Continuing Disability Reviews and Overpayments

It seems that we are getting a record of number of calls from claimants saying that their Social Security Disability benefits are being reviewed, ceased or that they have received overpayment notices.  The Social Security Administration (“SSA”) is supposed to review claims every three to five years. In certain circumstances, reviews are performed more frequently than this. For instance, if you had a lumbar fusion, the Social Security Administration may request that your case be reviewed in one year from the date of the decision to see if you have improved enough to return to work.

Reviews are very important. While some individuals suffer from unfortunate impairments that may result in lifelong disability, others do not. Social Security Disability and Supplemental Security Income are designed to help an individual who is going to be disabled from work for a full year support oneself. Once an individual’s impairment improves enough so that the individual can return to work, the Social Security Administration rightfully expects that person to return to work.

 Historically, the SSA has struggled to keep up with continuing disability reviews. However, a government watchdog reported this month that SSA has overpaid close to 17 billion dollars in disability benefits over the last decade: http://www.businessinsider.com/social-security-17-billion-in-overpayments-2015-6. These benefits were reportedly being paid to those who no longer met SSA’s definition of disability, were earning too much, had died, or were incarcerated. While the information at how the 17 billion dollar overpayment number was arrived out isn’t clear, I suspect the increasing number of reviews taking place currently have something to do with this study.

I recommend that if you are currently receiving benefits, you should continually do a self-assessment to determine whether you are improving and may be able to enter the workforce again. More importantly, I think it is crucial that you speak to your doctor every year to touch base to see if he/she thinks you are able to return to work.

If you do continue to remain disabled, stay in consistent treatment with your doctors. If SSA selects your case for review, provide SSA with updated medical records and a letter from your doctor which explains why you remain disabled. Remember, if you are collecting disability, SSA expects you to remain in treatment with appropriate medical providers.  Please also remember to complete any review paperwork that SSA sends you in a timely manner.

If you have improved enough to return to work, notify SSA immediately. If you are receiving Social Security Disability, SSA will allow you to test your ability to work for nine months (total – the nine months do not have to be consecutive). Every year, SSA changes the amount of earnings that trigger a trial work period, so it is important to familiarize yourself with the rules and regulations regarding the program. It is also important that you notify SSA as soon as return to work. Failure to do so can result in an overpayment, which the Social Security Administration will require you to pay back.

Got a question about SSDI or SSI that you need us to answer? Please check out our website at www.westcoastdisability.com . We try to provide you with helpful information on our website that will allow you to successfully navigate the Social Security Disability process. Also, feel free to email me your questions at megan@westcoastdisability.com or call me at (800) 459-3017 x 103.

Self-Employment Income

It has come to our attention that there is some confusion as to whether self-employment income constitutes work activity for the purpose of determining disability through the Social Security Administration. It does.

Being self-employed encompasses a growing percentage of the United States workforce. More workers are working from home and trying to develop home-based businesses and internet businesses. Please note that money you earn selling items on Ebay, Craigslist or Etsy can constitute work to the Social Security Administration if your income from these sales arises to a certain level.

Substantial gainful activity (“SGA”) is the performance of significant physical or mental tasks that are “productive” in nature, resulting in income that equals or exceeds an amount set annually by SSA. For non-blind individuals, the monthly SGA amount for 2015 is $1,090.00. The monthly SGA amount for statutorily blind individuals for 2015 is $1,820.00. If your self-employment earnings are over the monthly SGA limits set by the Social Security Administration, you will be precluded from Social Security Disability benefits.

Thus, it is crucial that you tell your lawyer about any self-employment or internet sales activity that you performing. If you do not report this type of income to the Social Security Administration, they can saddle you with an overpayment and ask you for all the disability benefits back. If the government thinks that you intentional misled them about your work activity, they can also prosecute you for fraud.

 Got a question about SSDI or SSI that you need us to answer? Please check out our website at www.westcoastdisability.com . We try to provide you with helpful information on our website that will allow you to successfully navigate the Social Security Disability process. Also, feel free to email me your questions at megan@westcoastdisability.com or call me at (800) 459-3017 x 103.