WHICH DISABILITY BENEFIT ARE YOU APPLYING FOR?

There are two different disability programs, both administered by the Social Security Administration (SSA).  Both of them commonly get called "disability benefits," but the two programs are not at all alike.

There is Social Security Disability, also called SSDI or Title 2.  It's for individuals who have worked long enough, and recently enough, and paid enough taxes into Social Security.

The other program is Supplemental Security Income, also called SSI or Title 16.  It doesn't require any work or taxes but restricts the claimant's income and financial means.

Let's compare the 2 programs.

SSDI (TITLE 2)

• No restrictions on your income or money in the bank
• Where you live has no affect on your benefits
• Requires you have worked and paid into the system
• Monthly benefit is based on your lifetime earnings history and may be has high as $3,011 per month (maximum).
• You must be found unable to work to qualify.
• SSDI comes with Medicare after 29 months of disability.

SSI (TITLE 16)

• Maximum monthly benefit is only $783 in 2020.
• Has severe restrictions on your income and financial means.
• Does not require that you have worked or paid any FICA tax.
• You must be found unable to work (or be over age 65) to qualify.
• SSI comes with Medicaid beginning the first month after disability occurs.

So, the 3 big differences in the two programs are:  SSDI requires that a claimant has worked the required amount of time and paid into the program to be covered, while SSI has no such work requirement.  SSDI does not limit a claimant's income or financial means but SSI does.  And finally, the maximum SSDI benefit is $2,861 per month but the maximum SSI benefit is $783 per month.

You might also look at the two programs this way:

SSDI is a disability insurance policy sold by the US government and every worker is required by law to pay into it.  Only workers pay in, so only workers are covered.  SSDI actually stands for Social Security Disability Insurance.

SSI (Supplemental Security Income) is a type of welfare for aged or impoverished individuals that does not require any taxes to paid in but provides a much smaller benefit.

The definition of "disability" is the same under both SSDI and SSI.  Generally, a claimant must be found medically unable to perform any full time work in order to get a benefit.  In the case of SSI, an individual may be eligible if he/she is age 65 or over and meets the income and resource restrictions, even if they are not disabled.

It is sometimes possible for an individual to receive both an SSDI and an SSI benefit if the two benefits combined do not exceed $783 per month.

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Confused and need help sorting it all out?  Call the Forsythe Firm (256) 799-0297.  Free consultations with no obligation.