There are many people who depend on their Social Security Disability Insurance (SSDI) benefits to survive. As such, the thought of losing their SSDI benefits can be anxiety-inducing. It might lead one to think about how hard it is to lose SSDI benefits.
The unfortunate truth is that it is not hard at all to lose your disability benefits. Your disability benefits could be terminated for a variety of reasons, but it most commonly happens if the Social Security Administration (SSA) finds that your medical condition has improved.
Read below to find out how likely you are to lose your benefits and why this happens.
Is It Hard to Lose SSDI Benefits?
Not at all. SSDI benefits can be terminated very easily, even if you still need them. According to the SSA’s annual statistical report on the SSDI program, there were about 931,123 beneficiaries who had their benefits terminated in 2021.
The loss of such benefits can be heartbreaking and often occurs unexpectedly. For example, hundreds of disabled people in the Appalachian coal-mining regions have had their Social Security Disability Insurance benefits suspended as a result of a fraud investigation into the attorney who filed their disability claims. They have to reapply for benefits, and the Social Security Administration will likely reject it because of their tainted history with the program.
While this is an unusual circumstance, it is crucial for anyone applying for SSDI benefits to know how the SSA keeps track of and evaluates the files of current recipients, and under what circumstances it will likely suspend payment.
Reasons Your SSDI Benefits Could Be Terminated
Following below are some reasons your SSDI benefits could be terminated.
Improvement in Condition
The SSA periodically conducts reviews of your case called CDRs or “Continuing Disability Reviews.” These reviews will determine whether or not there has been an improvement in your condition. Your SSDI benefits will continue as long as it is found that you are still disabled.
On the other hand, if the SSA finds out that there is an improvement in your medical condition, it may terminate your benefits.
Depending on the specifics of your case and whether medical improvement is likely, the timing and intervals between Continuing Disability Reviews may vary. Generally, CDRs can happen once every three to seven years.
If you believe that the SSA has wrongly terminated your benefits and you are still disabled, then you can file an appeal.
Return to Work
The SSDI program is intended to provide financial assistance to people whose disabilities prevent them from working or retaining employment.
If you are able to engage in “Substantial Gainful Activity” (SGA) then the SSA might find that you are able to retain employment and terminate your benefits. So, what does substantial gainful activity mean?
As of 2023, if you are blind and earning $2460, or non-blind and earning $1470 through your work, then you are considered as engaging in substantial gainful activity.
However, it is important to keep in mind that you are not entirely safe just because your income falls below that amount. There is another factor that the SSA takes into account and that is your duties at work.
You could be earning $500 a month and still lose benefits if the SSA reviews your job duties and finds that your medical condition does not prevent you from engaging in SGA.
Volunteer Work
As we mentioned previously, income is not the only thing the SSA considers when determining your capability for SGA. The kind of work you do, and your job duties might show that you are able to engage in SGA.
This also includes volunteer work. Certain kinds of volunteer work may attract the attention of the SSA. This includes work like stocking shelves, bookkeeping, etc. If you still want to continue your volunteer work, then carefully choose the kind of work you want to do. There are a few volunteer programs that cannot be considered as SGA by the SSA, including:
- Volunteers in Service to America
- University Year for ACTION
- Foster Grandparent Program
- Service Corps of Retired Executives
- Active Corps of Executives
- Special Volunteer Programs
Volunteering can be a source of personal fulfillment for many people suffering from disabilities, but at the same time, it’s important to safeguard your benefits while you continue to volunteer. Consider only opting for volunteer opportunities that won’t put your SSDI benefits at risk.
Imprisonment
Having a past criminal record usually does not affect the approval of your benefits. However, if you get imprisoned while receiving SSDI benefits, the SSA might temporarily suspend your benefits.
If you are sentenced to less than 30 days in jail, a misdemeanor conviction will not affect your benefits. If you spend more than 30 days in jail, your benefits will stop. This termination will remain in effect for the duration of your incarceration.
In most situations, your SSDI payments will be restored the month after you are released from jail. However, if you have been convicted of a felony, your benefits may be terminated permanently. These include:
- Misleading the SSA
- Using someone else’s Social Security number to apply for benefits
- Misrepresenting the facts of your case
Retirement
SSDI works like an insurance policy, the same way retirement pensions do. You need to pay into the system in order to benefit from it later on. If you become disabled before retirement age, you will get in Social Security disability payments with what you would have received in your retirement pensions.
However, it is not possible to receive disability benefits and retirement pensions at the same time. If you are receiving SSDI benefits and reach your full retirement age, then your SSDI benefits will automatically convert into retirement benefits.
Conclusion
You might think that once you are approved for Social Security Disability Insurance, the worst of your worries are over. But that’s not necessarily true. It is very easy to lose your disability benefits.
Therefore, it is important to know about the circumstances that can cause your benefits to be terminated. It is recommended that you work with a disability attorney to make sure you avoid any such trouble.
