HomeExclusiveNegatives Of Getting Social Security Disability

Negatives Of Getting Social Security Disability

What Happens If Youre Found Guilty Of Disability Fraud

Top 8 Ways to Get Approved for Social Security Disability

If youre convicted of disability fraud, you can face up to five years in prison, a $250,000 fine, or both.

According to disability fraud statistics, jail time can amount to up to 10 years, and fines can go as high as $7,500 per false statement for medical professionals, representatives, and other authorized figures participating in disability fraud.

Also Check: Can You Open Bank Account Without Social Security Number

Sometimes Disability Benefits Can Be A Bad Thing

Social Security Disability Insurance is a federal program that provides cash assistance to people with disabilities who are unable to participate in sustained gainful activities. Unlike some programs, like Supplemental Security Income and Medicaid, SSDI provides benefits to people regardless of their financial circumstances. Because SSDI is an insurance program that most workers contribute to through payroll taxes, as long as an SSDI recipient is not earning much money from working, he can have unearned income and unlimited resources and still receive SSDI. On top of the cash benefit, people receiving SSDI also qualify for Medicare benefits once they have been eligible for SSDI for 24 months.

All this makes SSDI an attractive government benefit, but there is a serious drawback. If you are receiving SSI or Medicaid benefits, which do have very strict income and resource limits, receipt of SSDI could cause you to lose your SSI or Medicaid benefits. In some cases, the cash benefit provided by SSDI can’t come close to making up for the loss of Medicaid.

Unfortunately, SSDI benefits are countable income for Medicaid and SSI purposes, so someone receiving Medicaid who then begins to receive SSDI could be over income and lose his Medicaid coverage. Because Medicare benefits don’t begin until 24 months from the SSDI eligibility date, a person who loses Medicaid due to SSDI could be without health insurance for a substantial period of time.

Local Special Needs Planners in Your City

Receiving Disability Benefits Can Take Longer Than You Think

When I was diagnosed with polyarticular juvenile idiopathic arthritis at 18, I had no clue how it would impact my health, let alone ability to work. I was about to attend college, and I would later intern and start working full-time in a corporate office job. For the first few years after my diagnosis, I was doing okay, but I struggled with a limited range of motion in my right wrist, certain parts of both hands, and my right elbow.

Losing any sort of mobility in your upper extremities such as your hands, wrists, elbows, and shoulders is extremely disabling. We use these parts of our bodies for the simplest of tasks that we dont think twice about until you cant do them with ease anymore. My parents and I were concerned that things were going to keep getting worse.

The first time my parents applied on my behalf in 2007 because I was a minor I was denied because I wasnt seen as disabled enough. Apparently, the proof sent in by my medical doctors didnt qualify me. But a rejection letter took months to arrive. It took until 2008 to get the official denial decision, and by then I was four years into my diagnosis.

In the years after I graduated, my health continued to have its up and downs until I hit a rough patch and working a typical 9-to-5 job became unbearable. As I was still a minor and under my parents insurance until I turned 26, they applied on my behalf yet again in 2011 our second attempt.

Also Check: Social Security Disability Earnings Limit 2022

Why Does Social Security Disability End

The most common reasons that SSDI ends include:

  • You return to work.
  • Your disabling condition improves.
  • You serve jail or prison time.

If any of these things happen, the SSA could stop your benefits. It will depend on the details of what changes and when. When your benefits go under review also matters. The SSA will discontinue your benefits if they determine you are no longer disabled.

You could get a review every 18 months, three years, or seven years. If your doctor expects your condition to get better, the SSA will review your case more often than others on SSDI.

If you are in jail for over 30 days, the SSA will stop your SSDI benefits. However, you might be able to restart your benefits after you get out of jail.

When Does Disability Pay More Than Social Security

The Negatives in your Social Security disability case a/k/a The Case ...

Your PIA is the amount youd receive if you were to qualify for disability benefits. Its not that simple with Social Security benefits, however. While youre technically eligible to begin taking Social Security benefits at age 62, you wont receive your PIA until your full retirement age , which will fall somewhere between 66 and 67. At 62, your benefit amount would be only 70% of your PIA, increasing gradually until you reach your FRA.

Full Retirement Age
1960 and later 67

This means that between 62 and your FRA, your disability benefit would be higher. And theres an additional benefit to taking disability: By electing for disability instead of Social Security, you allow your Social Security benefit to continue growing.

This disparity is even greater if you happen to become disabled after you turn, say, 63. The reason here is that your Social Security benefits will be determined by your PIA for the year you turn 62, while your disability benefits would be calculated with your PIA for the next year. Provided your AIME is the same or higher, then your PIA for the later year will be higher.

