What Are SSDI Benefits?

SSDI benefits are monthly payments made to individuals who are disabled and unable to work due to a medical condition. These benefits are provided by the Social Security Administration (SSA) and are intended to replace a portion of the income you would have earned if you could still work.

Who Qualifies for SSDI Benefits?

To qualify for SSDI benefits, you must meet the following criteria:

• Work History: You must have worked and paid Social Security taxes for a certain number of years, generally through payroll deductions. The SSA uses a work credit system, where you earn credits by working and paying into Social Security. Typically, you need 40 work credits to qualify, and 20 of those credits must be earned in the last 10 years before you became disabled. However, younger individuals may qualify with fewer credits.
• Disability: You must have a severe disability that prevents you from working and is expected to last at least 12 months or result in death. The disability can be physical or mental, but it must meet the SSA’s definition of disability.
• Inability to Perform Substantial Work: You must be unable to perform substantial gainful activity (SGA) because of your disability. The SSA sets an income limit that you must not exceed to qualify for SSDI benefits.

How Are SSDI Benefits Calculated?

The amount you receive in SSDI benefits is based on your work history and earnings. The SSA calculates your benefit amount using your average indexed monthly earnings (AIME) over your highest-earning 35 years of work.

• The more you earned during your working years, the higher your SSDI benefits will be.
• You can get an estimate of your potential SSDI benefits by checking your Social Security Statement, which is available online through your SSA account.

How to Apply for SSDI Benefits

To apply for SSDI benefits, follow these steps:

• Apply Online: The fastest way to apply is through the SSA’s website at www.ssa.gov. You can fill out the application online and submit the necessary documents.
• Apply In Person: If you prefer, you can apply in person at your local SSA office. You can schedule an appointment by calling the SSA at 1-800-772-1213.
• Provide Required Documentation: Be prepared to provide details about your work history, medical condition, and any other documentation the SSA requests.

What Happens After You Apply for SSDI Benefits?

Once you’ve submitted your SSDI application, the SSA will review your case to determine whether you qualify. The process can take several months, and you may be required to submit additional medical records or other documentation.

• Approval: If your application is approved, you will begin receiving monthly SSDI benefits. You will also be eligible for Medicare benefits after a 24-month waiting period.
• Denial: If your application is denied, you can appeal the decision. The SSA offers several levels of appeal, including reconsideration, a hearing with an Administrative Law Judge (ALJ), and further appeals to the Appeals Council or federal court.

What Can SSDI Benefits Be Used For?

SSDI benefits are intended to help replace lost income due to disability. The funds can be used to cover your basic living expenses, including:

• Housing (rent or mortgage)
• Utilities (electricity, water, internet, etc.)
• Groceries and other essential needs
• Healthcare (including medications, though Medicare will begin after 24 months of SSDI eligibility)

Can You Work While Receiving SSDI Benefits?

While receiving SSDI benefits, you are allowed to work under certain conditions, but your earnings must remain below the Substantial Gainful Activity (SGA) threshold. If you earn above the threshold, you may no longer be considered disabled, and your benefits may be stopped.

However, the SSA offers programs such as the Ticket to Work program, which allows you to explore work options without automatically losing your benefits. You can try to return to work on a trial basis and still receive your SSDI benefits during this period.

What Happens if Your SSDI Benefits Are Denied?

It’s not uncommon for SSDI claims to be denied on the first attempt. If your claim is denied, you can:

• Request Reconsideration: This involves the SSA reviewing your claim again, but with a new set of eyes.
• Request a Hearing: If reconsideration doesn’t work, you can request a hearing before an Administrative Law Judge (ALJ), where you can present your case in person.
• Appeal to the Appeals Council or Federal Court: If you are still denied after a hearing, you can appeal further to the Appeals Council or even to federal court.