What disability and Social Security benefits are

Social Security Disability Insurance (SSDI) and Supplemental Security Income (SSI) are two separate programs that pay monthly cash to people who cannot work because of a medical condition. They are run by the Social Security Administration, a federal agency. The programs have different rules about who can receive them, how much you get paid, and what other income or resources you can have.

SSDI is based on your own work history or your parent's work history. SSI is based on financial need — it does not matter whether you have worked. Both programs require that a doctor confirm you have a condition that prevents substantial work and will last at least 12 months or result in death.

The amount you receive each month depends on which program you may have access to for, your work history (for SSDI), and your household income and resources (for SSI). This article explains how the two programs differ and what affects your monthly payment.

Key Takeaways

  • SSDI pays based on your work record; SSI pays based on financial need, and you can receive both at the same time.
  • Your SSDI payment amount is calculated from your average lifetime earnings, and the Social Security Administration publishes the formula they use.
  • SSI payments are reduced dollar-for-dollar if you have other income, and your resources (savings, property) cannot exceed $2,000 for an individual or $3,000 for a couple.
  • If you work while receiving either benefit, your payment may be reduced or stopped depending on how much you earn and which program you are on.
  • Your payment amount can change if you get married, have a child, move to a different state, or your medical condition improves.

How SSDI payment amounts are calculated

Your SSDI payment is based on your Primary Insurance Amount (PIA), which the Social Security Administration calculates from your average earnings over your working years. The formula uses your 35 highest-earning years. If you have worked fewer than 35 years, zeros are counted for the missing years, which lowers your average.

The Social Security Administration applies a formula to your average earnings to arrive at your PIA. The formula bends — it replaces a higher percentage of lower earnings and a lower percentage of higher earnings. This means two people with very different work histories will not receive proportionally different payments. The exact formula changes each year based on national wage trends.

You can see your own earnings record and a rough estimate of your SSDI payment by creating an account at ssa.gov and viewing your Social Security Statement. The statement shows your estimated payment at full retirement age, but your actual SSDI payment may differ because SSDI uses a different calculation than retirement benefits.

How SSI payment amounts are calculated

SSI payments start with a federal base amount set by Congress, which changes each year. In 2024, the federal base is $943 per month for an individual and $1,415 for a couple, but these amounts increase annually. Some states add their own money on top of the federal amount, so your total SSI payment depends on which state you live in.

Your actual SSI payment is reduced by other income you receive. If you have a job, the first $65 of your monthly earnings and half of the remainder do not count against your SSI. Other income — such as unemployment, child support, or help from family — reduces your payment dollar-for-dollar. If your other income is high enough, your SSI payment becomes zero.

SSI also has a resource limit. You cannot have more than $2,000 in countable resources as an individual or $3,000 as a couple. Resources include savings, checking accounts, stocks, and vehicles (though one vehicle is usually not counted). Your home and personal items do not count. If you exceed the resource limit, you lose SSI until your resources drop below the limit again.

Receiving both SSDI and SSI at the same time

You can receive both SSDI and SSI in the same month. This happens when your SSDI payment is very low — lower than the SSI federal base amount for your state. The SSI program then pays the difference, bringing your total to the state's SSI level.

When you receive both programs, SSI rules about resources still explore. Your countable resources cannot exceed $2,000 as an individual. Your SSDI payment counts as income for SSI purposes, so it reduces how much SSI you receive, but the SSI program ensures you reach a minimum monthly amount.

What happens to your payment if you work

If you receive SSDI and work, your payment is not reduced based on how much you earn. However, if your earnings show that you can do substantial work, the Social Security Administration may decide your condition no longer prevents work and stop your benefits. The threshold for "substantial work" changes yearly; in 2024, it is $1,550 per month.

SSDI also includes a Trial Work Period of nine months. During these nine months, you can earn any amount and keep your full SSDI payment. The nine months do not have to be consecutive. After the Trial Work Period ends, you enter an Extended may be able to access Period of 36 months. During this time, if you earn more than the substantial work amount, your payment stops for that month, but you keep your Medicare coverage and can restart benefits without reapplying if your earnings drop.

If you receive SSI and work, your payment is reduced based on your earnings. The first $65 per month of earnings and half of the remainder do not count. If you earn $200 per month, for example, $65 does not count, leaving $135. Half of $135 is $67.50, so your SSI payment is reduced by $67.50. If your earnings are high enough, your SSI payment becomes zero, but you keep Medicaid coverage in most states.

Changes that affect your payment amount

Your SSDI or SSI payment can change for several reasons. If you get married, your payment may increase or decrease depending on your spouse's income and resources. If you have a child, you may become a representative payee, and the rules about your payment change. If you move to a different state, your SSI payment may change because some states add money to the federal base.

If your medical condition improves, the Social Security Administration may schedule a medical review. If they determine you can work, your benefits stop. You have the right to request reconsideration and to appeal if you disagree with their decision. If your condition worsens, you can report this to the Social Security Administration, and they may increase your payment or restore benefits if they were stopped.

Cost-of-living adjustments (COLA) happen once per year, usually in January. Both SSDI and SSI payments increase by the same percentage, which is based on inflation. This adjustment is automatic — you do not have to do anything to receive it.

How your payment compares to other benefits

SSDI and SSI are different from other programs you may have heard of. Social Security Retirement Benefits are paid to people who are 62 or older and have worked long enough. Social Security Survivor Benefits are paid to family members of a worker who has died. Both use the same earnings-based calculation as SSDI, but they are not disability programs.

Workers' Compensation is paid by employers for work-related injuries and is separate from Social Security. Veterans Benefits are paid by the Department of Veterans Affairs to military service members and their families. These programs have their own rules and payment amounts. You may be able to receive one of these programs and SSDI or SSI at the same time, but the rules vary.

Frequently Asked Questions

Does my SSDI payment change if I get married?

Your SSDI payment itself does not change based on marriage. However, if your spouse also receives Social Security benefits, their payment may be affected by your marriage. If you receive SSI, marriage can change your payment because your spouse's income and resources now count toward the household limit.

What is the maximum SSDI or SSI payment I can receive?

SSDI payments vary widely based on your work history; there is no single maximum, but the average is around $1,550 per month. SSI has a federal base of $943 per month for an individual in 2024, though some states pay more. Both amounts increase each January.

Can I receive disability benefits if I have never worked?

You cannot receive SSDI based on your own work record if you have never worked. However, you may receive SSI if you have a disability and limited income and resources. You may also receive SSDI based on a parent's work record if you became disabled before age 22 and your parent is retired, disabled, or deceased.

What happens to my payment if I go back to school or training?

If you receive SSDI, going to school does not affect your payment. If you receive SSI and are under 22, you may be able to attend school without your SSI payment being reduced, but the rules are complex and depend on your specific situation. Contact the Social Security Administration to discuss your plans.

How often does the Social Security Administration review my case?

The frequency of medical reviews depends on your condition. Some people are reviewed every three years, others every seven years, and some only if circumstances change. The Social Security Administration will send you a notice telling you when your review is scheduled.