How Much Money Will I Get From Social Security For My Disability
When I meet with potential clients, one of the questions I am often asked is How much I am going to get from Social Security for my disability?
Most clients need to know what their Social Security benefit amount will be. Heres my lawyer answer – It depends.
How much money you get on disability will depend on a number of things. These things include:
- If SSDI, how much did you earn and pay in taxes?
- If SSDI, do you have dependent children?
- If SSI, do you have any other income?
- If SSI, are you receiving room and board for free from family or friends?
Extended Period Of Eligibility
If you earn more than $940 per month during your nine-month trial work period but less than $1,310, you can qualify for an extended period of eligibility after your trial work period. This extension lasts for an additional 36 months. Youll remain eligible to receive SSDI benefits every month, but you will not receive a payment for any month in which you earn more than 2021 SSDI income limits .
If, after your 36-month extended period of eligibility, you continue to earn more than $1,310 in one month, your SSDI benefits will lapse. The good news is that, even if you do end up losing your benefits after an extended period of eligibility, youll be able to get approved for benefits much more quickly if youre unable to work again in the next five years. With Expedited Reinstatement of benefits, your condition will be reviewed again, but youll start receiving monthly payments immediately in the interim.
Can You Receive Retroactive Payments
Once the SSA approves your SSDI application and calculates your monthly benefit, you may be entitled to a back pay award. How many months of payments you will receive will depend on the date you applied for benefits and your disability onset date.
If you are applying for SSDI benefits, you need the assistance of a skilled Social Security disability lawyer to get your application approved and receive the benefits you deserve. To schedule a free consultation with a member of our legal team, fill out the online form on this page or call our Roswell office today.
Recommended Reading: How To Calculate Disability Retirement Pay
How Your Ssdi Payments Are Calculated
The severity of your disability will not affect the amount of SSDI benefits you receive. The Social Security Administration will determine your payment based on your lifetime average earnings before you became disabled. Your benefit amount will be calculated using your covered earnings. These are your earnings at jobs where your employer took money out of your wages for Social Security or FICA.
Your SSDI monthly benefit will be based on your average covered earnings over a period of time, which is referred to as your average indexed monthly earnings . The SSA uses these amounts in a formula to determine your primary insurance amount . This is the basic amount used to establish your benefit.
SSDI payments range on average between $800 and $1,800 per month. The maximum benefit you could receive in 2020 is $3,011 per month. The SSA has an online benefits calculator that you can use to obtain an estimate of your monthly benefits.
How Many Hours Can I Work While On Ssdi
Home » FAQs » Social Security Disability » How Many Hours Can I Work While On SSDI?
To receive Social Security Disability Insurance benefits, you must meet specific criteria. If you are earning money, you can only make up to a certain amount to qualify for benefits. For most people, how many hours you work doesnt count as much as how muchyou earn per month on SSDI.
The Social Security Administration will determine whether youre engaging in substantial gainful activity . SGA means:
- You are earning more than a certain monthly amount .
- For 2020, the SGA amount is $1,260 per month. For blind individuals, the SGA is $2,110 per month.
- Its essential to check the SGA each year, as it can increase.
Most of the time, how much you earn matters more than work hours. However, there are exceptions.
Recommended Reading: How To Get 100 Percent Va Disability
Eligibility For Disability And Working
An applicant for disability benefits through the Social Security disability insurance or SSI programs must be making less than $1,260 per month to qualify for benefits. . Anyone working above those limits is considered to be doing “substantial gainful activity” .
However, people who are currently receiving SSDI who attempt to return to work can make more during a trial work program. A month counts as a trial work period month when an SSDI recipient makes more than $910 per month .
For people who are receiving SSI, the new federal income limit for SSI is $783 per month, but complicated rules govern what income is countable and what income is not. Over half of the income made by an SSI recipient is not counted toward the limit, so you can actually receive SSI until you make up to $1,650 per month . However, any income received between $0 and $1,650 will reduce the monthly benefit. In some states that make extra payments to SSI recipients, the income limit for SSI recipients may be higher.
The income exclusion amount for students receiving SSI is now $1,900 per month .
Ssi Vs Ssdi Whats The Difference
To be eligible for either program, the Social Security Administration first determines if applicants are disabled using a specific definition.
According to the SSA, disabled means applicants:
- Are totally disabled .
- Cant do work they previously could before the disability.
- Are unable to adjust to other work because of a medical condition.
- And the disability has lasted for at least one year or will result in death.
Beyond this definition, the programs vary greatly.
