How to Apply for Social Security Disability (SSDI)

If you are looking to apply for SSDI, you should do so as soon as you acquire a disability. Applications can be filled out online on the Social Security Administration's web page. You can also apply by calling 1 (800) 772-1213, which is a toll-free number. RSA representatives found at this number can schedule an appointment for you to fill out an application over the telephone or at a Social Security office near you.

How Much Is Social Security Disability?

The amount of your disability will be determined based on an average of the earnings you have accumulated over your lifetime. In other words, your SSDI total is based on how much you actually paid into the system. Currently, the average amount of SSDI in 2020 for an individual is $1,258. The maximum amount of SSDI is capped at $3,011.

How to Qualify for Social Security Disability

In order to be eligible for Social Security Disability, you must have a history of employment in a job or jobs that are covered by Social Security. Also, you must have worked a certain amount of time in order to qualify for benefits. Additionally, your injury or medical condition must fall within the Social Security Administration's definition of disability.

Once it has been determined that you have worked long enough to receive SSDI, the Social Security Administration will use a step-by-step verification process consisting of five questions to decide if your condition meets their definition of a disability. The five questions are:

• Are you working?
• Is your condition severe?
• Is your condition found in the list of disabling conditions?
• Can you do the work you did previously?
• Can you perform any other type of work?

How Is Social Security Disability Calculated?

SSDI is calculated based on your average earnings over your lifetime before you began experiencing the disability. It is the sole factor used in determining your monthly disability amount. The severity or extent of your disease, injury or illness has nothing to with the amount you will receive. In other words, you will not be denied SSDI because of having too much income or for having an abundance of valuable assets.

How Does Back Pay Work With SSDI Benefits?

There are two important factors when it comes to disability back pay — when you were medically unable to continue working and when you filed your application. Per regulations, you cannot receive Social Security Disability until the sixth month of your disability due to a mandatory five-month waiting period. If some time has elapsed between when you sustained your injury and you file your claim, you are allowed to receive back pay of up to year prior to the time of the claim.

Example 1: You are injured on January 1, 2020, and file a claim on January 2, 2020. The earliest you can get benefits is June 2020.

Example 2: You are injured on January 1, 2019, and file an SSDI claim on January 1, 2020. The earliest you can get benefits is June 2019. Since this is a date in the past, if you are approved you will receive a check for back benefits that should have been paid since that date.

Example 3: You are injured on January 1, 2018, and file an SSDI claim on January 1, 2020. The earliest you can get benefits is January 1, 2019. Since this is a date in the past, if you are approved you will receive a check for back benefits that should have been paid since that date.

Is SSDI Taxable?

The answer is maybe. Generally speaking, for most people, social security disability benefits won't be taxed. However, situations do exist when SSDI benefits may be taxed. For instance, if your total income is above a certain threshold (set by the IRS), the amount above that threshold is subject to income tax at the federal level.

As far as the states are concerned, the majority of them do not levy taxes against Social Security Disability benefits. Those that do either fully tax these benefits or tax them based on AGI (adjusted gross income).

Montana, Utah and New Mexico fully tax Social Security benefits. Utah has tax credits available for certain qualifying residents, and New Mexico provides a tax exemption for its residents who are considered low-income.

Connecticut, Colorado, Kansas and Missouri utilize the federally adjusted gross income (AGI) to determine the tax rates on SSDI. Connecticut residents are exempt from this tax if they have income levels below $50,000. For married couples in this state who file jointly, the combined income amount for the exemption must be under $60,000.

In Colorado, Social Security recipients under the age of 65 can exclude up to $20,000 of their federal benefits from the taxable income of that state. For those who are older than 65, the number rises to $24,000. Additionally, Social Security payments not taxed by the IRS do not count toward the recipient's AGI.

Other states that tax SSDI include Minnesota, Missouri, Nebraska, North Dakota, Rhode Island, Vermont and West Virginia.

I’m Disabled. Should I Take Early Retirement?

Retirement is a personal issue that is ultimately up to each individual. However, you should know that retiring early will result in a lifelong reduction in your retirement benefits, which can significantly affect your spouse. If you decide to retire before the age of 67 (for those born after 1960), which is when full retirement benefits vest, you could lose significant funds that were previously guaranteed for the rest of your life and that of your spouse.

Applying for SSDI instead may be financially more beneficial. It allows you to receive payments and may enable you to live without touching your retirement benefits until they have fully matured. Also, most people get more money for disability than they do for retirement benefits.

