How Does SSDI Work?

Most adults likely do not think about the potential for becoming disabled during their careers. However, the Social Security Administration (SSA) reports that 25 percent of today’s 20-year-olds will suffer disabling conditions severe enough to qualify for Social Security Disability Insurance (SSDI) at some point before they reach retirement age. You might be unable to return to work and not have the financial means to make ends meet if you have sustained severe injuries in an accident or developed a debilitating medical condition. Depending on your circumstances and work history, you could be eligible for SSDI benefits. How does SSDI work?

How Does SSDI Work?

Social Security Disability Insurance (SSDI) is a governmental program offered through the Social Security Administration. It is designed to provide disabled adults monthly benefits payments when they are no longer able to work because of severe disabilities. Unlike Supplemental Security Income (SSI), SSDI is not an entitlement program. Instead, workers pay into the Social Security fund through mandatory withdrawals from their earnings. To be eligible, adults must have earned enough work credits during their working career. Even though an adult might be severely disabled, they might not meet the criteria for SSDI.

Who Is Eligible for SSDI?

To qualify for SSDI, workers must have earned sufficient work credits from working and paying Social Security taxes based on their age. Adults generally need 40 work credits, which amounts to working and paying into Social Security for 10 years. Five of those years must have been within the 10 years before you apply for benefits. However, adults younger than 24 could qualify for SSDI with fewer credits if they have amassed sufficient work credits for their age.

People who have not paid into Social Security through work do not qualify for SSDI. This includes people whose earnings have not been subject to FICA taxes. However, self-employed people who pay self-employment taxes do pay into Social Security, so they could still be eligible.

Not all disabilities qualify for SSDI. To be eligible, your disability must be severe enough to prevent you from performing any substantially gainful activity, including jobs less strenuous than your previous one. Your condition must also be expected to last at least 12 months or longer or to result in death.

How the Application Process Works

You can apply for SSDI by going to your local SSA office and applying in person. You can also apply by completing the online application or by calling. Before you apply, you need to gather multiple documents, including the following:

• • Your doctors’ names and telephone numbers

• • Names of medical tests you have received

• • Diagnostic information

• • List of your medications

• • Injury date and workers’ compensation claim number (if receiving workers’ compensation)

• • Names of your employers for the past two years and your employment dates

• • Social Security number, date of birth, and place of birth

• • Names and ages of dependent children

• • Current and former marriages

Once you submit your application, the SSA will send it to Disability Determination Services (DDS) for review. DDS is an outside agency and will return a decision on your initial application within a few months. They might contact you if they need more information.

You should be aware that most initial SSDI applications are denied. Data from the SSA shows that just 24.6 percent of SSDI applications were approved at the initial phase in 2019, for example.

If your application is denied, the SSA will send you a letter. You should carefully review it because it explains the reasons for the denial and the deadline for filing an appeal. Do not give up if you are denied. While most applicants receive denials initially, many are ultimately approved for benefits through the appeal process. If you don’t file an appeal by the deadline, you will be forced to restart the process later. Instead, you should bring your denial letter and documents and meet with a knowledgeable lawyer from Ellis & Associates.

Talk to a Knowledgeable Disability Lawyer

Still wondering, “How does SSDI work?” If you are disabled and want to apply for SSDI benefits or have received a denial, contact Ellis & Associates. We can review your case and explain your options. Schedule a free consultation by calling 800-MR-ELLIS or contacting us online.