Having a few savings on hand can be crucial for disabled people relying on Social Security Disability Insurance (SSDI). But how much money can an individual have in their bank account while remaining eligible for SSDI?
Eligibility for SSDI benefits is not based on income or assets; it does not matter how much money SSDI beneficiaries have in their bank account. However, the Social Security Administration may investigate the source of these funds to evaluate your eligibility through Substantial Gainful Activity (SGA).
Read below to learn more about the income and asset requirements of SSDI, as well as how much money you can have in your bank account as an SSDI beneficiary.
Understanding the Social Security Programs
The Social Security Administration (SSA) manages two disability benefit programs:
Social Security Disability Insurance provides benefits to individuals with disabilities who have worked for a sufficient amount of time to be eligible for disability benefits. Your eligibility for this program is conditional on the duration of time, the number of years you have worked, the work credits you have accumulated, and the date of your disability’s onset.
Supplemental Security Income provides benefits to individuals who are either low-income, blind, above the age of 65, or have a disability. You will also be required to demonstrate that you have limited resources and low income, in addition to meeting the conditions for citizenship status.
How Much Money Can You Have in the Bank on SSDI?
Unlike the SSI program, having money in the bank does not normally impact your eligibility for SSDI benefits. Therefore, there is no limit on how much money you can have in your account. However, there may be problems with where the funds are coming from.
A person is considered “disabled” according to Social Security if they are unable to participate in “substantial gainful activities” due to a medically determinable mental or physical disability. The disability must have lasted or be expected to last for a minimum of 12 months or result in your passing.
When filing for or receiving Social Security Disability Insurance benefits, the amount of monthly money earned through employment or self-employment is one of the measures that Social Security uses to determine whether or not an individual is able to engage in substantial gainful activity.
In 2023, the substantial gainful activity limit was $1,470 (and $2,460 for blind people). Earning money will not affect your SSDI benefits as long as the amount you earn remains at or below the SSDI limits.
The monthly SGA amount for statutorily blind individuals for 2024 is $2590. For non-blind individuals, the monthly SGA amount for 2024 is $1550.
Do SSDI Beneficiaries Need to Disclose Assets?
Social Security Disability Insurance is a government program that individuals contribute to by paying Social Security taxes while employed. It has nothing to do with an individual’s current assets. Therefore, if you qualify for SSDI, you will not be required to disclose your assets to the Social Security Administration.
Can the SSA Check Your Bank Account?
The Social Security Administration has the authority to access your bank account if you are receiving SSI. However, if you are receiving SSDI or retirement benefits, the Disability Law Office states that the Social Security Administration does not have the legal right to access your bank records.
This is because these programs do not limit the assets one can have in order to be eligible for benefits, and consent to check bank accounts cannot be presumed.
In accordance with the Code of Federal Regulations, in order to be eligible for Social Security Disability Insurance, you are required to grant the Social Security Administration authorization to contact any financial institution and obtain your financial data.
The SSA may also request approval from anyone whose income and resources it believes are accessible to you.
When Will My SSDI Case Be Reviewed?
Upon approval of your disability benefits, your case will be classified into one of three categories. The amount of time you will be eligible to receive SSDI benefits and when you will be subject to a continuing disability review will change depending on which of these categories your case falls under.
Medical Improvement Expected (MIE)
For cases that are classified as MIE, the Social Security Administration expects that the medical condition will improve and the applicant will undergo a continuing disability review within about six to eighteen months.
The purpose of a continuing disability review is to assess whether your condition has improved enough to allow you to return to work.
If, at the time of your review, your condition has not improved, your disability benefits remain in effect, and you will be subject to another review anywhere from six to eighteen months following the current one.
Medical Improvement Possible (MIP)
For cases that are classified as MIP, the Social Security Administration expects that there is a possibility that your condition will improve but that it is not likely to happen. The applicant will be subjected to a continuing disability review somewhere between two and five years.
The SSA will terminate the applicant’s benefits if it is found that their medical condition has improved enough to allow them to return to work.
However, they will remain eligible for benefits if they cannot return to work and their condition has not improved. The applicant’s next continuing disability review will be rescheduled within the next two to five years.
Medical Improvement Not Expected (MINE)
For cases that are classified as MINE, the Social Security Administration does not expect that the applicant’s condition will ever improve.
Their eligibility for benefits will continue to be reviewed on an ongoing basis, but the frequency of these evaluations will be somewhere between five and seven years.
In the event that the applicant’s medical condition does not improve, they will continue to receive disability payments until they are old enough to retire, when they will be converted to Social Security Retirement benefits.
Conclusion
So, if you’re looking to save some money in your bank account as an SSDI beneficiary, you can safely do so without jeopardizing your benefits. Simply make sure that this money is not earned through what the SSA considers Substantial Gainful Activity.
