Many SSDI recipients want to return to work but fear losing their benefits. The Social Security Administration (SSA) offers numerous work incentives to help recipients balance employment and benefits. Here’s what you need to know about these incentives and how to make the most of them.
Understanding the Trial Work Period (TWP)
The Trial Work Period allows SSDI recipients to test their ability to work for at least nine months without losing their benefits. During the TWP, you can earn any amount of money, and still receive full SSDI benefits. The months do not need to be consecutive, and the TWP continues until you have worked nine months within a 60-month period.
Extended Period of Eligibility (EPE)
After completing the TWP, if your earnings exceed the substantial gainful activity (SGA) limit, you enter the 36-month Extended Period of Eligibility. During this period, you will still receive SSDI benefits for any month your earnings fall below the SGA threshold.
Expedited Reinstatement
If you stop receiving benefits because you’ve been working, but then find you cannot continue due to your disability, you may be eligible for Expedited Reinstatement. This allows you to restart your SSDI benefits without a new application if your earnings fall below the SGA level within five years of stopping benefits.
Impairment-Related Work Expenses (IRWE)
Certain work-related expenses that are directly related to your disability can be deducted from your earnings. These may include costs for assistive devices, transportation, or services like personal attendants. Deducting these expenses can help keep your countable income below the SGA limit, thus preserving your SSDI benefits.
Ticket to Work Program
The Ticket to Work program offers free employment support services to SSDI recipients who are interested in working. Participants receive help with job training, career counseling, resume development, and job placement, all while maintaining their SSDI benefits.
Plan to Achieve Self-Support (PASS)
The PASS program allows you to set aside money for expenses related to reaching a specific work goal. This could include education, vocational training, or starting a business. Money set aside under PASS does not count as income for SSDI purposes.
Benefits Counseling
It’s essential to work with a benefits counselor who understands the intricacies of SSDI work incentives. They can provide tailored advice specific to your situation and help you navigate the transition back to work without jeopardizing your benefits.
Tips for Balancing Work and SSDI
- Understand Your Limits: Be aware of the SGA limit and ensure your earnings stay within allowable limits to continue receiving benefits.
- Keep Detailed Records: Maintain accurate records of your earnings, work expenses, and any communication with the SSA.
- Stay Informed: Regularly check for updates to SSA policies and work incentive programs.
- Consult Professionals: Work with a benefits counselor or a disability attorney to make informed decisions.
Balancing work and SSDI benefits can be complex, but understanding and utilizing the available work incentives can make it much more manageable. These programs are designed to help you transition back to work without immediately losing your benefits, providing a safety net as you re-enter the workforce.
