EMPLOYMENT LAW CALCULATORS

Mitigation Income Offset Calculator — United States

See how interim earnings reduce back-pay damages in a wrongful termination or discrimination claim through the duty to mitigate.

$
The reasonable notice or back-pay period being claimed.
$
Gross monthly income from replacement employment.
How many months into the notice period you began the new job.
$
Any contractual/statutory amount not subject to mitigation (often $0 for at-will employees).

Enter your details to see results

Disclaimer: In US wrongful termination and discrimination cases, back-pay awards are reduced by interim earnings the plaintiff earned or reasonably could have earned. The defendant must prove failure to mitigate. This is an educational estimate, not legal advice.

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Frequently Asked Questions

Does mitigation apply to US employment claims?
Yes. In wrongful termination, discrimination (Title VII, ADEA, ADA), and similar claims, a plaintiff has a duty to mitigate by seeking substantially equivalent employment. Back-pay and front-pay awards are reduced by interim earnings, and by amounts the plaintiff could have earned with reasonable diligence.
What earnings offset a back-pay award?
Actual earnings from replacement employment during the back-pay period are deducted. Unemployment benefits are treated differently by jurisdiction — some courts deduct them (collateral source), many do not. Amounts the plaintiff could have earned with reasonable effort may also be deducted if the employer proves a failure to mitigate.
Do I have to take any available job?
No. You must seek substantially equivalent employment — comparable in pay, status, and duties. You need not accept a demotion, a demeaning role, or a position requiring an unreasonable relocation. Reasonable, diligent job-search efforts satisfy the duty; perfection is not required.
Who proves failure to mitigate?
The employer (defendant) bears the burden of proving the employee failed to mitigate — by showing that substantially equivalent jobs were available and that the employee did not make reasonable efforts to obtain one. If the employer meets this burden, the back-pay award is reduced accordingly.

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