Sometimes even beneficiaries dont get the distinction between the two, says Kathleen Romig, a Social Security policy expert at the Center on Budget and Policy Priorities. And the work rules are totally different.
Recommended Reading: Is A Food Allergy Considered A Disability
Earning More Than The Annual Limit
You wont get an assistance payment if:
- You reach your annual limit and
- Your monthly earnings continue to be over assistance rates
You may be able to continue to get medical and transportation benefits. You wont lose your Persons with Disabilities designation.
Find out if you’re eligible for supports if you are no longer receiving disability assistance.
You should continue to submit your monthly report form each month if you reach your annual limit. This will make it easier for you to get disability assistance when youre eligible. If you continue to submit your monthly report forms, you may be able to receive disability assistance without having to reapply:
- If your earnings fall below disability assistance rates
- When you are eligible for a new earnings exemption limit in the new calendar year
If you do not continue to submit your monthly report form each month after reaching your annual limit, you will need to reapply for assistance.
Will I Lose My Social Security Disability Or Ssi Benefits If I Work
Rules for disability benefits are completely different from retirement benefits. In order to collect disability, the Social Security Administration requires that you no longer be able to engage in what’s known as substantial gainful activity. For 2021, that means earning no more $1,310 per month unless you’re blind, in which case a $2,190 monthly limit applies.
Unlike the retirement benefit rules, there’s no phaseout for losing disability benefits. Earn a single $1 above the limit, though, and you lose every penny of what you get from Social Security Disability. If you make less than the amounts above, then you keep full benefits, but, if you make more, then you lose all of your disability benefits.
However, Social Security allows disabled workers a nine-month trial period to test their ability to work. During this period, you’re allowed to collect your full benefit no matter how much you earn, as long as you report the income and still have a disability.
If you receive Supplemental Security Income , your benefits are reduced by $0.50 for every dollar you earn above $85 in 2021.
You May Like: Do You Accrue Pto While On Short Term Disability
You Wont Receive 2020 Ssdi And Ssi Benefits If You Dont Apply
But applying for any government benefit is difficult. The forms can be confusing, and deadlines are easy to miss. Also, you will have to give Social Security a lot of information about yourself and your dependents, in addition to numerous supporting documents.
For a free consultation with an experienced Social Security attorney, consult with an attorney at The Law Offices of Martin Taller. Call us at 714-385-8100. From our home office in Anaheim, we represent clients throughout Southern California.
Certain Ssa Guidelines Determine Your Monthly Benefits
The SSA provides recipients and potential recipients with an online benefits calculator. With it, you can estimate the amount of current and future monthly benefits you might be able to receive.
SSA guidelines may also allow you to work on a trial basis to determine your ability to return to gainful employment. If you earn more than $1,260 per month in 2020, the SSA considers this substantial income. This is the amount you can earn without jeopardizing your disability benefits. If you receive disability due to blindness, your earnings cap is $2,110 in 2020.
- Prescription copayments
- Transportation to and from work
- Necessary personal attendants
- Wheelchair or other assistive devices
These and other allowable deductions can mean the income you earn from gainful employment lets you enjoy the benefits of working while also receiving the disability benefits.
You can review your benefits, employment income, and allowable deductions with your lawyer, who can help ensure your willingness to work does not put your benefits at risk.
For a legal consultation, call
Also Check: How To Calculate Disability Retirement Pay
Qualify And Apply For Disability Benefits
According to the SSA, you should qualify for Social Security Disability Insurance benefits if:
- Your previous employment participated in the Social Security program
- Your medical condition meets SSAs definition of medical or mental disability
In addition to these two criteria, you must have a disability that prevents you from participating in your previous form of employment. Your disability must prevent you from adjusting to or accepting other forms of employment. Finally, your disability must be expected to have a duration of at least one year or be expected to result in death.
If you meet these criteria, SSA administrators may then use a step-by-step process to determine your eligibility. You may be asked the following five questions:
- Are you working?
- Is your condition on the disability list?
- Can you do the work you did previously?
- Can you do any other type of work?
SSA administrators also consider your disability, age, education, previous work experience, and other factors. Special conditions may apply if you are blind, have low vision, are the surviving spouse of a qualified worker, a disabled child, or a veteran. Speak to your lawyer about how these conditions might affect your eligibility for benefits.
How Is The Amount Of Social Security Disability Benefits Calculated
The social security disability amounts vary for each individual. Calculating social security disability benefits often requires the Social Security Agency to evaluate your Average Indexed Monthly Earnings in addition to your Primary Insurance Amount . Depending on how high your AIME was, a social security disability benefits amount calculator may calculate a higher amount for you.
