Social Security Disability Insurance Compared To Supplemental Security Income

Social Security Disability Insurance Compared To Supplemental Security Income DONE

Social Security Disability Insurance (SSDI) is similar to a disability insurance policy. You've paid the premium through payroll deduction. Since you paid for it, you're entitled to the benefit if there's a covered loss. Instead of the money coming from a private insurance policy, the "company" is Social Security. SSDI is also known as RSDI, Title XVI or Title II.

Supplemental Security Income (SSI) is a welfare program for people with limited income and assets. The idea behind SSI is to provide a minimum income to pay for basic food, clothing and shelter for certain people -- including people with a disability.

More specifically, the differences between the programs are:

SOCIAL SECURITY DISABILITY INSURANCE (SSDI) SUPPLEMENTAL SECURITY INCOME (SSI)

Eligibility	Requires work history. The amount of required work depends on age. Your income and assets don't matter	No work history needed. Based on financial need. You must have limited assets and income
Disability definition and determination	Same for both programs. Doesn't cover partial disability	Same for both programs. Doesn't cover partial disability
Covers	Insured worker, spouses, widows, children, parents	Benefits only qualified applicant
Amount of payment	Based on earnings history. Same amount all over the country. Living arrangements do not affect amount of payment.	Based on need. Standard federal benefit rate, plus some states add a supplement. -Living arrangements affect amount of payment.
Waiting period for 1st payment	5 months	None
Is it possible to receive a payment when apply?	No payments until end of waiting period	Yes -- known as Presumptive Disability. Payment is made if your condition is obviously disabling and you appear to meet the income and asset limits
Retroactive payments	Can receive payments for up to 12 months prior to the Filing Date	No payments before Filing Date
Does insurance come with?	Eligible for Medicare 24 months after payments begin or at retirement age, whichever is earlier	Medicaid In some states: The name of the program varies (for example, called Medi-Cal in California) A separate application for Medicaid may be required
Do food stamps come with?	No	Generally yes, depending on the state in which you live
How long do payments last?	As long as the disability continues, possibly for life	As long as the disability continues, possibly for life
Does it matter if I have other earnings?	No.	Yes. For example, if you receive SSDI, the amount you receive from SSDI will be deducted from potential SSI payment. Income from savings, dividends, annuities, rents etc is also deducted.
What if I feel well enough to go back to work?	Trial work program permits work while benefits continue	Trial work program. Features of the program are different from SSDI
Month to which Benefits relate	Benefits are paid one month behind	Benefits are for month in which received
When checks are issued	Checks are issued through out the month	All checks are issued on the 1st of the month
Deductions	Only Workers Compensation or other Federal or state disability payments may affect payment level	Any income whether earned or unearned
Date Last Insured	Sets date after you stop working by which claim must be filed	Doesn't apply to SSI