Can I Work While on SSDI? Your Rights Explained

Social Security Disability Insurance (SSDI) provides crucial financial support to individuals who cannot work due to a qualifying disability. However, many SSDI recipients wonder whether they can engage in any work activity without jeopardizing their benefits. The answer is nuanced and depends on several factors, including the nature of your work, your earnings, and how the Social Security Administration (SSA) evaluates your activities.

Understanding the rules governing work while receiving SSDI benefits is essential for Oregon residents who want to maintain their financial stability while exploring their capacity to return to employment. This article examines the federal regulations that apply to SSDI beneficiaries and provides practical guidance for those considering work activity.

Understanding Substantial Gainful Activity

The Social Security Administration uses a concept called Substantial Gainful Activity (SGA) to determine whether someone is eligible for SSDI benefits. SGA refers to work that involves significant physical or mental activities performed for pay or profit. If you engage in SGA, the SSA generally considers you able to work and therefore not disabled under their definition.

For 2024, the SGA threshold is $1,550 per month for non-blind individuals and $2,590 per month for those who are statutorily blind. These figures are adjusted annually for inflation. If your monthly earnings exceed these amounts, the SSA may determine that you are engaging in SGA and could terminate your benefits.

However, earning below the SGA threshold does not automatically guarantee continued benefits. The SSA also examines whether your work demonstrates an increased capacity to perform substantial work activities, which could indicate medical improvement in your condition.

Trial Work Period: Testing Your Ability to Work

The SSA recognizes that SSDI beneficiaries may want to test their ability to work without immediately losing their benefits. The Trial Work Period (TWP) allows you to work for up to nine months (not necessarily consecutive) within a rolling 60-month period while continuing to receive full SSDI benefits, regardless of your earnings.

For 2024, any month in which you earn more than $1,110 or work more than 80 self-employed hours counts as a trial work month. During this period, you can earn any amount without your benefits being affected. This provides a safety net for Oregon residents who want to explore employment opportunities without the immediate risk of losing their disability income.

After completing your nine trial work months, you enter what the SSA calls the Extended Period of Eligibility (EPE), which lasts for 36 consecutive months. During the EPE, you receive benefits for any month your earnings fall below the SGA level. If your earnings exceed SGA, you will not receive benefits for that month, but you do not need to reapply if your earnings later drop below SGA within the 36-month window.

Types of Work Activity That May Be Permitted

Not all work activity counts the same way when the SSA evaluates your SSDI eligibility. Understanding these distinctions can help you make informed decisions about employment:

• Unsuccessful Work Attempts: If you try to return to work but stop or reduce your hours to below SGA levels within six months due to your disability or the removal of special conditions that accommodated your impairment, this may not count against you.
• Subsidized Work: If your employer provides you with special assistance or accommodations that make your work possible, the SSA may not count the full value of your earnings.
• Volunteer Work: Genuine volunteer work where you receive no payment generally does not affect SSDI benefits, though the SSA may scrutinize such arrangements to ensure they are truly unpaid.
• Impairment-Related Work Expenses (IRWEs): Certain expenses you incur due to your disability that enable you to work can be deducted from your gross earnings when calculating SGA.

Oregon-Specific Considerations

While SSDI is a federal program with uniform rules across all states, Oregon residents should be aware of how work activity might affect other benefits they receive. Many SSDI recipients also qualify for Oregon Health Plan (Medicaid) coverage. Working while on SSDI could potentially affect your Medicaid eligibility, depending on your income level.

Oregon also offers various employment support programs through the state's Vocational Rehabilitation Division. These services can help SSDI beneficiaries explore work opportunities, receive job training, and obtain necessary accommodations. Utilizing these resources can provide valuable support as you navigate the transition back to work.

Additionally, Oregon has robust employment discrimination protections under state law that complement federal Americans with Disabilities Act (ADA) requirements. If you attempt to return to work, your employer must provide reasonable accommodations for your disability unless doing so would create an undue hardship for the business.

Reporting Requirements and Protecting Your Benefits

If you receive SSDI benefits and begin working, you have a legal obligation to report this activity to the Social Security Administration promptly. Failure to report work activity can result in overpayments that you will be required to repay, potentially with penalties.

Best practices for protecting your benefits include:

• Report any work activity to the SSA immediately, even if you believe your earnings are below SGA levels
• Keep detailed records of all earnings, work hours, and any special accommodations or assistance you receive
• Document any impairment-related work expenses that might reduce your countable earnings
• Maintain communication with the SSA and respond promptly to any requests for information
• Consult with a disability attorney before making significant employment decisions that could affect your benefits

The SSA's work incentive programs are designed to encourage beneficiaries to return to work when possible, but the rules are complex and the consequences of misunderstanding them can be severe. Many beneficiaries have lost benefits due to confusion about reporting requirements or miscalculations of their earnings relative to SGA thresholds.

When to Seek Legal Guidance

Given the complexity of SSDI work rules and the potential financial consequences of errors, consulting with an experienced disability attorney is advisable before you begin working. An attorney can help you understand how your specific work situation will affect your benefits, ensure you properly report your earnings, and advocate for you if the SSA takes action to suspend or terminate your benefits.

Legal representation becomes particularly important if the SSA alleges that you have engaged in SGA, proposes to terminate your benefits, or claims you were overpaid due to unreported work activity. An attorney can help you navigate the appeals process and present evidence of unsuccessful work attempts, subsidized employment, or impairment-related work expenses that may preserve your benefits.

Need Help? If you have questions about your case, call or text 833-657-4812 for a free consultation with an experienced attorney.

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