Sam and Emma were concerned when Sam was injured at work. His doctors ordered rehabilitation, but also said he might be unable to work for the rest of his life. Emma started looking into benefits that would help while Sam was disabled. She had trouble deciding if Sam should apply for workers’ compensation or Social Security Disability Insurance.
The Basics
Emma first learned a little about the two benefit programs.
- SSDI is a federal program run by the Social Security Administration. It provides money to people unable to work due to a qualifying medical condition.
- Workers’ Compensation programs are run by the state and pay benefits for on-the-job injuries.
However, the way an individual qualifies for benefits is not the same:
- Workers’ compensation pays out because the applicant was injured at
- Social Security Disability Insurance benefits are collected by individuals with a disability that limits their ability to work.
Interestingly, workers who are injured on the job can receive Social Security Disability Insurance benefits if they otherwise qualify.
Emma decides to apply for both programs. She hopes at least one program can provide the financial assistance they need.
How the Benefits May Work Together
We’ve established that applicants may receive both workers’ compensation and Social Security Disability Insurance benefits.
However, the two payments together may not total more than 80% of the applicant’s previous income. So, if Sam previously made $40,000 a year, his combined benefits could not exceed $32,000.
When benefits exceed that 80% threshold, the Social Security Disability Insurance benefits will be reduced. For Sam and Emma, the following might happen:
- Workers’ compensation pays $18,000 annually,
- Annual SSDI benefits are estimated to be $18,000 also.
- The SSDI benefits will be reduced to $14,000.
Sometimes workers’ compensation benefits end while a recipient is still receiving Social Security Disability Insurance payments. The SSDI payments may be increased to make up for the loss of the other benefit.
Sam and Emma were lucky because Sam’s employer offered private disability insurance, which is not counted against workers’ compensation or SSDI. He received benefits from both public programs along with the private disability insurance for as long as he was disabled.
Need Help Applying for Benefits?
The attorneys at The Law Offices of Martin Taller have more than 50 years’ legal experience, much of it involving Social Security Disability Insurance claims. They can help you with your application and any appeals that might be needed.
Call us at 714-385-8100 for a free consultation. Though our office is located in Anaheim, we assist clients throughout Southern California.
