While receiving Social Security Disability Insurance (SSDI) benefits may serve as significant financial aid, you may still need to participate in money-saving practices. Continue reading to learn why you should protect your money while collecting SSDI benefits and how an experienced New Jersey SSDI benefits lawyer at The Law Offices of Sheryl Gandel Mazur can guide you through this.
What is the income limit for collecting SSDI benefits?
Notably, the Social Security Administration (SSA) holds that an individual must be unable to engage in substantial gainful activity to be eligible to receive SSDI benefits.
More specifically, a statutorily blind individual who is earning more than $2,460 per month is considered to be involved in substantial gainful activity. At the same time, a non-blind individual who is earning more than $1,470 per month is considered to be involved in substantial gainful activity.
However, this is not to say that an individual cannot put an effort towards earning money that is below this monthly limit.
Why should I protect my money while collecting SSDI benefits?
To reiterate, you can still maintain sufficient savings without going over the SSA’s income limit. This is because your SSDI benefits and your medical insurance may not entirely cover the expenses associated with your physical or mental health condition. Examples of expenses that you may have to account for are as follows:
- The cost of your prescription medications.
- The cost of special education programs.
- The cost of service animals.
- The cost of lost wages.
- The cost of your medical care (i.e., hospital stays or at-home care).
- The cost of therapy (i.e., occupational therapy or physical therapy).
- The cost of mobilization aids (i.e., crutches or wheelchairs).
- The cost of housing (i.e., handicap-accessible housing or housing near doctors).
How can I protect my money while collecting SSDI benefits?
When collecting SSDI benefits, you must know about the Achieving a Better Life Experience (ABLE) Act. More specifically, this Act allows individuals with eligible disabilities and their designated beneficiaries to set up a tax-advantaged savings account. You may save as much as $100,000 in your ABLE savings account if you incurred a disability before age 26. And these savings will be exempt from the SSA’s income limit. Any savings over $100,000 will require further calculations.
What’s more, you may attempt to return to a job to earn some sort of wages once more. Importantly, the SSA allows you to participate in a risk-free trial work period, so that you may still collect benefits while you see if you are capable of reentering the workforce.
For more information on how to protect your money while collecting SSDI benefits, then do not hesitate in speaking with a skilled New Jersey SSDI benefits lawyer today. We anticipate your phone call.