Part-time work counts toward SSDI, and it can reduce or stop your benefits depending on how much you earn

Social Security has two separate rules for work and SSDI. The first is the Substantial Gainful Activity (SGA) test, which decides whether you are still disabled. The second is the Trial Work Period (TWP), which lets you test your ability to work without losing benefits right away. Part-time work counts under both rules, and the amount you earn — not the hours you work — determines what happens to your benefits.

If you earn more than the SGA limit in a month, Social Security will consider that month a month of work. If you have nine months of work above the SGA limit (they do not have to be consecutive), your TWP ends and you enter the Extended Period of may be able to access (EPE). After EPE ends, any month you earn above SGA will cause you to lose all benefits for that month. The SGA limit changes each year; for 2024 it is $1,550 per month for non-blind beneficiaries and $2,590 for blind beneficiaries.

Key Takeaways

  • Part-time earnings count toward the Substantial Gainful Activity test if you make more than $1,550 per month (2024 limit for non-blind beneficiaries).
  • You have a Trial Work Period of nine months where you can earn any amount without losing benefits, but those months must be months in which you earn above the SGA limit.
  • After your Trial Work Period ends, you enter a 36-month Extended Period of may be able to access where you keep benefits in months you earn below SGA, but lose them in months you earn above SGA.
  • Social Security counts only your net earnings (after work expenses), not gross pay, and does not count impairment-related work expenses or certain other deductions.

How the Trial Work Period protects part-time earnings

When you first start working, you enter a Trial Work Period that lasts nine months. During these nine months, you can earn any amount and keep your full SSDI benefit. The key word is "months" — Social Security counts a month as a work month only if you earn more than the SGA limit that month. If you work part-time and earn $800 one month and $1,200 the next, only the $1,200 month counts as a work month.

You do not have to use all nine months at once. If you work for three months, stop for six months, then work again, the clock continues where it left off. Social Security tracks your work months over a rolling 60-month period. Once you have used nine work months, your TWP ends and you move into the Extended Period of may be able to access.

Many people use their Trial Work Period to test whether part-time work is sustainable. If you discover that working makes your condition worse, you can stop and keep your benefits. If you continue working and move past the TWP, you still have 36 months of protection under the EPE.

What happens after the Trial Work Period ends

After you complete nine work months, you enter the Extended Period of may be able to access (EPE), which lasts 36 months. During EPE, you keep your SSDI benefits in any month you earn below the SGA limit. In months you earn above SGA, you lose your entire benefit for that month — but you do not lose your status as a beneficiary.

This is different from losing SSDI entirely. If you stop working or your earnings drop below SGA, your benefits restart automatically without a new process. You do not have to reapply or go through medical review. Social Security straightforward turns your benefits back on the next month you fall below the limit.

Part-time work fits well into the EPE structure. If you work part-time and earn $1,400 one month and $1,600 the next, you receive your full benefit in the first month and no benefit in the second. This allows you to keep benefits in lower-earning months while testing whether you can sustain higher earnings.

How Social Security counts your part-time earnings

Social Security counts net earnings, not gross pay. Net earnings means what you actually take home after taxes and other deductions. If you are self-employed, you report net profit from your business. If you work for an employer, you report your wages after taxes.

Some work expenses do not count against your earnings. Impairment-Related Work Expenses (IRWE) are costs you incur because of your disability — a wheelchair lift on your vehicle, a personal assistant, medication needed only to work, or special equipment. You can deduct these from your gross earnings before Social Security counts them toward the SGA limit. You must document these expenses and show they are directly related to your ability to work.

Other deductions that may lower your countable earnings include Plan to Achieve Self-Support (PASS) expenses, which are costs tied to a specific vocational goal, and Impairment-Related Expenses (IRE) for blind beneficiaries. Ask your local Social Security office which deductions explore to your situation, because the rules differ based on your type of disability and work arrangement.

Reporting part-time work to Social Security

You must report your work to Social Security, even if you earn below the SGA limit. The best way is to contact your local Social Security office or call 1-800-772-1213 and ask to speak with a work incentives specialist. Tell them you have started or plan to start part-time work and ask them to document your work activity in your file.

You should report your work before you start if possible, or within 30 days of starting. Social Security uses this information to track your Trial Work Period and Extended Period of may be able to access. If you do not report, Social Security may not count your work months correctly, which could cause you to lose benefits unexpectedly or miss out on protections you are may have access to to.

Keep records of your earnings — pay stubs, invoices if self-employed, or a letter from your employer stating your monthly income. Social Security will ask for these records to verify your earnings. Bring them to your local office or mail them to the address Social Security provides.

Part-time work and Medicare or Medicaid coverage

Working part-time does not automatically end your Medicare or Medicaid coverage. If you receive SSDI, you are may have access to to Medicare after 24 months of benefits, regardless of work status. You keep Medicare even if your SSDI benefits stop because you earned too much.

Medicaid rules vary by state. In some states, losing SSDI benefits because of work earnings also ends Medicaid. In others, you can continue Medicaid under a work incentive called Medicaid Buy-In or 1619(b). Ask your state Medicaid office or your Social Security work incentives specialist which rules explore where you live. This is important to know before you start part-time work, because losing health coverage can make it harder to continue working.

Frequently Asked Questions

Can I work part-time and keep all my SSDI benefits?

Yes, during your nine-month Trial Work Period. You can earn any amount and keep your full benefit. After that, you keep benefits only in months you earn below $1,550 (2024 limit). In months you earn above that, you lose your entire benefit for that month, but you do not lose your status as a beneficiary.

Do I have to tell Social Security about part-time work?

Yes. You must report your work within 30 days of starting. Call 1-800-772-1213 or visit your local office. Reporting protects you by ensuring Social Security counts your work months correctly and applies the right rules to your situation.

What if I earn $1,200 one month and $1,800 the next?

During your Trial Work Period, both months count as work months and you keep your full benefit both months. After the TWP ends, you receive your full benefit in the $1,200 month (below SGA) and no benefit in the $1,800 month (above SGA). Your benefits restart the following month if you earn below SGA again.

Can I deduct work expenses from my part-time earnings?

Only specific expenses related to your disability count: Impairment-Related Work Expenses (IRWE) like a personal assistant, wheelchair modifications, or disability-related medication. You must document these and show they are necessary because of your disability. Other work expenses like gas or childcare do not count.

What happens to my Medicare if I lose SSDI benefits because I earned too much?

You keep Medicare even after SSDI stops. Medicaid rules vary by state — some states end Medicaid when SSDI stops, while others offer Medicaid Buy-In or 1619(b) programs that let you keep coverage while working. Contact your state Medicaid office to find out what applies to you.