If you’re unable to work because of a disability, you may have heard about two federal disability programs: Supplemental Security Income (SSI) and Social Security Disability Insurance (SSDI). Although both programs are administered by the Social Security Administration and provide benefits to individuals with disabilities, they have different eligibility requirements, funding sources, and benefit structures. Understanding these differences can help you determine which program may apply to your situation.
Social Security Disability Insurance (SSDI)
SSDI is an insurance program for workers who have paid Social Security taxes through their employment. By working and contributing to the Social Security system, individuals earn work credits that may qualify them for disability benefits if they become unable to work due to a qualifying medical condition.
To qualify for SSDI, you generally must have earned enough work credits through recent employment and meet the Social Security Administration’s definition of disability. In most cases, the disability must be expected to last at least 12 months or result in death and prevent you from performing substantial gainful activity.
The amount of your monthly SSDI benefit depends on your lifetime earnings history. Individuals with higher earnings and longer work histories generally receive higher monthly benefits than those with lower lifetime earnings.
Supplemental Security Income (SSI)
Unlike SSDI, SSI is a needs-based program funded by general federal tax revenues rather than Social Security payroll taxes. SSI is intended to provide financial assistance to disabled individuals, blind individuals, and adults age 65 or older who have limited income and resources.
Eligibility for SSI is based largely on financial need. Applicants must meet strict income and asset limits established by federal law, in addition to satisfying the Social Security Administration’s disability requirements if they are applying based on disability.
Because SSI is designed to provide a basic level of financial support, the monthly federal benefit amount is generally fixed, although some states supplement federal SSI payments with additional benefits.
Can You Receive Both?
In some circumstances, yes. Individuals with limited income and resources who qualify for SSDI but receive only a small monthly benefit may also qualify for SSI. This is commonly referred to as receiving concurrent benefits.
Receiving both programs depends on meeting the eligibility requirements for each, including SSI’s financial limits. Not everyone who qualifies for SSDI will also qualify for SSI.
Why the Difference Matters
Knowing whether you qualify for SSI, SSDI, or both is important because the programs offer different benefits and have different rules. For example, SSDI beneficiaries generally become eligible for Medicare after a waiting period, while SSI recipients in many states automatically qualify for Medicaid. The application process, available benefits, and ongoing eligibility requirements can also differ significantly.
Applying for disability benefits can be a complicated process, particularly if your application has been denied or you are unsure which program applies to your circumstances. An experienced Social Security disability attorney can evaluate your work history, financial situation, and medical condition, explain your options, and help you pursue the benefits you may be entitled to receive.