The AIME is used to estimate social security disability benefits by adjusting or indexing your earnings to reflect the general wage increases throughout the years you were employed or worked. The AIME is crucial to demonstrate an increase in your benefits and ensure the rise in earnings reflects your benefits. The SSA looks at up to thirty-five years of your work history, then uses the social security disability income calculator to calculate the years with the highest indexed earnings divided by the total months of those years.
For SSDI, the average lifetime earnings before your disability are the only factor for calculating your social security disability benefit amount. Therefore, the severity of your disability is not included in the calculation. Once your AIME is calculated, the SSA then uses that number in a formula that calculates your PIA. The PIA is the key factor in the calculation and acts as the base amount for your social security disability monthly payment.
The SSA uses a PIA formula that calculates the sum of:
Recommended Reading: Average Disability Check
Ticket To Work Program
The SSAs Ticket to Work program allows you to continue receiving monthly benefits while also working. You can work in your previous job or even try out a different job in a new industry.
The only thing you need to do to qualify for this program is notify your local Social Security office of your interest in obtaining at Ticket to Work. After you get your ticket you can begin looking for a job. Then, you will report your earnings to the SSA for as long as you continue to work.
It is vital to report your return to work to the SSA before you earn your first paycheck. If you fail to take this step, the SSA may assume you are no longer disabled and schedule you for a re-examination of your qualifications or cancel your benefits outright.
How Much Income Can I Earn While Drawing Social Security Disability In 2020
While you cannot earn over $1,260 per month to be approved for social security disability, the rules change if you are approved in terms of what you are allowed to make while drawing disability. Typically, if you are receiving social security disability benefits, you are likely not working anymore, BUT that doesnt mean you cant work. You are allowed to work and make money, BUT within a certain threshold. This is considered a trial work period.
For 2020, you can only early $910 per month during a trial work period while receiving social security disability benefits. If you earn less than $910, SSA will not count that month as a trial work period. Earning more than the $910 per month consistently, for a certain number of months, could cause your benefits to be discontinued. Since all earned income while drawing disability needs to be reported to SSA, earning too much will be flagged and counted. Also, if you decide to work while on social security disability, your inability to work a job which has a regular wage could come into question, which would lead to a re-evaluation of your benefits. If you are currently on social security disability benefits and thinking about working to earn additional income, it would be best you speak with an attorney first.
Also Check: Can I Still Work With 100% Va Disability
Social Security Disability Insurance
Social Security Disability Insurance is for people who qualify as disabled and have paid enough Social Security taxes through past employment to reap additional benefits.
SSDI recipients are also allowed to work, and the rules are more lax because they have paid taxes into the system for much longer.
This program isnt for low-income people, per se. But there are monthly limits on how much income someone can earn from a job: $1,260 a month or $2,110 for blind workers. Income and assets outside work earnings are unlimited.
The benefits for the SSI folks are different because they didnt pay into the system, says Paula Vieillet, CEO of My Employment Options, a national employment network and advising company for people on Social Security assistance.
The Trial Work Period
The first nine months you work and earn more than $840 per month is the trial work period. During this time, there is no cap on how much you can make. Only months where you make at least $840 count toward this nine-month trial work period and you can subtract any extra expenses related to your impairments from your earnings.
This means if you earn $875 per month but pay $40 every month for adaptive equipment, your earnings are only $835 per month. Since you would not meet the $840 threshold, you could continue to receive benefits indefinitely while working. If you receive a raise and make $950 per month, those months will start to count towards the trial work period.
In jobs where you do not earn a set salary, you may have some months where you exceed the $840 total and some months that you do not reach it. You will remain in the trial work period until you have earned more than $840 for nine months. The nine months do not need to be consecutive to count.
Also Check: 90 Percent Va Disability Benefits
How Many Hours Can I Work On Disability 2020
Social Security typically allows up to 45 hours of work per month if youre self-employed and on SSDI. That comes out to around 10 hours per week. The SSA will also see whether or not youre the only person working for your business. You must not be earning SGA, along with not working too many hours.
The Social Security Administration Has Announced A 16% Increase In Ssdi And Ssi Benefits For 2020
By Bethany K. Laurence, Attorney
The Social Security Administration has announced a 1.6% increase in Social Security and Supplemental Security Income benefits for 2020, a significantly smaller cost-of-living increase than the year before. Increased payments to Social Security recipients begin January 1, 2020, while increased payments to SSI recipients begin on December 27, 2019. Other numbers regarding eligibility for disability and average benefits have also changed for 2020.
Recommended Reading: How Much Can You Earn While On Social Security Disability