It is possible to file a claim for disability benefits and file a claim for early retirement at the same time. If you do that you will receive early retirement until your disability claim is approved. Once your disability claim is approved you will receive back benefits for the difference between what you got from early retirement and what you should have gotten with disability. SSA will convert your claim from early retirement to disability, which could make it like you never filed for early retirement. Then you will stay on disability until you reach full-retirement, thus avoiding any potential decrease in benefits for filing for early retirement.

How Long Does a Social Security Disability Review Take?

Social Security Disability reviews can take anywhere between four and six months just to get an initial decision. Your overall chances of winning at initial are only about 35%. If you lose at the initial level appeals can stretch on for much longer. For example, it takes about 20 to 24 months to get a hearing now and most claims denied at initial will end up at a hearing. Keep in mind that the process can be delayed if your file is incomplete or lacking essential information that is needed to make a determination.

What Kinds of Medical Conditions Are Considered Disabling?

Disability for Social Security is all about whether or not you can work. Any medical condition that prevents you from working on a full-time, sustained basis can be considered disabling. This includes mental conditions like depression, anxiety, ADHD, PTSD, schizophrenia, intellectual disability, bipolar disorder, and many others. It also includes physical conditions like back pain, amputations, arthritis, immune disorders, cancer, vision and hearing loss, kidney and liver failure, blood disorders, and many more.

The severity of some conditions are easier to prove than others because Social Security emphasizes what it calls “objective medical evidence” in its evaluation. That means that if you have a condition that you can use a test to show how severe it is you have an easier claim to make. For example, if you have vision loss you can prove your disability by showing that you have less than 20/200 vision in your best eye, best corrected.

However, if you have a condition like back pain or depression that has symptoms that can’t be measured, proving you claim will be more difficult. Proving your claim in these circumstances will require medical records that regularly document your symptoms and statements about how your condition interferes with your daily activities. If you have a condition like this, and most people do, you should make sure to talk with your doctor regularly about the daily challenges you face. You should also regularly review your medical records to make sure your doctor is recording the information you’re providing accurately.

Can I Work While My Social Security Disability (SSD) Application Is Pending?

Yes. You can work while your application is under review with the Social Security Administration. However, working may result in a reduction or denial of benefits depending on the specific situations of the employment.

In most cases, working for six months or less is considered a UWA (unsuccessful work attempt), provided you cease the employment for medical reasons, special conditions for your employment are removed, or your earnings are less than $1,260 a month. If you earn more than this amount during even one month, your application could be denied.

Can I Work And Still Receive Social Security Disability (SSD)?

With a few exceptions, Social Security cannot find you disabled while you are performing Substantial Gainful Activity (SGA). SGA is the amount of earnings Social Security considers sufficient to show that you are capable of working. If you make more than $1,260 (2020 SGA standard) a month Social Security will not grant your benefits. If you can perform SGA, you are not considered disabled, no matter how severe your impairment. The amount for SGA changes yearly with the cost of living adjustments.

Our recommendation is that you consider both the type of work and the gross amount you earn when deciding whether or not to work while waiting for your benefits or while receiving benefits.

Type of Work: If you are applying for disability because of physical conditions and you work construction or perform other types of physical labor, Social Security will assume that you can do less strenuous work full-time. Likewise, if you have mental disabilities and are working in a high stress environment, Social Security will assume that you could work full-time in a less stressful environment.

Gross Amount: You must have 12 consecutive months of not working SGA. If you do work SGA within the first 12 months of your case, you do not meet Social Security’s definition of disability under most circumstances. This rule is absolute if you work SGA within the first 5 months of disability. SSA will start counting your 12-month period beginning with the date you stopped working SGA.

Work Incentive Programs: Social Security encourages people to go back to work, so it has developed some work incentive programs to help people work toward occupational goals while still receiving benefits. With all work incentive programs, Social Security doesn’t care about how many hours you work as much as they look at your amount of your earned income.

Receiving or Applying for Supplemental Security Income (SSI or Title XVI)
Note: These programs are not automatic – you have to request that they be applied to your case.

Student Earned Income Exclusion

To qualify, you must be between the ages of 18 and 22 and you must be attending school full time. If they meet these requirements, students can work while attending school and earn up to $1,780 and still keep their full monthly benefit.

In order to add this program to your case you must have a letter or IEP from the school you attend sent to Social Security letting them know that you are requesting this incentive program. You also need to show proof of income, so keep your pay stubs.

Plan for Achieving Self-Support or Pass Plan

Anyone can qualify for this program if the money is used to achieve occupational goals. It is an account set up by Social Security that allows claimants to set aside a portion of their earned income for an occupational objective. This account does not count as income or a resource when calculating your SSI payments. It will also not be counted as income or a resource when applying for other programs such as food stamps or other government assistance programs. However, this program does not go through the local Social Security office, it has to be approved through a regional Pass Cadre. The form that needs to be filled out is called the SSA-545 which can be accessed on Social Security’s website (ssa.gov).

