Social Security Retirement Vs Social Security Disability


Disability Pay Vs Social Security

Social Security Retirement versus Social Security Disability

There is no doubt that there are two forms of benefits available to those who cannot work. Both Social Security and disability pay sound like good alternatives for people who need the money because they cant work or lost their job.

The question then becomes does disability pay more than social security? Unfortunately, the answer is not as simple as yes or no.

Is Fers Contribution Taxed

Much of the pension benefit of a CSRS or FERS federal government worker will be taxable on a federal income tax return. State income tax laws on pension income change. You will get back your previously taxed contributions at no extra tax.

Are FERS contributions tax deferred?

Each pay period deposited by your agency in your account is equal to 1% of the basic pay you earn for the pay period. You can also make your own contributions to your TSP account and your agency will also make a matching contribution. These contributions are tax deferred.

Are FERS contributions pre tax or post tax?

Because employee contributions are after-tax, part of any FERS annuity received is not taxable.

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Can I Still Work While Receiving Social Security Disability Benefits

You should contact your local Social Security Administration office to determine if you can still work while receiving Social Security Disability benefits. Since the SSD will typically only approve you if you suffer from total disability, you will have strict restrictions when it comes to working while receiving benefits.

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Can You Own Property While On Disability

So, you can file for SSDI whether you own a single home or multiple houses or vacation homes or rental properties . SSDI is also not concerned with other types of assets such as multiple vehicles or investment accounts, and so on. In short, assets do not affect eligibility for Social Security disability insurance.

Q: Once You Are Approved For Disability Retirement Can The Benefit Be Stopped Or Canceled

Develop a Social Security Strategy

A: Yes, while this is uncommon, there are situations that can cause your benefits to be paused. This includes, returning to work for the federal government, exceeding the 80% private sector earnings cap, and more.

Learn more about these situations here:

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Q: I Am 43 How Much Money Will I Get If I Get Disability Retirement Now

A: The first year you are approved for Federal Disability Retirement you will receive 60% of your high-3 average salary . From year two and beyond you will receive 40% of your High-3 each year until you turn 62. Additionally, you will be able to earn up to 80% of your positions current rate of pay while working in the private sector. This gives you a 140%-120% combined potential. Another important feature of this benefit is that you will continue to accrue creditable years of service until the age of 62.

Learn more about this calculation here:

How The Railroad Retirement Program Works

The RRS is funded by retirement taxes paid by railroad workers.

Typically, railroad workers dont contribute to Social Security. Instead, they pay higher taxes, which are used to pay for basic pension benefits.

The RRS cooperates with the Social Security Administration to determine workers benefits. Excess funds are invested and the returns are used to pay for additional pension benefits.

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Should I Take Early Retirement

Some individuals may benefit from taking early retirement, especially if they are disabled. If you are severely impaired and believe that you will qualify for disability benefits, you may want to consider this route.

To start, you need to apply for Social Security disability benefits to protect your filing date and establish your disabling condition. Once you have done this, you can then apply for early retirement. The SSA will accept your early retirement, as long as you meet the credit requirements. Opting for an early retirement means that you will only receive 75 percent of your full retirement benefit amount. However, once your SSDI claim is approved, you will begin receiving the full amount of retirement, as well as back pay. In addition, you will be able to receive the full amount of retirement for the rest of your life.

There is a risk, however. If you collect early retirement but are not granted disability benefits, you may be stuck collecting less than your full retirement for the rest of your life. Before taking early retirement or applying for SSDI benefits, it is important to speak to an experienced SSDI lawyer.

Reinstatement Of Disability Benefit If It Stops

What is the Difference Between SSDI and Social Security Retirement?
  • If your disability benefit stopped because you were found recovered either medically or administratively, your benefit can resume only if the disability recurs and you do not exceed the 80 percent earnings limitation.
  • If your disability stopped because you exceeded the earnings limitation, your benefit can resume effective the first of the year after you no longer exceed the 80 percent earnings limit.

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Does Social Security Disability Pay More Than Social Security Retirement

As a matter of general rule, the amount you expect to receive from Social Security Disability Insurance is usually slightly less than what you expect to receive in the event you had worked until full retirement age. This is informed by the fact that workers generally earn more later in their professional life hence by becoming disabled before you reach the top of your earning years, the Social Security formula is on the lower side.

Can You Collect Both Ssdi And Ssi

In order to be eligible to collect under both programs, not only must the person be considered disabled according to the Social Security Administrations definition of disability, but also his or her income and resources must be limited even after collecting the SSDI benefits.

