Most people think Social Security Disability Insurance provides indefinite benefits once approved. However, certain life events can cause the Social Security Administration to stop your payments.
Understanding these scenarios helps ensure you remain eligible.
Returning to work
The most common reason for losing SSDI benefits involves returning to work. SSDI benefits support individuals who engage in substantial gainful activity but there are limits to the amount you can earn. For 2024, the SGA limit stands at $1,550 per month. Blind individuals can earn up to $2,590 per month. Exceeding these limits signals the ability to work full-time, resulting in SSDI termination.
Reaching full retirement age
SSDI benefits convert to Social Security retirement benefits once you reach full retirement age. You cannot receive both types of payments at the same time. The SSA automatically transitions SSDI benefits to traditional retirement payments when you reach this age. Typically, the amount remains the same, but the source of the payments changes.
Improving your condition
The SSA periodically reviews SSDI recipients’ medical conditions. If your condition improves and you can work again, you may lose your benefits. The following frequencies of these reviews depend on your likelihood of improvement:
- If doctors expect improvement, the SSA reviews the case six to 18 months after approval
- If improvement is possible but not likely, reviews occur every three years
- If improvement is unlikely, the SSA checks the case every seven years
Recipients must inform the SSA if their condition improves or if they return to work.
Being incarcerated
Incarceration for more than 30 days results in the suspension of SSDI payments. This rule applies to both SSDI and Supplemental Security Income. After release, SSI payments can resume the following month, but only if the incarceration lasted less than 12 months. If confined for over a year, the recipient must reapply for benefits. Recent parolees do not qualify for disability benefits according to SSA regulations.
SSDI benefits provide financial support for individuals unable to work due to disability. Staying informed about these conditions ensures continued eligibility for SSDI and helps manage your financial future.