Receiving or Applying for Social Security Disability (SSD or Title II)
Note: These programs are automatic; you do not need to apply for them.

Trial Work Period

This program allows you to keep your benefits, while you try to go back to work for a period of time. After you have not worked over SGA for a 12-month period, you have a 9-month trial period (not necessarily 9 months in a row) where you can make more than $1260/month (in 2020) and not lose your benefits. Each month that you make more than $880 counts as a trial work period month. This trial work period ends if the 9 months are used up within a rolling 60-month time period. Note: You are entitled to only one trial work period per period of disability so once it has been used you are never eligible for another trial work period for your current period of disability.

Extended Period of Eligibility (EPE)

Once your 9-month trial work period is over, your benefits automatically go into a 36-month period where you are still considered medically eligible for disability. You are still eligible for cash benefits, but only when your earnings are less than SGA ($1,260/month). If your earnings go over SGA, you are not eligible for the benefits from Social Security for every month you were over. After the 36-month period your benefits will terminate the first month you earn SGA.

It is your responsibility to keep track of the months you earn more than SGA. If you cash your benefits check in the same month you go over SGA, you will have to repay that money. Social Security might not catch it right away but they will try to correct that issue and ask you to repay the cash benefits you were not eligible for.

Impairment Related Work Expenses (SSI & SSD)

You can reduce the income that Social Security counts by writing off expenses you pay for that are needed to help you work with your disability. The expense must be reasonable and be directly related to supporting your disability. Examples of impairment related work expenses include medications, braces, assistive devices, special transportation, special assistance, and more. Basically, if the expenses is something that is required to keep you working it is probably something you can deduct from your income. It is your responsibility to save receipts of anything that might be considered a work related expense to show Social Security as proof of the expense.

What Can I Expect If My Claim Is Approved?

If your claim is approved, you can expect to receive a payment from the Social Security Administration beginning the sixth full month following the start of your disability. You will have the choice of receiving your funds through direct deposit into your bank account or by check.

Per the Social Security Administration, your first payment could take up to six months from the date of your application's approval to arrive. That being said, first disbursements generally happen much faster than that, but certain factors may cause delays, such as receiving workers’ compensation.

What Do I Do If My Claim Is Denied?

If your Social Security Disability claim is denied, then you have the option of appealing. Denied applicants are given a period of 60 days to file an appeal. Once the deadline passes, your case is final.

If your claim for Social Security Disability is denied, it is important to note that appealing is your best option for approval. Trying your luck again by filing a brand-new claim is, in most cases, a waste of your time since the application will more than likely be denied again for the same reasons.

Waiting for Benefits Payments After Approval

The Social Security Administration distributes direct deposits to individuals depending on their birthday. If your birthday falls on one of the first 10 days of the month then your direct deposit will arrive on the second Wednesday of each month. If your birthday is between the 11th and the 20th of the month you will receive your benefits on the third Wednesday of each month.Finally, if your birthday falls between the 21st and the 31st of the month, then you'll get your benefit on the fourth Wednesday of every month.

SSI payments are made around the first of the month. If you happen to be receiving both SSI and SSDI in one payment your benefits will usually be deposited around the third day of the month. If your payment date happens to fall on a holiday or a weekend, then you won't get your payout on that specific day. In cases such as these, the Social Security Administration usually sends the payment out early. Here is a link to a calendar of Social Security disability benefit payments for 2020.

What If Social Security Tells Me They're Going to Cut Off My Disability Benefits?

The Social Security Administration continually assesses the condition of those who receive Social Security Disability payments. Since this financial aid is for those who cannot engage in gainful employment because of a medical condition, the Social Security Administration wants to prevent dispersing funds to those whose medical condition has improved to a point where gainful employment is now possible.

The Social Security Administration conducts what are known as Continuing Disability Reviews (CDRs). They are carried out either one, three or seven years from the date you were approved for Social Security Disability benefits. During this procedure, the SSA will review your updated medical records, assess any employment you engaged in while receiving benefits and review your daily activities. If the SSA determines you can work again, you will be notified that your benefits are being terminated. After the determination, you will receive two more months of benefits.

Returning to work might also lead to a loss of benefits depending on how much you earn and your current medical condition. As a recipient of disability, you are afforded a 9-month trial work period during which you can try returning to work. When this period is over, you will not receive SSDI for the months in which you make more than $1,260 if you are not blind and $2,110 if you are.

How Long Will it Take for a Determination To Be Issued?

It varies, but generally at the initial and reconsideration level it will take between 3-6 months at each stage. If we have to request a hearing in front of a judge, the time frame is considerably longer; on average about 20-24 months.