In order to be eligible for both SSI and SSDI, the person must not only be deemed disabled according to the concept of disability of the Social Security Administration , but also his or her income and resources must be limited even after the SSDI benefits have been received.

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Get In Touch With A Federal Employment Lawyer Today

Were a compassionate and caring team of attorneys who strive to empower government employees and protect their interests.

We know public servants are dedicated to serving their country and promoting the general welfare.

Therefore, we believe our clients should be able to exercise their rights fully, whatever their situation.

As soon as you call us, well work to make sure you get the treatment and compensation you deserve.

Reach out to us online or call us at 612-5956.

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What Is The Difference Between Ltd And Ssd

Steps to successfully apply for Social Security disability

LTD and SSDI are separate and distinct types of disability benefits. Long-term disability is a type of private insurance that is most commonly offered to an employee through his or her employer . Typically, the employer or the employee will pay a monthly premium amount to an insurance company. In the event that the employee becomes disabled, regardless of whether or not the disability is related to work, LTD benefits will pay a percentage of the employees lost wages. Usually, this percentage is approximately 60 percent.

SSDI, on the other hand, is for people who have paid into the Social Security insurance fund and incur a disability that leaves them unable to be gainfully employed. SSDI benefits are awarded in a monthly amount, which is determined by how much the employee has earned on their Social Security record.

So you can see when comparing long term disability vs social security disability that each presents a separate and distinct type of benefit.

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If You’re Not Sure Why You Received A Payment

If you receive a check or direct deposit payment from the Treasury Department and do not know what its for, contact the regional financial center that issued it.

If you received a check, look for the RFCs city and state at the top center. Then contact that RFC to find out which federal agency authorized the payment. It will be one of these:

If you received payment byelectronic funds transfer , or direct deposit, follow the directions under Find Information About a Payment.

Use the Treasury Check Verification System to verify that the check is legitimate and issued by the government.

Pension Vs Social Security: Key Differences

Most retired workers depend on multiple streams of income during their retirement. Two of the most common such income streams are Social Security and pensions. If we look at pension vs. Social Security income, we find significant differences. Retired workers need to understand the key differences between the two programs. They are funded, structured and taxed differently. If youre planning for retirement be sure to make use of the insights of a financial advisor.

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Can I Collect Social Security Retirement And Disability Benefits At The Same Time

When you suffer a disabling injury or illness, you want to collect all the benefits and funds you are entitled to. After all, your life will never be the same, and you need to secure your future as best you can. Disabled individuals who are nearing retirement age may want to know if they can collect both Social Security disability insurance benefits and Social Security retirement benefits at the same time.

While this may seem like an easy question to answer, the truth is that there are many variables that can affect your ability to collect benefits after a disability. Because of these variables and factors, it is important to consult with an experienced Arkansas SSDI lawyer immediately. Your attorney will be able to review the details surrounding your case to help you collect all the benefits you deserve.

Railroad Retirement Vs Social Security

SSDI, SSI & Retirement | Social Security Disability Insurance & Supplemental Income | theSITREP

Most people in the United States are familiar with the Social Security system and all the benefits it offers.

However, some people have never even heard of the Railroad Retirement System .

This article breaks down important RRS guidelines that can help you or your dependents access the many benefits of the program.

It also compares Railroad Retirement vs Social Security to help you see the key differences between both benefit programs.

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How Do Ssdi And Retirement Work Together

Social Security disability insurance benefits exist to help Americans who suffer from a disabling injury or illness, but who cannot yet draw from their retirement benefits. If you are unable to work, but are not eligible for retirement, you need money now. The SSDI program essentially provides early retirement funds and benefits to individuals who are unable to work due to disability.

Once an individual reaches retirement age, they are able to draw from the full amount of retirement funds available to them. SSDI is no longer needed and simply converted to retirement benefits. In this way, both programs work together to provide much needed benefits to disabled Americans regardless of their age.

Appealing A Fers Denial

Your case isnt over just because youve been denied benefits.In fact, FERS grants petitioners 30 days to request a reconsideration. We can guide you through this process by helping you effectively update your record. If youve already been denied after asking for a reconsideration, we can represent your case before the Merit System Protection Board . If necessary, we can even litigate on your behalf in federal court.

