NEVER WORK WITHOUT A NET: Safety Nets for Workers Who Get Social Security Disability or SSI Benefits Michael Dalto, Institute for Community Inclusion, University of Massachusetts Boston

What is Social Security Disability? There are 3 types of benefits people get from the Social Security Disability program. The first is called Social Security Disability Insurance (SSDI). You can get SSDI if you have worked and paid Social Security taxes for a long enough time to be “insured”, then become disabled enough to meet Social Security’s criteria 2

What is Social Security Disability? The other two benefits are paid if you: Are 18 or older, were disabled before age 22, and have a parent who has paid Social Security taxes and is retired, disabled or deceased, or Are a disabled widow or widower who is at least age 50, and your deceased spouse paid Social Security taxes After you’ve been eligible for Social Security Disability for 2 years, you can get medical insurance called Medicare. 3 3

Working When You Get Social Security Disability When you get Social Security Disability, working may seem like a high wire act…but you have some “safety nets” to catch you if your benefits are affected by your work. These safety nets are called “work incentives”. 4 4

Working When You Get Social Security Disability Work incentives: Let you keep Social Security Disability payments longer – sometimes permanently – while you work Protect medical benefits even if you work your way off cash benefits Let you get cash benefits back quickly and easily if you stop working 5 5

First Net: The Trial Work Period Trial Work Period – 9 months - Keep Social Security Disability no matter how much you earn. These months don’t have to occur all together, and you only “use up” Trial Work Period months if you are earning above a certain amount set each year ($840/month in 2017). 6 6

Second Net: Earn More Than $1,170/Month and Still Keep Social Security Disability Checks After the Trial Work Period, do you always lose Social Security Disability if you earn more than $1,170/month in 2017? No! Two kinds of subtractions allowed: Impairment Related Work Expenses (IRWE) – expenses you pay for to work because of your disability Subsidies and Special Conditions – situations such as reduced job productivity or getting extra help on the job 7 7

Second Net: Earn More Than $1,170/Month and Still Keep Social Security Disability Checks Subtract IRWE’s, Subsidies and Special Conditions from gross wages. If the difference is under $1,170/month, you can keep Social Security Disability. If you’re blind, the earnings limit (after subtractions) is $1,950/month in 2017. 8 8

Second Net: Earn More Than $1,170/Month and Still Keep Social Security Disability Checks Example: Phoebe works 40 hours/week and earns $9/hour ($1,560/month gross wages). She has finished her Trial Work Period. She pays $347/month for taxis to and from work because she can’t drive due to her disability (IRWE). She is paid the full wage for her job, but her productivity is 90%. Her subsidy is $156/month (10% of her wages). 9 9

Second Net: Earn More Than $1,170/Month and Still Keep Social Security Disability Checks Example: $1,560/month gross wages - 347/month IRWE - 156/month subsidy $1,057/month = below SGA ($1,170/month) 10 10

Second Net: Earn More Than $1,170/Month and Still Keep Social Security Disability Checks Grace Period – Even if you earn more than $1,170/month after subtractions (or $1,950/month after subtractions if you are blind) after the Trial Work Period, you have another safety net to protect benefits for 3 more months. The Grace Period lets you keep Social Security Disability checks the first month your earnings go over the limit, plus the next two months in a row. 11 11

Third Net: Extended Period of Eligibility The first 36 months after the Trial Work Period ends. If earnings (after subtracting IRWE’s, Subsidies and Special Conditions) are above $1,170 (or $1,950 if you are blind), you lose Social Security Disability eligibility for the month… 12 12

Third Net: Extended Period of Eligibility BUT…if earnings (after subtractions) drop below $1,170/month ($1,950/month if you’re blind) at any time during the Extended Period of Eligibility, you regain eligibility for Social Security Disability. If checks have been cut off, just call your local Social Security office to get them back. EPE is like “Trial Work Period Lite” – you don’t keep Social Security Disability for months that earnings (after subtractions) are over $1,170 (or $1,950 if you’re blind) but you get Social Security Disability back if earnings later drop. 13 13

Fourth Net: Keep Medicare Even If You’ve Lost Social Security Disability Due to Work If your Social Security Disability checks end due to work, you still keep free Medicare hospital insurance at least 93 months (7 years and 9 months) after the Trial Work Period ends. You can keep buying Medicare medical insurance and/or prescription insurance if you need it. Even after the 93 or more months, you can still get Medicare if you’re still disabled and pay extra. 14 14

Fourth Net: Keep Medicare Even If You’ve Lost Social Security Disability Due to Work If you continue to be disabled and to work, and you have limited income and resources, you don’t even need to pay extra to keep Medicare hospital insurance. 15 15

