Get Reimbursed for Your Losses with Skilled Damage Calculations
Damage calculations are an integral part of any case. When awarded, they can allow the injured party to be reimbursed for the losses that were experienced, but they can go beyond simple damages. Skilled damage calculations can also include additional compensation to help the plaintiff get their life back on track after the proceedings are over.
The trick is determining the right totals for the damage calculations in your case. It sounds simple, but nothing could be further from the truth. With so many things to consider, it is essential that you hire a qualified CPA for the job.
Considering all components of a loss
When it comes to economic loss calculations, some amounts should very obviously be considered. However, there is a wide range of additional losses that can be calculated, depending on your unique situation. Your damage calculations can include:
- Income losses
- Payroll losses
- Replacement of materials or supplies
- Expenses needed to continue operations
- Loss of supporting expenses
- Medical expenses
- And more
Each and every situation is unique, which is why hiring an experienced team of CPAs is a must. The right accountant will be able to come up with accurate economic loss calculations and damage calculations, helping you identify costs that you may otherwise not have considered.
Individual and business losses
There are many different situations that require damage calculations, so finding a flexible CPA with years of experience with the legal system is essential.
A skilled accountant is able to calculate losses for both individuals and businesses experiencing a wide array of legal situations.
Personal cases may include:
- Personal injury
- Wrongful death
- Wrongful discharge
Business litigation may include:
- Accounting malpractice
- Breach of contract
- Intellectual disputes
- Issues of security
- Franchisee and franchisor disputes
- And more
Comprehensive litigation support
Damage calculations are essential in any case, but a qualified team of CPAs can provide you with more comprehensive support.
If you’re looking for forensic accounting services in addition to damage calculations, give us a call. Our team has decades of experience assisting clients in a wide range of legal situations. We can provide you and your attorney with the damage calculations you need to receive a positive outcome in your case.
Damage calculations FAQ
What guides a professional CPA to a reasonable calculation of damages?
The key to damage calculations is to make sure they are relevant to your case. Ask for too much, and you run the risk of appearing to be overzealous. Not enough and you won’t get the funds you need to get back on track.
There are a few questions that a professional CPA uses to come up with reasonable and adequate damage calculations.
- “What would life have been like economically for the plaintiff had the event not occurred?”
- “What do we expect life to be like now?”
- “Is asking for damages and additional funds necessary?”
By answering these questions, a professional CPA can come up with accurate damage calculations.
Can any CPA provide accurate economic loss calculations?
Although any qualified CPA will be able to crunch the numbers in your case, only CPAs with direct experience with the legal system and calculating losses will be able to give you the full picture. They have additional knowledge that includes:
- Theoretical damage issues and concepts
- Damage calculation methodologies, approaches, and techniques
- Professional standards and legal principles regarding litigation
If you need to have economic damages calculated, it’s best to seek the help of a professional CPA with experience in this area.
How are losses calculated?
Each CPA follows a specific set of rules when it comes to calculating losses, and each CPA may do things a bit differently, but the process can be broken down into two chunks.
First, losses prior to the trial are calculated. In many cases, this is just a numbers game. Your accountant will work with you to identify all the areas in your personal and professional life where losses were experienced. Many of these losses are obvious, but in some cases, they aren’t as obvious as you might think. Loss mitigation is one of these areas. In addition, there may be statutorily defined parameters that will need to be considered, making the assistance of a professional absolutely necessary.
Second, a professional CPA considers future losses, which can be a difficult total to obtain. This total can include any number of things, so working closely with a professional accountant who knows the right questions to ask is essential.
In addition, loss calculations take other important factors into consideration that include:
- The individual or company’s earning capacity
- Fringe benefits lost
- Mitigating income
- And more
Does my case have to go to trial in order for me to be awarded damages?
It isn’t uncommon for cases to be settled out of court, but that doesn’t mean a professional CPA is any less relevant. In order to reach an agreement outside the courtroom, it’s extremely important to show that you’ve done your research and have accurate damage calculations. A reasonable total can help keep you out of the courtroom.