be adjusted to cover the higher wage calculations.
What should an injured lawyer do to make sure their bonuses are included in a claim?
If you’re an injured associate, you need to be on top of this. When you file a claim, gather up all your pay stubs, bonus statements, and your employment contract that describes the bonus structure. If the initial wage calculation from the insurer leaves out your bonuses, you need to challenge it immediately. It’s a good idea to talk to a Georgia workers’ comp lawyer to make sure you get what you’re owed.
What happens to firms if they don’t include custom bonuses in wage calculations?
Firms that don’t comply can face penalties for underpaying benefits under O.C.G.A. Section 34-9-15. They also open themselves up to long, expensive legal battles before the State Board of Workers’ Compensation, which means legal fees, administrative costs, and a black eye for the firm’s reputation.