What Happens When I Get a Denial Notice?

Less than 40% of people who apply are found disabled at the initial or reconsideration stages combined. So do not be discouraged if you receive a denial notice. It may be necessary to go to a hearing to win your case. The first thing you need to do is make sure that we received a copy of the denial. If we do not get a copy of the notice from Social Security, we won't know that a decision has been made on your case unless you tell us. Therefore, please call when you get the notice of determination in your case. As soon as we get a copy of that determination, we will go through the appeal questions with you and file your appeal.

Do I Need to Get Medical Records or Reports?

Not at the initial or reconsideration levels. At the initial and reconsideration levels, Social Security will request medical records from your doctors so there is no need for you to collect them.if Social Security notifies you that they have not received certain records, it may be necessary for you to call your doctors to make sure they comply with Social Security’s request. Otherwise Social Security might not have all the information they need to make a decision. You should call us if you see a new doctor or go to the hospital so that we can notify Social Security.

If we need to request a hearing, we will schedule a meeting with you prior to the hearing to decide exactly what records we need to get for your hearing. It will be important for you to get your medical records quickly because it is your job to update the judge on your condition with your most recent medical records. It is often quicker and more cost effective if you, as the patient, collect your own medical records for us to submit to the judge.

Do I Need to Get a Letter or Form From My Doctor?

We will ask you to get a letter or form from your doctor. While medical records are necessary for your case, the letter can make your case much stronger. This is not always possible if you do not have a supportive doctor or have a doctor that just doesn’t do forms and letters as a policy. Just do the best you can.

What If I Can’t Afford to See Doctors?

Medical evidence is the most important part of winning your case; you cannot win without it. Most people looking for disability are in the same boat: no job to pay for hospital bills and no health insurance. But, there are places that you can go for help that are either free or charge a smaller fee for those who do not have insurance such as the Doctors Volunteer Clinic, Family Healthcare, and Intermountain Health Care family practices. Medicaid is also available to people with lower income levels, which includes most people filing for disability.

Should I Send Anything to the Social Security Administration?

No. As a rule, do not send anything of any substance to the Social Security Administration without our office giving you directions on how to complete it first. The only exception to this rule is medical consent forms, you may sign them and send them directly back to SSA. We don’t need to see those.

Will I Have to Fill Out Any Additional Forms?

Sometimes SSA will send you a form to complete about your daily activities, work history, symptoms, etc. If you want to discuss a form with us before completing it, please call; but here’s the advice we always give: be truthful. Don’t exaggerate; but don’t minimize your problems either. Include plenty of details and examples that show your limitations; but don’t go on and on. Complete any form as soon as possible after you get it and send it to Social Security, even if the deadline stated in the letter has passed.

Will the SSA Ask Me to See One of Their Doctors?

Sometimes SSA will ask you to see a private doctor who is paid by SSA for what they call a "consultative examination." However, the quality of such examinations varies widely. SSA's rules state that your own doctor can perform such an examination if your doctor is able to do it and agrees to accept the payment offered by SSA. If SSA wants to send you for a consultative examination, we may ask that your own doctor do this exam. If you get a notice to go to a consultative examination, make sure you let Social Security know whether or not you can be there. We will also send you additional information about the exam and request a report on from you on what happened.

Should I Call You Whenever I See a Doctor?

No. It is not necessary to telephone us to tell us about routine medical care. But keep track of the dates of all medical treatment from now on. We will gather this information from you when we request your hearing; and we may periodically request updated medical information from you.

Under What Circumstances Should I Call You?

If one of the following things happens, please call us:

• There is a dramatic change in your condition - for the worse or the better.
• Your doctor gives you a new diagnosis.
• You start seeing a new doctor.
• You are hospitalized.
• You go back to work.
• You change your address and/or telephone.
• Someone from SSA contacts you.
• You get a letter from SSA that you don't understand.
• You get a notice from SSA telling you that you are or are not disabled.
• You become homeless, or get a foreclosure or eviction notice.

If at any time you have a question about your case, please don’t hesitate to call, email, or come into the office. We are here to help.

Benefits of Having Legal Representation

Although it is not legally mandated that you hire one, you would do well to contact an experienced disability attorney to help you with your claim. At the very least, you may want to speak with a lawyer and get an evaluation of your case.

The laws and regulations governing SSDI applications and appeals can be complex and often require a skilled and experienced attorney to fully understand them. Speaking to a lawyer will save you time and give you the best odds of getting your claim approved the first time around.

If your claim is denied, an attorney will navigate the post-decision appeals process for you and work to remedy the issues with your case. During all of this, your lawyer will keep you up to speed on your case and the legal issues that arise.