Economic loss in NSW personal injury matters is calculated on a net wage basis, after income tax. Getting the net figure right requires applying the correct tax rates for each financial year — and since those rates changed in 2024, outdated tables will produce incorrect results.

Inflation affects how past losses are measured, how statutory amounts are updated, and how future losses are projected. Getting indexation right is not a minor detail — in long-running matters, it can make a meaningful difference to the final damages figure.

Australia's income tax rates changed from 1 July 2024, with the second marginal rate falling from 19% to 16%. This directly affects how net wages are calculated in economic loss reports and must be correctly applied to assessments covering the 2025 and 2026 financial years.

Interest on damages under the Civil Liability Act 2002 operates differently from the standard pre-judgment interest regime. It uses the Commonwealth Government 10-year bond rate and can add a substantial sum to a past loss assessment when applied correctly.

Non-economic loss damages are calculated differently depending on which legislation applies to the claim. The Motor Accidents Act and the Civil Liability Act use different maximum amounts, and applying the wrong framework can significantly affect the outcome.