The third stimulus payment went to SSDI recipients in two waves: those with direct deposit received funds between March 17 and March 26, 2021, and those receiving checks by mail got them starting in early April 2021.

The third Economic Impact Payment, authorized under the American Rescue Plan Act in March 2021, was $1,400 per person. The Social Security Administration did not need you to take any action. SSA used the same banking information on file from your regular SSDI payments to send the money directly to your account, or mailed a check to your address of record if you did not have direct deposit set up.

Unlike the first two stimulus payments, the third payment treated SSDI recipients the same way it treated other Social Security beneficiaries. You did not have to file a tax return or contact the IRS. The payment arrived automatically based on your Social Security record.

Key Takeaways

  • SSDI recipients with direct deposit received the third stimulus between March 17 and March 26, 2021, with no action required on their part.
  • Those without direct deposit received checks by mail starting in early April 2021, which took longer to arrive depending on postal delivery times.
  • The IRS used your Social Security record to determine payment amount and delivery method, so you did not need to file a tax return or contact any agency.
  • If you did not receive your payment by late April 2021, you could check the IRS "Get My Payment" tool or contact the IRS for tracing information.

Why SSDI recipients were treated differently in the first two stimulus rounds

The first two stimulus payments (in 2020) created confusion for SSDI recipients because the IRS initially required people who did not file tax returns to submit a straightforward form to receive the money. Many SSDI recipients, especially those with no other income, do not file taxes and did not know they needed to act. The IRS later automated this process, but delays and missed payments were common.

By the time the third payment was authorized in 2021, the IRS and Social Security had worked out a smoother system. SSA proactively sent the IRS a list of all SSDI beneficiaries and their payment information. This meant the third payment reached SSDI recipients much faster and with far fewer errors than the first two rounds.

How the payment amount was calculated for SSDI recipients

The third stimulus was $1,400 for each person who met income limits. For SSDI recipients, the IRS used your 2020 tax return (if you filed one) or your Social Security earnings record to determine whether you fell within the income threshold. Most SSDI recipients may have access to because the income limits were high: $75,000 for single filers and $150,000 for married couples filing jointly.

If you received SSDI, you almost certainly met the income test, since SSDI monthly payments are modest and most recipients have no other substantial income. The IRS did not reduce or deny the payment based on SSDI income itself.

What to do if you did not receive your third stimulus payment

If you did not receive your $1,400 by late April 2021, the first step was to check the IRS "Get My Payment" tool on the IRS website. This tool showed the payment status, the delivery method (direct deposit or check), and the date it was sent. If the tool showed the payment was mailed, you could wait longer for postal delivery, which sometimes took several weeks.

If the tool showed no payment record or an error, you could contact the IRS at 1-800-829-1040 to request a payment trace. The IRS would investigate and either reissue the payment or provide information about why you were not sent one. You could also claim the payment as a credit on your 2021 tax return if you eventually filed one, though this was a slower way to recover the money.

SSDI and stimulus payments: tax treatment

The third stimulus payment was not taxable income. You did not report it on your tax return, and it did not affect your SSDI benefits. Unlike some other forms of income, stimulus payments do not count toward the substantial gainful activity (SGA) limit that can affect your work incentives or benefits.

The payment also did not trigger any reporting requirement to Social Security. You did not need to tell SSA that you received it, and it did not affect your Medicare or Medicaid coverage. This was true even if you were in a work incentive program like Plan to Achieve Self-Support (PASS) or Impairment Related Work Expenses (IRWE).

Dependents and the third stimulus

If you were claimed as a dependent on someone else's tax return, you did not receive a separate $1,400 payment. Instead, the person who claimed you as a dependent received an additional $1,400 on your behalf. This rule applied even if you were an adult receiving SSDI and someone else (such as a parent or representative payee) was claiming you as a dependent for tax purposes.

If you were not claimed as a dependent and had your own Social Security record, you received your own $1,400 payment. The IRS used your individual record to determine this, not your household status or living situation.

Frequently Asked Questions

Did I have to do anything to get the third stimulus if I was on SSDI?

No. Social Security sent the IRS a list of all SSDI beneficiaries, and the IRS automatically sent the payment to your direct deposit account or mailed a check to your address on file. You did not need to file a tax return, contact the IRS, or submit any form.

What if I moved after my SSDI payment started but before the stimulus was sent?

If you updated your address with Social Security before March 2021, the check was mailed to your new address. If you did not update it, the check went to your old address. You could contact the IRS or use the "Get My Payment" tool to update your address and request a reissue if the check was lost.

Did the third stimulus affect my SSDI benefits or Medicare coverage?

No. The stimulus payment was not counted as income for SSDI purposes, did not reduce your monthly benefit, and did not affect your Medicare or Medicaid coverage. It also did not count toward any work incentive limits.

What if I received the payment but think it was the wrong amount?

The correct amount for the third stimulus was $1,400 per person with no reductions based on income for most SSDI recipients. If you received less or more, you could check the IRS "Get My Payment" tool or contact the IRS at 1-800-829-1040 to report the discrepancy.

Can I claim the third stimulus on my taxes if I never received it?

Yes. If you did not receive your $1,400 by the time you filed your 2021 tax return, you could claim the Recovery Rebate Credit on that return. This credit would either reduce your tax owed or increase your refund. You would need to file a return to claim it.