Working Part Time on SSDI in New Jersey
2/21/2026 | 1 min read
Working Part Time on SSDI in New Jersey
Social Security Disability Insurance (SSDI) provides essential financial support to individuals who cannot work due to a qualifying disability. However, many New Jersey residents receiving SSDI benefits wonder whether they can supplement their income by working part-time without jeopardizing their benefits. The answer is nuanced and depends on several critical factors that every beneficiary should understand.
The Social Security Administration (SSA) does permit SSDI recipients to work under specific conditions, but there are strict rules and income thresholds that must be followed. Understanding these regulations is crucial for New Jersey residents who want to maintain their disability benefits while exploring employment opportunities.
Understanding Substantial Gainful Activity
The primary concept governing work while on SSDI is Substantial Gainful Activity (SGA). The SSA defines SGA as work activity that involves significant physical or mental duties performed for pay or profit. For 2024, the monthly SGA threshold is $1,550 for non-blind individuals and $2,590 for blind individuals. These figures are adjusted annually for inflation.
If your monthly earnings exceed the SGA level, the SSA generally considers you capable of substantial work, which could result in termination of your SSDI benefits. However, the SSA does not simply look at gross wages when determining SGA. They consider your net earnings after deducting:
- Impairment-related work expenses (IRWE)
- Unincurred business expenses for self-employed individuals
- Subsidies or special work conditions that reduce your productivity
New Jersey SSDI recipients should carefully document all work-related expenses that qualify under these categories, as they can significantly increase the amount you can earn while remaining below the SGA threshold.
Trial Work Period and Extended Period of Eligibility
The SSA recognizes that individuals with disabilities may want to test their ability to work without immediately losing benefits. To facilitate this, the agency offers a Trial Work Period (TWP) that allows you to work for up to nine months (not necessarily consecutive) within a rolling 60-month period while receiving full SSDI benefits regardless of 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 continue receiving your full SSDI payment, providing a safety net while you determine whether you can sustain employment.
After completing your TWP, you enter an Extended Period of Eligibility (EPE) lasting 36 consecutive months. During the EPE, you receive SSDI benefits for any month your earnings fall below the SGA level. If your earnings exceed SGA in any month during the EPE, you do not receive benefits for that month, but your benefits can be reinstated without a new application if your earnings drop below SGA within the 36-month window.
Reporting Requirements for New Jersey Recipients
SSDI beneficiaries in New Jersey who begin working part-time have a legal obligation to report their work activity to the SSA promptly. Failure to report work and earnings can result in overpayments that must be repaid, and in severe cases, allegations of fraud.
You should report the following information to your local New Jersey Social Security office:
- The date you started or stopped working
- Your gross monthly wages or net self-employment income
- Your employer's name and contact information
- Changes in work hours or duties
- Any work expenses related to your disability
New Jersey residents can report work activity online through their my Social Security account, by phone at 1-800-772-1213, or by visiting a local field office. Maintaining detailed records of all communications with the SSA, including dates and the names of representatives you speak with, provides important protection.
Special Considerations for Self-Employment
Self-employment presents unique challenges for SSDI recipients in New Jersey. The SSA evaluates self-employment using different criteria than traditional employment, focusing on three potential tests:
The three tests of self-employment examine whether your work activities constitute SGA based on: (1) significant services and substantial income from your business; (2) earnings averaging more than the SGA amount; or (3) work activity comparable to that of non-disabled individuals in your community engaged in similar businesses.
If you are self-employed in New Jersey and receiving SSDI, you must report your net earnings from self-employment (gross income minus business expenses). The SSA will determine whether your work constitutes SGA based on the value of your services to the business, regardless of actual income in some cases. This evaluation can be complex and may require professional guidance.
State-Specific Resources and Protections in New Jersey
New Jersey offers additional resources to support SSDI beneficiaries who want to return to work. The New Jersey Division of Vocational Rehabilitation Services (DVRS) provides counseling, training, and job placement assistance to individuals with disabilities. These services are designed to help you maximize your earning potential while maintaining benefit eligibility when appropriate.
Additionally, New Jersey's Temporary Disability Insurance (TDI) and Family Leave Insurance (FLI) programs operate separately from federal SSDI. Understanding how these state programs interact with federal disability benefits is important for comprehensive planning. Some individuals may be eligible for both state and federal benefits during certain periods, though careful coordination is necessary.
The Garden State also has robust employment discrimination protections under the New Jersey Law Against Discrimination (LAD). If you attempt to return to work part-time and face disability-based discrimination, you have legal recourse under both federal and state law. Employers in New Jersey must provide reasonable accommodations to qualified individuals with disabilities, which may enable part-time work arrangements that accommodate your limitations.
Practical Steps for Working While on SSDI
Before beginning part-time employment while receiving SSDI in New Jersey, consider taking these protective steps:
- Consult with the SSA's Work Incentives Planning and Assistance (WIPA) program for personalized benefits counseling
- Document all medical limitations and how your proposed work accommodates them
- Maintain meticulous records of hours worked, wages earned, and disability-related work expenses
- Report all work activity promptly to avoid overpayments
- Keep copies of all correspondence with the SSA
- Consider consulting with an attorney experienced in disability benefits before making significant employment decisions
Working part-time while receiving SSDI can provide financial, social, and psychological benefits, but navigating the complex rules requires careful attention. A single mistake in reporting or exceeding income thresholds without understanding the applicable work incentives can jeopardize benefits that may be difficult to reinstate.
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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