Social Security disability is a form of insurance – in fact, these benefits are actually called “SSDI” which stands for “Social Security Disability Insurance.”

Most of us pay for SSDI coverage when we pay our share of FICA taxes. Tax payments result in “Quarters of Coverage.” The number of years we have worked and paid FICA taxes contributes to our SSDI coverage. In short, we pay FICA taxes for SSDI coverage like we may premiums for insurance coverage with an insurance company.

Example: if a worker earned 4 Quarters of Coverage per year in 2015 – 2020 and stopped working in 2020, then she would have 5 years of SSDI eligibility. She must establish that she became disabled before her date last insured in 2026. Some occupations like teachers and government workers allow the worker to opt-out from payment of FICA taxes, resulting in no Quarters of Coverage and no SSDI eligibility. However, these workers may have eligibility under a private insurance disability plan or Supplemental Security Income (“SSI”).

Supplemental Security Income (“SSI”) is a federal program for the disabled, blind, and those over 65 with very limited financial resources. SSI benefits are paid out of general revenues rather than the Social Security trust fund. Many states supplement the federal SSI benefit. Generally, a SSI claimant must:

(1) be “disabled” using the same definition as is used for the Social Security disability program;

(2) meet the income and asset requirements of the SSI Program;

(3) be a U.S. citizen or fall into a group of limited exceptions to the citizenship rule; and

(4) file an application. The asset limitation has long been $2,000 for an individual and $3,000 for a couple. However, certain assets are excluded such as the claimant’s home, household goods and personal effects, and one car.

Short answer? Yes. An employer may have the ability to change an employee’s job when they go on Long-Term Disability (LTD), but it must be done for legitimate business reasons. If the change is solely due to the employee’s LTD status and lacks valid justification, it may be considered unlawful and discriminatory. Employees can consult with a legal professional to understand their rights and explore potential courses of action if they believe their job change is unfair or discriminatory.

In Texas, the eligibility criteria for long-term disability (LTD) benefits can vary depending on the specific terms of the insurance policy or benefits program. Generally, qualifying illnesses for LTD in Texas include a wide range of physical and mental health conditions that significantly impact an individual’s ability to work. You can check with your insurance provider or employer for more information on what conditions are covered.  Otherwise, feel free to contact us with your questions about qualifying illnesses or conditions.

SSDI benefits are generally higher than SSI. SSDI benefits are calculated off earnings before stopping work. You can find out how much your SSDI benefit would be by accessing your my Social Security account at ssa.gov. As of 2023, the maximum SSDI amount is $3,627 per month. The government sets SSI at the same amount for all claimants. As of 2023, SSI for an individual is $914 per month and for an eligible couple is $1,371 per month. Benefits are calculated from your onset date of disability forward. Social Security will pay a lump sum amount for back-due benefits and then monthly benefits going forward.