Don’t Miss: Can I Go To Any Social Security Office

Whom Does Social Insurance Benefit


Eligibility varies widely for programs depending on a programs goals, target population, and administration. The target population might be people with work records, current workers, children, families with children, people with disabilities, people who are age 65 and older, people with low incomes, pregnant or nursing women, or some combination of these groups.

Applicants to programs such as Social Security, Medicare, and UI need work records of varying lengths to qualify. These programs do not have an income eligibility limit and are often referred to as universal, though they do require a specified number of quarters or years of paid employment. A few programs require a beneficiary to have earned income the EITC is a leading example. Other programs require incurring a particular type of expense, such as child-care costs.

Various programs also set other eligibility conditions or restrictions. UI requires beneficiaries to search for jobs. For TANF participants and some SNAP and housing assistance participants, time limits are imposed on participation unless they are meeting a work requirement. For SNAP, states can secure waivers from this time limit for areas with elevated unemployment and can provide individual exemptions. Several other programs allow states to restrict eligibility further, to exclude people such as ex-felons or people found to be using banned substances.

Eligibility among Immigrants

Dont Miss: Social Security Office Bear Me

Myth #: The Monetary Component Is The Only Reason To Apply For Ssdi

For any worker considering whether to apply for SSDI, its important to understand the breadth of the benefits that go along with the program. While the primary benefit of applying for SSDI is monetary, there are many additional advantages to applying, including dependent benefits, Medicare coverage and a disability freeze that protects their Social Security retirement benefits.

Whether someone needs income to avoid bankruptcy or foreclosure, health insurance due to the loss of employment, or assistance in potentially returning to work, applying for SSDI is the first step toward securing that support.

SSDI benefits assist eligible individuals with disabilities, but too often people feel judged or ashamed of the need to ask for help. These myths have created a negative association around the SSDI application process, but it is a fundamental insurance program that millions of people benefit from every day.

Going forward, we need to do everything we can to squelch these stigmas and ensure that individuals with disabilities feel comfortable asking for the help they need and deserve.

Read Also: Social Security Office Muskogee Ok

Being Incarcerated Or Institutionalized While On Ssdi

If you’re confined to a prison or other penal institution after being convicted of a crime, your disability benefits will stop for the period of time you’re incarcerated. Your SSDI benefits will be suspended after 30 days of incarceration and will be reinstated the month following your release.

In addition, sometimes a felony conviction will lead to a cessation of benefits even without incarceration. But being convicted of a misdemeanor won’t affect your SSDI benefits unless you’re sent to jail for a month or more. For more information, see our article on disability benefits, felony convictions, and jail.

How Long After You’re Approved For Disability Do You Get Your Money

Signs You have Won Your Social Security Disability Hearing

There is a bit of a waiting period. Usually, it can take five months for benefits to get paid, with the first payment arriving the sixth full month after the date the SSA determined your disability began.

So, for example, if the SSA determined that your disability began on June 15, 2022, and you applied on July 1, 2022, your first benefit would be paid for the month of December 2022.

You May Like: Athens Ga Social Security Office

How Does The United States Compare With Other Countries

According to a recent analysis by the Organisation for Economic Co-operation and Development, or OECD, the United States has the least generous disability-benefit system of all OECD member countries except Korea. The OECD describes the U.S. disability-benefit system, along with those of Korea, Japan, and Canada, as having the most stringent eligibility criteria for a full disability benefit, including the most rigid reference to all jobs available in the labor market and the shortest sickness benefit payment duration. In addition, the United States spends less as a share of its economy on incapacity-related benefits than other nations. In 2009 public expenditures on incapacity-related benefits comprised just 1.5 percent of U.S. gross domestic product, or GDP, compared to an average of 2.4 percent for all OECD nations.

Proponents of cutting disability benefits in the United States sometimes point to particular elements of disability program reforms in Europeparticularly in Germany, the Netherlands, and the United Kingdomas potential models for changes to the Social Security disability programs. In general, however, such proposals fail to take into account that these nations have much more generous disability systems, less rigorous disability standards, higher levels of social expendituresnot just on incapacity benefits but on social assistance generallyand more regulated labor markets than the United States.

Going Back To Work On Ssdi

After being on SSDI for a certain amount of time, you might decide to continue working. If you start earning substantial wages, the SSDI might not consider you disabled anymore. After a trial work period, your benefits will probably stop.

If you go back to work, you can still receive retirement benefits after you reach age 65. If you return to work but find that you cannot continue working, you can continue receiving SSDI benefits.

