Many individuals wonder if they can continue working while receiving Social Security Disability (SSD) benefits. The answer is yes, but there are certain rules and limitations to consider.
Understanding Work Incentives
The Social Security Administration (SSA) provides work incentives that encourage individuals with disabilities to return to work or engage in gainful employment without immediately losing their SSD benefits. These work incentives are designed to support individuals in transitioning back into the workforce while maintaining financial stability.
1. Trial Work Period (TWP)
During the TWP, beneficiaries can test their ability to work without jeopardizing their SSD benefits. For a period of nine months, individuals can work and earn any amount of income without it counting towards their substantial gainful activity (SGA) level, which is the threshold for determining disability.
2. Extended Period of Eligibility (EPE)
After completing the TWP, the EPE begins, which lasts for 36 months. During the EPE, individuals will receive SSD benefits for any month where their earnings are below the SGA level. If earnings exceed the SGA level, the individual enters a "cash benefit suspension" status, but they still have the opportunity to regain SSD benefits if their income drops below the SGA level within the 36-month period.
Understanding Substantial Gainful Activity (SGA) Levels
The SSA sets SGA levels each year, which determine the maximum amount of income an individual can earn while still being considered disabled. For 2023, the SGA level is $1,310 per month for non-blind individuals and $2,190 per month for blind individuals. Earning above these thresholds may impact your eligibility for SSD benefits.
Reporting Work Activity
It is essential to report any changes in work activity to the SSA promptly. Failure to report earnings accurately and on time can result in an overpayment, which may require repayment of benefits or other penalties.
Working While Receiving SSD Benefits
While it is possible to work and still receive SSD benefits, there are rules and limitations to consider. Work incentives such as the trial work period and extended period of eligibility provide flexibility and support for individuals with disabilities who want to return to work. Remember, proper knowledge and planning can help ensure a successful transition to work while maintaining the necessary financial support from SSD benefits.
