There is a common misunderstanding that once an individual begins collecting disability benefits, he or she cannot work at all. Sadly, many Americans do not realize that this isn’t exactly true. Both Social Security Disability Insurance (SSDI) and Supplemental Security Income (SSI), the primary disability programs, allow limited work.
The question isn’t whether you can work and receive disability benefits, but how much you can work. If you have questions about disability benefits, reach out to a Texas disability benefits lawyer.
The Basics: SSDI Versus SSI
Before explaining how much you can work and still qualify for disability benefits, it helps to distinguish between the two programs.
SSDI provides disability benefits to those who have worked and contributed to Social Security. In other words, the amount of money that disability recipients will be paid is tied to their work history. Contributions to Social Security generally come in the form of Federal Insurance Contributions Act (FICA) Social Security tax paid on their earnings.
SSI, on the other hand, is a needs-based program for low-income disabled individuals. It provides cash assistance to those with limited means and resources. These recipients are not only unable to work but often have never been able to maintain gainful employment.
Working and Receiving SSDI
The Social Security Administration (SSA) encourages those who believe they can or may be able to work to attempt to do so. Eventually, these individuals may be able to become partially or totally self-sufficient. To facilitate this transition from disability to financial self-support, there are programs available. One of those is the Trial Work Program for SSDI recipients.
Under this program, an individual receiving disability can test their ability to work for at least nine months while still receiving their full disability benefits. This is true regardless of how much the recipient earns. Also, it is not required that the nine months be consecutive. An individual can accumulate nine months over the course of a rolling 60-month period.
If the recipient completes the trial work period, he or she enters the Extended Period of Eligibility (EPE). The EPE lasts 36 months, during which the SSA will evaluate the person’s work and earnings. The objective is to determine whether the recipient can work at a substantial gainful activity (SGA) earnings level.
Working and Receiving SSI
As mentioned above, SSI recipients often cannot work at all. Most of them can never meet or exceed SGA, which means they will remain eligible for disability. However, there are some relatively simple work incentive programs available to them.
The SSA provides what is called an Earned Income Exclusion. Under this exclusion, the SSA does not count:
- The first $65 of earnings an SSI recipient receives in a month; plus
- One-half of the remaining earnings when the SSA calculates the monthly SSI payment.
What this means is that the monthly benefit is based on less than one-half of the SSI recipient’s earnings. This is the case no matter how much those earnings are. The law does not require a trial work period or extended period of eligibility under SSI. If someone who is disabled becomes ineligible for SSI because of employment, they can usually restart SSI payments later without a new application.
A Texas Disability Benefits Lawyer Can Answer Your Question
The rules surrounding SSDI and SSI eligibility while working can be complex. Obviously, an individual will want to work if they can do so without losing the benefits they need. We’re here to help make that possible for you.
If you want to know more about working while collecting disability, reach out to Ascend Disability Lawyers, LLC. We can answer your questions and address your concerns. Contact us today at (855) 445-9787 for a free consultation.
