Understanding the Difference Between SSI and SSDI

Before diving into why someone may be denied SSI but approved for SSDI, it's important to understand how these two programs work and their eligibility criteria:

• SSI (Supplemental Security Income): SSI is a needs-based program designed for individuals who are disabled, blind, or elderly and have limited income and resources. To qualify for SSI, you must meet specific financial criteria (low income and limited assets) in addition to having a disability that meets the SSA's definition of disability.
• SSDI (Social Security Disability Insurance): SSDI is an earned benefit based on the work history of the applicant. To qualify for SSDI, you must have worked and paid Social Security taxes for a certain number of years. In addition to meeting the disability requirements, you must have a sufficient work history to qualify for SSDI benefits.

Why You Could Be Denied SSI But Approved for SSDI

There are several reasons why a person might be denied SSI but approved for SSDI. Let’s break down the key differences that could lead to such an outcome:

• Work History and Earnings: One of the main reasons you might be approved for SSDI but denied SSI is due to the work history requirement. SSDI is based on the number of work credits you've earned, and if you have a sufficient work history (i.e., you've worked for a certain number of years and paid Social Security taxes), you could qualify for SSDI, even if your income or resources are above the SSI limit. If you haven't earned enough work credits or have a limited income, you may not meet the SSI eligibility criteria.
• Income and Asset Limits: SSI has strict income and asset limits. If you have assets (like savings, property, or other resources) that exceed the SSA's allowable limit, you may be denied SSI even though your disability qualifies. On the other hand, SSDI does not have such strict income or asset requirements because it is based on your work history, not financial need.
• Financial Need for SSI: Since SSI is a needs-based program, you must have limited income and financial resources. If you earn too much money through work or have significant savings or property, you might be disqualified from SSI, even if you meet all other disability requirements. SSDI, however, is not concerned with your financial situation; it's based on your ability to work and whether you have a qualifying disability.
• Disability Severity: Both SSI and SSDI require that your disability meets the SSA's criteria, but it is possible that your disability might be severe enough for SSDI approval while not meeting the criteria for SSI, especially in cases where financial resources are a key factor. In some cases, the SSA might find that your condition qualifies you for SSDI based on your inability to work, but it might not find that you meet the income and asset limitations for SSI.

What Happens if You Are Denied SSI But Approved for SSDI?

If you are approved for SSDI but denied SSI, you will start receiving SSDI benefits but will not qualify for SSI benefits unless your financial situation changes. If you were denied SSI because of excess income or assets, but you later experience a decrease in income or sell assets that exceed the limit, you can reapply for SSI once you meet the financial criteria.

What Should You Do If You Are Denied SSI?

If you have been denied SSI but approved for SSDI, there are a few things you can do:

• Reapply for SSI: If your financial situation changes and you now meet the income and asset limits, you can reapply for SSI. This would allow you to receive the additional financial assistance that SSI provides, on top of your SSDI benefits.
• Appeal the SSI Denial: If you believe that the SSI denial was incorrect or that the SSA made a mistake in determining your eligibility, you can appeal the decision. Keep in mind that the appeals process can be lengthy, so it may be helpful to work with a disability lawyer or advocate.
• Seek Assistance from a Disability Lawyer: A disability lawyer can help you navigate the complexities of both SSDI and SSI claims. They can also help you understand why you were denied SSI and whether there’s an opportunity to appeal or reapply based on changes in your financial or medical situation.

Can You Receive Both SSI and SSDI?

In some cases, individuals may qualify for both SSDI and SSI. This is known as concurrent benefits. If your SSDI benefits are too low to meet your basic needs, and you also meet the income and asset criteria for SSI, you may receive both types of benefits.

However, the SSI benefit will typically be reduced by the amount of your SSDI payment, so you won’t receive a full SSI amount if you are already getting SSDI. If you are approved for SSDI and later find that your benefits are insufficient, applying for SSI could be a good option.