Social Security Disability Insurance (SSDI)

SSDI provides benefits to individuals who have worked and paid Social Security taxes for a certain number of years but are now unable to work due to a disability.

How SSDI Pay is Calculated

The amount of SSDI pay you’ll receive depends on your average lifetime earnings before your disability. The Social Security Administration (SSA) calculates your benefits based on a formula that considers your Primary Insurance Amount (PIA). This is determined by the average of your highest-earning years.

• Higher earnings, higher benefits: The more you paid into Social Security (through payroll taxes) during your working years, the higher your SSDI benefits will be.
• Average SSDI Payment: In 2023, the average SSDI payment is about $1,483 per month, but it can range from a minimum of around $800 to a maximum of $3,600 or more, depending on your work history and earnings.
• Work History and Credits: SSDI benefits are earned based on work history. You need to have worked and earned at least 40 work credits, with 20 of those credits earned in the past 10 years, to qualify. Your monthly SSDI payment amount will be based on the amount you paid into Social Security during your working years.

Considerations for SSDI Pay

• Family Benefits: If you're approved for SSDI, your family members (spouse, children) may also be eligible for dependent benefits.
• Cost of Living Adjustments (COLA): Each year, SSDI benefits may be adjusted for inflation to reflect the cost of living.

Supplemental Security Income (SSI)

Unlike SSDI, SSI is a needs-based program that provides financial assistance to individuals who are disabled, blind, or aged 65 or older and have limited income and resources, regardless of their work history.

How SSI Pay is Calculated

SSI payments are based on the federal benefit rate, which is the same across the U.S., although some states provide additional benefits. For 2023:

• Federal SSI Payment: The maximum federal payment for an individual is $914 per month, and for a couple, it's $1,371 per month.
• State Supplementation: Some states, like California, New York, and Massachusetts, provide additional benefits to SSI recipients, which can increase the amount you receive.
• Income and Resource Limits: Your eligibility for SSI depends on your income and resources. In 2023, you must have less than $2,000 in assets if you're an individual, or $3,000 if you're a couple, to qualify. Certain income, such as wages or pensions, will reduce your SSI benefits.

Considerations for SSI Pay

• Resource and Income Limits: If your income or resources exceed the limit, you may not qualify for SSI benefits.
• No Work History Requirement: Unlike SSDI, SSI doesn’t require you to have a work history. It’s designed for individuals who are disabled or elderly and don’t have enough financial resources.

Other Factors That Affect Disability Pay

There are a few additional factors that may affect your disability pay:

• Income from Other Sources: If you are receiving income from other sources, such as a pension, unemployment benefits, or other disability insurance, it could reduce your SSI or SSDI benefits.
• Work and Earnings: For SSDI, if you are still able to work part-time, the SSA will assess your ability to perform "substantial gainful activity" (SGA). If you earn above a certain amount (in 2023, $1,470 per month), you may not qualify for SSDI benefits. For SSI, your earnings will also affect your benefit amount.
• Dependents: Your family members may be eligible for a portion of your benefits. For SSDI, dependents, such as children or spouses, may be eligible for auxiliary benefits. However, SSI is generally only for the individual and doesn't include dependent benefits.