How is Pre-Judgment Interest Calculated in Wisconsin?

If a court awards you money, you may be entitled to pre-judgment interest on that money. Pre-judgment interest is interest on the amount of money that you are awarded, accruing from the first date that the amount was owed to you.

A judge will typically award pre-judgment interest in situations where the losing party was always aware of the exact amount that they owed to the winning party. In Wisconsin, pre-judgment interest accrues at a rate of five percent. Wisconsin Statute § 138.04; See Poling v. Wisconsin Physicians Service, 120 Wis. 2d 603, 612, 357 N.W.2d 293, 299 (1984).

For example, consider that Bob owes Maggie $1,500 in rent which was due in January 2011. If Maggie obtains a judgment in January 2012, a year later, then she can request pre-judgment interest since Bob knew the exact amount owed and due. If Maggie is awarded pre-judgment interest, she will collect the $1,500 as well as 5% interest on the $1,500 for the period of January 2011 to January 2012, amounting to $75 in this hypothetical. (Maggie may also receive post-judgment interest, but that is calculated at a different rate and determined differently.)

For further assistance in determining your potential recovery, contact the Alderman law Firm today for your free consultation by calling 720-588-3529 (CO) or 608-620-3529 (WI).

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