How SSDI Benefits Are Calculated

SSDI benefits are based on your average lifetime earnings, which is referred to as your Primary Insurance Amount (PIA). Your PIA is determined by a formula that takes into account your average indexed monthly earnings (AIME). Here's how it works:

• Average Indexed Monthly Earnings (AIME): The SSA calculates your AIME by reviewing your highest-earning years. They adjust (or index) your earnings based on inflation, taking into account the 35 years in which you earned the most money. If you have only worked for 20 years, your highest earnings will be averaged over those years. The more you earned during those years, the higher your AIME will be.
• Primary Insurance Amount (PIA): After calculating your AIME, the SSA applies a formula to determine your PIA. For 2025, the formula applies three brackets:
• 90% of the first $1,115 of your AIME.
• 32% of your AIME between $1,115 and $6,721.
• 15% of your AIME above $6,721.
• Benefit Amount: Your PIA represents the monthly SSDI benefit amount you are eligible to receive if you are awarded benefits. The actual amount you receive could be higher or lower, depending on factors like age at the time of application and if there are any additional dependents eligible for benefits.

How Long You’ve Worked Affects SSDI Benefits

If you’ve worked for 20 years, this is an important factor in determining how much you can receive. The SSA typically requires 40 work credits to qualify for SSDI, which is roughly equivalent to 10 years of work. With 20 years of work, you have earned enough credits to qualify for SSDI benefits.

Estimating Your SSDI Benefits After 20 Years of Work

To give you a rough idea of how much you might expect to receive, let’s consider a few general scenarios based on average earnings over the years:

• Lower Income: If you had an average income over the past 20 years of $30,000 per year, your SSDI benefit might range from $1,200 to $1,500 per month.
• Higher Income: If you earned $70,000 or more per year consistently over the last 20 years, your SSDI benefit could range from $2,000 to $2,500 per month.

Note: These are estimates, and the actual amount can vary significantly depending on your lifetime earnings and the specific details of your work history.

What Affects Your SSDI Benefit Amount?

Several factors can impact your SSDI benefit amount:

• Earnings History: Your benefit is based on your average lifetime earnings, and the higher your income during your working years, the higher your SSDI benefits will be.
• Inflation Indexing: The SSA adjusts your earnings over time to reflect inflation, which can increase the amount you’re eligible for based on changes in the cost of living.
• Age: If you apply for SSDI benefits before reaching full retirement age, your benefits will be based on your PIA. If you are eligible for early retirement, this could affect the monthly amount you will receive.
• Family and Dependents: If you have dependents, they may be eligible for auxiliary benefits, which can provide additional payments based on your SSDI benefits.

How to Get an Estimate of Your SSDI Benefits

If you're unsure about how much you'll receive from SSDI based on your earnings history, the SSA provides an online tool called the Benefit Calculator that can give you an estimate of your SSDI benefits based on your actual earnings record. You can also check your Social Security statement to view your projected benefits.

To get your benefit estimate, follow these steps:

• Create or log in to your SSA account at www.ssa.gov.
• Use the SSDI Benefit Calculator to get an estimate based on your earning record.