If you are disabled and collect government benefits to help make ends meet, you likely understand that every dollar counts when it comes to these benefits. Maximizing the amount of money you receive can be a top priority for anyone in this position so it can be very troubling to learn that disability benefits can be reduced in some cases.
The unfortunate truth is that many people will not be able to collect the maximum amount of benefits through programs like Social Security disability because they are also collecting other benefits. If you or a loved one is dealing with a serious injury or illness and is considering applying for SSDI, it can be important to understand what factors can result in a reduction of these benefits.
To begin with, it should be noted that people who collect disability benefits in addition to other types of public disability benefits are prohibited from collecting these benefits in excess of 80 percent of their average monthly wages.
According to the Social Security Administration, this means that if you collect disability benefits as well as benefits from sources listed below, your benefits can be reduced if they add up to be more than 80 percent of your previous average income. These benefits include:
- Workers’ compensation
- Foreign employment benefits or pensions
- Government employment benefits or pensions
- Civil service disability benefits
- State temporary disability benefits
- State/local disability-related government retirement benefits
However, not every additional type of benefit will affect Social Security disability benefits. For instance, Supplemental Security Income and Veterans Administration benefits will not have an effect on SSDI payments.
When it comes to seeking benefits for a disability, being prepared for the financial challenges and complications ahead can be an important way to deal with them and try to avoid them if possible. If you have questions about the benefits you feel you deserve, it can be wise to work with an attorney who can help you seek as much financial support as possible.