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What Is Supplemental Security Income

Supplemental Security Income is a federal program that pays monthly benefits to low-income aged, blind and disabled individuals. The Social Security Administration runs the program, which is financed from general tax revenues, not from Social Security taxes. The SSI test of disability for adult applicants is the same as the test in the Social Security disability insurance program. Only people who have low incomes and limited financial assets are eligible for SSI. The federal SSI payment in 2017 for an individual with no other countable income is $735 a month. Payments are reduced as other income rises, and some states supplement the federal payment. Each month on average in 2016, 8.3 million low-income adults received SSI. These beneficiaries included 4.8 million adults under age 65 who were eligible based on disability or blindness and 2.2 million adults aged 65 and older. In addition, 1.3 million children under age 18 receive SSI based on disability or blindness.

How To Use The Grids

Social Security Benefit Programs

Here are the specific grid rules for people who are aged 60 and older. Find the grid that describes your RFC . Next, find the row that describes your education level and your previous work experience. The final column will show the decision that Social Security will make based on the previous factors.


Recent education or training for skilled work

Skilled or semiskilled work with or without transferable skills

Not disabled

It can be difficult to determine the skill level of your old job and whether any of the skills you learned can transfer to another position. If you are unsure about this, you should speak to an experienced disability attorney.

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Basic Facts About Fers Disability Retirement

The Federal Employees Retirement System provides retirement and disability benefits to eligible workers. If you become disabled, you may be eligible to receive FERS disability retirement payments which are different from regular retirement benefits. There are specific requirements that need to be met before you can qualify for federal disability retirement benefits and the amount you receive can vary based on your age, length of service, earnings and whether you also receive Social Security disability benefits. Heres more on how these benefits work and who may qualify for them.

A financial advisor can give invaluable guidance as you sort through your options for retirement.

How Can A Disability Attorney Help You Understand Long Term Disability Vs Social Security Disability

When reviewing long term disability vs social security disability, its important to understand that LTD benefits and SSDI benefits often go hand-in-hand. Disabled individuals often simultaneously benefit from both benefit types of benefits.

To help understand long term disability vs social security disability contact our office today. We can also discuss your obligation to apply for SSDI benefits, how your benefit amount might be affected, how dependents can change your LTD offset, and what to do with your Social Security back pay, you need an attorney. Attorneys who handle both types of disability benefit claims can tell you what you need to know about long term disability vs social security disability.

The attorneys at ARM Lawyers, can also help you apply for both LTD and SSDI benefits and help you to appeal a denied claim. If youre ready to learn more about the types of disability benefits that may be available to you, call us now at .

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How To Receive Federal Benefits

To begin receiving your federal benefits, like Social Security or veterans benefits, you must sign up for electronic payments with direct deposit.

If You Have a Bank or Credit Union Account:

  • Call the Go Direct Helpline at .

If You Don’t have a Bank or Credit Union Account:

Make Changes to an Existing Direct Deposit Account:

Learn how to make changes to an existing direct deposit account. You also may contact the federal agency that pays your benefit for help with your enrollment.

Eligibility Requirements For Ssdi And Ssi

Differences Between Social Security Retirement and Disability

The SSI disability program has different eligibility requirements than Social Security Disability Insurance . To be entitled to SSI benefits, you must be a U.S. citizen who meets the requirements set by the Social Security Administration .

to qualify for SSI benefits you need to present medical evidence that your disability will last for at least one year. Your total countable income should also be below listed Supplemental Security Income levels. The SSI amount differs from state to state.

In both SSDI and SSI cases, a claimant’s medical records will be checked periodically to be sure the individual is still disabled.

The Social Security Administration will review your condition every 3 to 7 years, depending on your disabilitys nature. Once youre awarded SSI disability benefits, your financial records will be reviewed every year.

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Retirement Eligibility And Benefits

You must possess enough credits to receive retirement benefits. The earliest you can receive benefits is age 62, but they are at a reduced amount. Full retirement age ranges from 65 to 67, and depends on your birth year. You can choose to delay your benefits past the full retirement age, which allows you to eventually receive a higher monthly income due to annual automatic percentage increases. Delaying your retirement benefits also allows you to work additional years and earn more credits.

Certain Government And Railroad Employees

There are some jobs that dont pay into Social Security. Federal government employees hired before 1984 are included in the Civil Service Retirement System , which provides retirement, disability, and survivor benefits. These workers did not have Social Security taxes deducted from their paychecks and thus are not eligible to receive Social Security benefits.

They may still qualify if they have earned benefits through another job or a spouse. However, in these cases, CSRS pension payments may reduce Social Security payouts. Government workers who are covered by the Federal Employees Retirement System , which replaced CSRS, are eligible for Social Security benefits.

Most state and local employees have Social Security protection under a federal Section 218 agreement. However, some of these workersincluding those who work for a public school system, college, or universitywill not receive Social Security benefits if they do not pay Social Security taxes. They generally receive pension benefits from their employers.

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