Many forms of disability income, such as Supplemental Security Income (SSI) are based on limited resources and income. Others are based simply on how severe your disability is. Social Security Disability Income (SSDI), on the other hand, requires you to have worked and paid taxes into the Social Security system for a certain period of time. Learn how your monthly SSDI payment is calculated and how other sources of disability income can affect the benefits you receive.
Your SSDI Payment is Based on Your Covered Earnings
Covered earnings are your wages that have gone into the Social Security system. Most jobs pay covered wages, as you’ll notice when you look at your paycheck and see that a portion of your income has been withheld for your Social Security taxes or FICA. Your average indexed monthly earnings, or AIME, is the average amount that you have received in income and paid into the Social Security system over a period of time.
Social Security then applies a formula to your AIME for the purpose of determining your primary insurance amount (PIA). This PIA is the basis for determining how much you will receive in your SSDI payment. How much you make or how many assets you have does not affect whether you receive SSDI benefits, nor does how severe your disability is.
Disability Income from Other Sources May Affect Your SSDI
Private sources of disability income like private insurance benefits or a private pension do not affect your SSDI payment. Public disability income, however, may decrease the amount you receive in SSDI. Public forms of disability benefits such as workers’ compensation, local or state government retirement disability benefits, military disability benefits, and temporary state disability benefits could all potentially decrease your monthly SSDI payment.
Even so, you may still qualify for multiple kinds of disability benefits depending on your state’s laws. Check with an disability lawyer in your area to make sure that you are receiving the correct amount of disability income. Keep in mind that the combined total amount that you are receiving from all public sources of disability income, including SSDI, cannot exceed 80% of your average earnings prior to becoming disabled. If your disability income exceeds this amount, the excess will be deducted from your SSDI payment.
Exceptions to this rule include Veterans Administration benefits or SSI, as these don’t affect your SSDI benefits.
Contact an SSDI Lawyer Today
Lewis & Keller proudly serves citizens in the Winston-Salem and Greensboro areas of North Carolina. Our expert lawyers have over 150 years of legal experience combined, and we understand the particulars of the Social Security System. If you’ve been disabled and are in need of disability income, an experienced disability lawyer can assist you with understanding your monthly SSDI payment and how much disability income you’re entitled to.