Fifth Net: Expedited Reinstatement If you lose Social Security Disability due to work after the Extended Period of Eligibility, then your earnings drop or you stop working, you can get cash benefits back quicker than reapplying. Expedited reinstatement also lets you get up to 6 months of Social Security Disability checks while you wait for a decision on your application. Even if your application is denied, you won’t have to pay back these checks. 16 16

Fifth Net: Expedited Reinstatement To qualify for expedited reinstatement, you must: Have received cash Social Security Disability benefits based on your own disability Have lost those benefits due to work Have stopped working (or decreased earnings) within five years of losing benefits due to disability 17 17

Fifth Net: Expedited Reinstatement To qualify for expedited reinstatement, you must: Be unable to earn at least $1,170/month (or $1,950/month if blind) after subtractions, due to your disability, in the month you request benefits back Meet Social Security’s disability criteria due to the same disability you had before, or a related disability 18 18

Ticket to Work The Ticket to Work program lets you hire OVR (and later another agency called an Employment Network) to give you services to get and keep a job. 19 19

Ticket to Work If you assign your Ticket to Work to an agency, AND you meet certain “timely progress” benchmarks, then Social Security is not allowed to do a medical review of your disability. This can help protect your Social Security Disability benefits. Social Security can’t stop your benefits due to “medical recovery”. 20 20

Can You Be Better Off If You Work Your Way Off Social Security Disability? Example: Rosina received only SSDI ($770/month). She started working 30 hours a week and earning $8/hour, and kept SSDI. She got a better job working 40 hours a week and earned $14/hour. Her SSDI stopped. 21 21

Can You Be Better Off If You Work Your Way Off Social Security Disability? Example: 22 22

What is SSI (Supplemental Security Income)? Payments from Social Security you can get if you are disabled (or at least 65 years old) and have income and assets below certain limits. If you get SSI, you automatically get medical insurance called Medicaid. 23 23

Working When You Get SSI Work incentives: Make sure you have more money if you work than if you don’t Let you keep higher SSI payments while you work Protect medical benefits even if you work your way off cash benefits Let you get cash benefits back quickly and easily if you stop working 24 24

First Net: Earn Money and Keep Both SSI and Medicaid You can work and keep at least some of your SSI payment until you earn above a certain amount. The amount you can earn depends on how much SSI you got before starting work. If you start out with the maximum SSI check for a single person ($735/month in 2017) and then start work, you can earn up to $1,554 per month from work and still keep at least $1 of SSI. The limit is different for married couples. Along with SSI you keep Medicaid (Medical Assistance). If you get SSI, you always have more money if you work than if you don’t. 25 25

First Net: Earn Money and Keep Both SSI and Medicaid Example: Marshawn started out getting only SSI ($735/month). He started working 20 hours a week and earning $9.00/hour. Next, he worked 30 hours a week and still earned $9.00/hour. Finally, he got a better job working 40 hours a week and earning $11.00/hour. 26 26

First Net: Earn Money and Keep Both SSI and Medicaid Example: 27 27

Second Net: Keep More SSI with Work Incentives If you get SSI and go to work, you may be able to keep higher SSI payments if you: Are a student under age 22 (Student Earned Income Exclusion), Pay for disability-related expenses needed for work (Impairment Related Work Expenses), 28 28

Second Net: Keep More SSI with Work Incentives If you get SSI and go to work, you may be able to keep higher SSI payments if you: Are blind and pay for any work-related expenses (Blind Work Expenses), Have an agreement with Social Security to pay for expenses to reach a work goal with money that would otherwise reduce your SSI check (Plan for Achieving Self Support) 29 29

Third Net: Keep Medicaid When You Lose SSI Checks Due to Work If you earn enough to reduce your SSI checks to $0, you may usually still keep Medicaid. A rule called “1619-B” lets you keep Medicaid and stay on the SSI benefit roles. If your earnings later drop, or you stop working, you can get SSI checks back simply by calling Social Security. You don’t need to reapply. 30 30

Third Net: Keep Medicaid When You Lose SSI Checks Due to Work To qualify for 1619-B, you must: Have earnings below $29,954/year (in 2017), or below a higher limit if you have high medical or work-related expenses or get publicly-funded attendant care Keep your resources (assets) below $2,000 (or $3,000 for a married couple) Continue to need Medicaid (you can meet this requirement just by using Medicaid at least once a year) Not have other reasons for losing SSI besides earnings 31 31

Help to Use “Safety Nets” (Work Incentives) For more information about how these “safety nets” (called work incentives) can help you, ask your Rehabilitation Counselor to hire a Benefits Counselor for you. A Benefits Counselor will show you how different amounts of earnings will affect your benefits, and can help you use work incentives to be sure you get ahead financially when you work. 32 32