What Is the Difference Between SSDI and SSI Benefits?

 Posted on January 27, 2022 in Social Security disability

People who have qualifying disabilities may be able to receive benefits through Social Security. These benefits can provide essential assistance to ensure that a person will be able to cover their ongoing living expenses. However, there are two different types of Social Security disability benefits, and understanding the differences between these programs, the amount of benefits that a person may be able to receive, and the eligibility requirements can help a person ensure that they will be able to receive the maximum benefits.

Employment-Based and Needs-Based Disability Benefits

The types of disability benefits a person may be eligible for will be based on multiple factors, including their income, their work history, their needs, and the health conditions that have caused them to be disabled. Social Security Disability Insurance (SSDI) is based on a person’s history of employment, and the benefits paid will be calculated using their average lifetime earnings. Supplemental Security Income (SSI) is based on a person’s needs and financial resources, and the amount of benefits will be based on a standardized rate and certain other factors.

SSDI is usually the preferred option since the amount of benefits a person will be able to receive will usually be higher. While the amount of benefits will vary depending on the income a person has earned during their career, the average monthly SSDI benefit in 2022 is around $1,300. However, to qualify for SSDI, a person must have the required number of work credits based on their age. Those who have been unable to maintain steady employment or who have not been able to earn a sufficient income may not be able to receive these types of benefits.

SSI may be available to people based on their needs. Generally, the assets a person owns must be worth $2,000 or less (a married couple may own assets worth up to $3,000), and they must earn limited or no income. The amount of SSI benefits a person receives will usually be calculated based on the Federal Benefit Rate, and certain types of income that a person earns may be subtracted from this amount. In 2022, the maximum monthly benefit is $841 for an individual or $1,261 for a couple. A person may also be able to receive a state supplement that will increase the amount of their SSI benefits.

Contact Our Milwaukee County Social Security Disability Benefits Lawyer

Understanding the qualifications for different types of Social Security disability benefits can be difficult, and demonstrating that a person is eligible for these benefits can often be a complex process. If you have suffered from health conditions that have made it impossible for you to work, Attorney Jonathan Pearson can help you apply for disability benefits. He will advise you about your eligibility requirements and the types of information you will need to provide during the application process. To schedule a complimentary consultation, contact our Wauwatosa Social Security disability attorney today at 414-240-4801.

Sources:

https://www.ssa.gov/redbook/eng/overview-disability.htm

https://www.ssa.gov/benefits/ssi/

https://www.ssa.gov/oact/cola/SSI.html