Working Part Time on Disability in Wisconsin

Working Part Time on Disability in Wisconsin

Receiving Social Security Disability Insurance (SSDI) benefits doesn't necessarily mean you cannot work at all. Many Wisconsin residents receiving disability benefits wonder if they can supplement their income through part-time employment without jeopardizing their monthly payments. Understanding the rules and limitations surrounding work activity while on SSDI is crucial to maintaining your benefits and avoiding potential overpayments that may need to be repaid.

Understanding Substantial Gainful Activity Limits

The Social Security Administration (SSA) uses a concept called Substantial Gainful Activity (SGA) to determine whether work activity affects your disability status. For 2024, the SGA limit is $1,550 per month for non-blind individuals and $2,590 for those who are statutorily blind. These figures are adjusted annually for inflation.

If your gross monthly earnings exceed the SGA threshold, the SSA may determine that you are capable of substantial gainful activity and could terminate your benefits. However, the calculation isn't always straightforward. The SSA considers your gross earnings before taxes but may subtract certain work-related expenses for individuals with disabilities, known as Impairment-Related Work Expenses (IRWEs).

Wisconsin residents working part-time while receiving SSDI should carefully track their monthly earnings to ensure they remain below the SGA limit. Even if your hourly wage seems modest, working too many hours could push you over the threshold and trigger a benefits review.

Trial Work Period Protections

The SSA provides important protections for disability beneficiaries who want to test their ability to work through what's called a Trial Work Period (TWP). This provision allows you to work and earn any amount for up to nine months (not necessarily consecutive) within a rolling 60-month period without losing your benefits.

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 trial period, you continue receiving full SSDI benefits regardless of your earnings, as long as you report your work activity and still have a disabling impairment.

The trial work period offers valuable opportunities for Wisconsin beneficiaries to:

• Determine whether they can maintain employment despite their disability
• Build work skills and experience without immediate risk to benefits
• Transition gradually back into the workforce
• Increase household income during the trial months

After completing your nine trial work months, you enter an Extended Period of Eligibility, which provides additional protections for 36 months. During this time, you receive benefits for any month your earnings fall below the SGA level.

Reporting Requirements and Compliance

Wisconsin SSDI beneficiaries have a legal obligation to report work activity to the Social Security Administration promptly. Failure to report can result in overpayments that you'll be required to repay, potentially with penalties.

You must report:

• When you start or stop working
• Changes in your work hours or duties
• Changes in your pay rate or income
• Any work-related expenses due to your disability

The easiest way to report work activity is by calling the SSA at 1-800-772-1213 or visiting your local Wisconsin Social Security office. Milwaukee, Madison, Green Bay, and other Wisconsin cities have field offices where you can speak with representatives in person. You can also report work activity through your personal my Social Security account online.

Keep detailed records of all work activity, including pay stubs, invoices if self-employed, and documentation of any impairment-related work expenses. This documentation becomes critical if the SSA reviews your case or if questions arise about your earnings.

Wisconsin-Specific Considerations and Resources

Wisconsin offers several programs and resources to help disability beneficiaries who want to work. The Wisconsin Division of Vocational Rehabilitation (DVR) provides employment services, job training, and support for individuals with disabilities. DVR counselors can help you develop a plan to return to work while protecting your benefits.

The state also participates in the Ticket to Work program, a voluntary SSA initiative that helps disability beneficiaries obtain employment services and vocational rehabilitation at no cost. Wisconsin residents can use their Ticket to Work with approved Employment Networks throughout the state.

While receiving DVR or Ticket to Work services, you receive additional protections. The SSA generally won't initiate a medical review of your disability while you're making timely progress in an approved vocational rehabilitation program, providing greater security as you attempt to return to work.

Wisconsin's relatively lower cost of living in certain areas compared to coastal states may make part-time work on disability more feasible, as even modest earnings can meaningfully supplement SSDI benefits without exceeding SGA limits.

Protecting Your Benefits While Working

To successfully work part-time while maintaining your Wisconsin SSDI benefits, follow these important guidelines:

• Calculate your expected monthly earnings before accepting any position to ensure they'll remain below the SGA threshold
• Understand which work expenses may be deductible as IRWEs, such as specialized equipment, transportation costs, or attendant care services
• Report all work activity immediately to avoid overpayments and potential fraud allegations
• Consult with vocational rehabilitation specialists before making significant work decisions
• Consider the impact on Medicare, which continues for at least 93 months after your trial work period ends if you return to substantial gainful activity

Many Wisconsin beneficiaries successfully maintain part-time employment while receiving SSDI by staying informed about the rules, tracking their earnings carefully, and communicating regularly with the SSA. Working with an experienced disability attorney can help you understand your rights and make informed decisions about work activity.

The rules governing work activity while receiving disability benefits are complex, with numerous exceptions and special provisions. What works for one person may not work for another, depending on individual circumstances, medical conditions, and financial situations.

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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