The type of disability benefits you’re asking for will influence how additional income affects your eligibility, payment amount, and other considerations. A disability claimant’s finances are scrutinized during the procedure, but only a limited amount of income is taken into account.
Social Security Disability Insurance (SSI) (SSI)
SSI is a need-based program, so your financial situation affects your eligibility as well as how much money you receive each month from the program.
The SSA only analyzes your own income and other financial resources if you’re an adult receiving SSI. Income through job is merely one of a number of sources.
Any and all sources of income, including pensions, interest, dividends, and capital gains from investments, as well as financial assistance from loved ones or friends.
Social Security and Assets Qualification
Assets are also examined because some of them can be converted to cash, which you can use to support yourself. The following are some of the assets:
Houses, cars, and other vehicles, as well as other property, are long-term investments.
Although the SSA takes into account all of these factors, they also omit a percentage of both income and assets because they understand that you can’t just sell everything to get by. In other words, they understand you won’t be able to get rid of your only car because you need it to go around, including to and from medical care providers.
The SSA must also consider other factors that affect financial situations for adult SSI applicants, such as:
- For example, if you live with friends or relatives but don’t pay rent. The SSA will evaluate your living arrangement as a financial resource in this circumstance, and it may effect your eligibility or monthly SSI payment levels.
- If you’re in a marriage and your spouse is also eligible for SSI benefits In this instance, you and your spouse would only be eligible for a set amount of combined SSI payments each month. When the Social Security Administration applies annual cost-of-living adjustments, that amount can shift from one year to the next (COLA).
When a minor applies for SSI, the SSA evaluates the child’s and parents’ income and financial resources. These can include both parental employment income and additional sources of money, such as:
- Child support
- retirement benefits
- investment income are all examples of sources of income.
The living condition of the child is also taken into account, such as how many other people live in the home and whether the parents are responsible for several children on a limited budget.
Disability Insurance from the Social Security Administration (SSDI)
SSDI benefits are offered to qualified workers and their dependents in some cases. Workers become eligible for Social Security benefits by paying Social Security taxes on their earnings over time. Employment income can affect your eligibility, but it will not make you ineligible for disability benefits or reduce your monthly SSDI payment amount. In other words, if you do not exceed the SSA’s definition of “substantial gainful activity,” or “SGA,” you may be allowed to work part-time and yet qualify for SSDI.