For millions of Americans (9,919,094 people in 2018, according to the SSA), Social Security Disability Insurance (SSDI) provides important financial support.
SSDI benefits are a lifeline for those who cannot work due to disability. However, several situations can stop these benefits. Consider these factors to help you avoid unexpected disruptions to your SSDI income.
1. Returning to work
Your SSDI benefits can stop if you return to work. The SSDI program exists to support people who cannot work due to disability. If you start earning more than a certain limit, the Social Security Administration (SSA) will stop your benefits. They call this limit the Substantial Gainful Activity (SGA). In 2021, for example, the SGA was $1,310 per month for non-blind individuals and $2,190 for blind individuals.
2. Medical improvement
A significant improvement in your medical condition can also end your SSDI benefits. The SSA conducts regular Continuing Disability Reviews (CDRs) to monitor your health. If they determine that you no longer meet their definition of disability, your SSDI benefits will end.
3. Other reasons for termination
Other factors can also stop your SSDI benefits. For example, when you reach retirement age, the SSA will convert your SSDI benefits to retirement benefits, which could be lower. Moreover, if authorities incarcerate you for more than 30 days or if you get charged with committing a crime, the SSA will suspend your SSDI benefits. Furthermore, your SSDI benefits are at risk if you fail to cooperate with the SSA’s requests for information or if you don’t follow prescribed treatment without a valid reason.
Knowing the circumstances that can stop your SSDI benefits is essential for effective financial planning. Stay informed and updated on the rules and regulations governing your SSDI benefits to ensure your financial stability.