You May Like: Social Security Office Apache Junction

Is Di Out Of Sync With The Americans With Disabilities Act

The Social Security Advisory Board, which was created by Congress to advise the President, the Congress, and the Commissioner of Social Security, posed the question of whether the DI program and its test of disability is out of sync with the Americans with Disabilities Act . In April 2004, the Academy drew on findings of its Disability Policy Panel report, Balancing Security and Opportunity, to testify before the Board as follows:

The need for a disability wage-replacement program does not go away because we have the Americans with Disabilities Act . Nor is the need for such a program eliminated by advances in medicine, changes in the demands of jobs, new assistive technology, or other environmental accommodations. These developments may increase employment opportunities for some categories of individuals with disabilities. For example, the ADA expands opportunity for people who have highly valued skills whose main impediments to work had been based on discrimination, architectural barriers, or other impediments that the ADA alleviates. But other individuals may face increasing impediments to work as the work environment and demands of work change. For example, in an increasingly competitive world of work, emphasis on versatility and speed may impede employment prospects for people with mental impairments. Because the phenomenon of work disability will remain with us in a competitive economy, wage replacement programs remain essential.

Why Should I Worry

The Negatives in your Social Security disability case a/k/a The Case ...

So far the SSA hasnt been able to get such a rule change to happen but they do keep trying. Most recently, they commissioned a report to see how what other administrative tribunals require and whether or not it would improve their process if they started requiring all evidence to be submitted.

For the latest updates on Social Security questions like that one, check our blog regularly. That way youll always know the latest on whats going on that could affect your case. For even more information check out our free e-book!

You May Like: Social Security Office Hartford Connecticut

You Earn Too Much Income

For SSDI, which is the benefit program for workers who have paid into the Social Security system over multiple years, one of the most basic reasons you could be denied benefits is that, when you apply, you are working above the limit where it is considered “substantial gainful activity” . This means you earn too much money to be considered disabled. You are allowed to work a small amount when you’re applying for and collecting SSDI, but not over the SGA limit, which is $1,310 per month in 2021 . The figure is adjusted annually. Income from investments does not count toward the SGAonly work income counts, as it shows your ability to work.

As to SSI, which is the disability benefit for low-income people, when you apply for SSI, you can’t be making over the substantial gainful activity level . But there’s a limit on all earned and unearned income for SSI, around $1,600 per month, that applies both when you’re applying for benefits and when you’re collecting benefits. And any time your income is over $85 per month, your SSI payment will start to be reduced, by a somewhat complicated formula. If you make more than about $1,650, your payment would be reduced to zero in other words, you won’t qualify for SSI.

Myth #: Individuals Who Enroll In Ssdi Never Return To Work

This is another misconception that goes hand-in-hand with the first myth, but it couldnt be further from the truth. SSDI is only intended to be used for as long as it takes for an individual to medically recover enough to begin taking steps to return to work. Many individuals receiving SSDI benefits express their desire to return to the workforce as soon as possible. It is common for the recovery process to take a year or longer, and SSDI serves as a support that allows individuals to take the time they need without fearing the financial repercussions.

At the same time, all individuals currently receiving SSDI benefits are eligible for and encouraged to utilize the Ticket to Work Program , which is a free service that connects individuals with Employment Networks . Representatives from ENs assist individuals with interview preparation, résumé writing and overcoming the barriers to finding employment once they are ready. The allocation of these resources illustrates the intention that SSDI is not necessarily permanent, and the willingness of most individuals receiving these benefits to return to work speaks to the falsity of any belief that SSDI is a permanent benefit.

Also Check: Louisville Ky Social Security Office

List Of The Pros Of Social Security

1. It provides a monthly income to those who need it. Under the current structure of Social Security, about 85% of the funds that are paid into the program are distributed to retirees or qualifying individuals. That ensures those who may need an income during their retirement years are able to have one. Although Social Security is not a complete income replacement for most retirees, it does provide supplemental income that can help individuals, couples, and families maintain their lifestyle.

2. It offers a scalable set of benefits. With Social Security, you are permitted to retire and claim benefits as early as age 62. That does mean you would receive a smaller monthly payment than someone who waits until the full retirement age to collect benefits. If you wait until you turn age 70, then you will maximize the benefits youre able to receive. That structure allows for each person or household to choose a structure that works best for them.

3. It offers minimums for qualified individuals. Since 1973, the Social Security Administration has used an alternative method of calculating benefits for low-income workers based on their years of coverage. In 2018, 11 years of coverage offered a special minimum primary insurance amount of just $40.80. With 30 years of coverage, however, the special minimum was $848.80.

What Qualifies For Disability

Medical Conditions that LOSE in Social Security Disability! Must See.

What will qualify you for disability is that you will need to be unable to work for at least 12 months. You will need to provide medical evidence that your condition is keeping you from making a substantial gainful living. You can use the Blue Book to determine what medical evidence you need to support your claim.

You will also need enough work credits to qualify for disability benefits. These are earned by working and paying into Social Security taxes. Generally, if you have worked 5 of the last 10 years, you will likely have enough work credits to qualify for disability benefits.

Read Also: Social Security Offices In San Antonio

Must Read