New Rules For Working While Receiving Social Security: As we approach January 2025, new changes to the rules governing Social Security benefits, particularly for people who are working while receiving Social Security Disability Insurance (SSDI) or Supplemental Security Income (SSI), will take effect. These adjustments aim to make it easier for recipients to enter or re-enter the workforce without the risk of losing their benefits. Whether you’re currently receiving benefits or considering returning to work, it’s important to understand the implications of these updates.
In this article, we’ll break down the key updates to Social Security work rules in 2025, provide practical advice on how these changes may affect you, and guide you through the steps to take if you want to start or continue working while receiving Social Security benefits.
New Rules For Working While Receiving Social Security
| Key Topic | Details |
|---|---|
| Trial Work Period (TWP) Threshold | Expected to be $1,050 or more per month. |
| Substantial Gainful Activity (SGA) | $1,460 per month for non-blind SSDI recipients. |
| SSI Income Limit | Likely to remain around $1,000 for individuals. |
| Impairment-Related Work Expenses | Costs for disability-related work expenses can be deducted. |
| Ticket to Work Program | Offers free job training and support for SSDI/SSI recipients. |
| Cost of Living Adjustment (COLA) | COLA adjustments expected to continue for 2025. |
For more details on these new rules and to stay updated, visit the Social Security Administration.
The new Social Security work rules for 2025 offer significant opportunities for people receiving SSDI and SSI to return to work and keep their benefits. Whether you’re considering testing your ability to work through the Trial Work Period (TWP) or utilizing work incentives like the Ticket to Work Program, these changes are designed to make it easier to transition from dependency to financial independence.
If you’re thinking about working while receiving Social Security benefits, it’s crucial to understand the new earning thresholds, work incentives, and financial exclusions available to you. Always consult with the Social Security Administration (SSA) or a benefits counselor to make sure you’re making informed decisions and protecting your financial stability.
By planning ahead and taking full advantage of available programs, you can achieve greater financial security while maintaining your access to Social Security benefits.
Understanding the Key Social Security Programs: SSDI and SSI
Before diving into the changes, it’s important to understand the difference between SSDI and SSI as both programs have different rules and eligibility requirements.
- Social Security Disability Insurance (SSDI) is designed for people who have worked and paid into Social Security for a certain number of years but are now unable to work due to a disability.
- Supplemental Security Income (SSI), on the other hand, is a need-based program for individuals with disabilities, regardless of their work history. To qualify for SSI, you must meet specific income and resource limits.
These programs provide financial assistance to people who are disabled and unable to work, but they also have strict rules about working while receiving benefits. The changes coming in 2025 are designed to make it easier for beneficiaries to test their ability to work without losing their benefits right away.
Key Changes to SSDI and SSI Work Rules in 2025
Starting in January 2025, new earning thresholds and work incentives will allow more flexibility for recipients of both SSDI and SSI to work while still receiving some or all of their benefits. Below, we break down the major changes.
1. Trial Work Period (TWP) for SSDI Recipients
The Trial Work Period (TWP) allows people receiving SSDI to work and earn as much as they want without affecting their benefits. This gives you the opportunity to test your ability to work before Social Security decides whether you can continue to receive benefits.
- TWP Threshold in 2025: The TWP threshold for 2025 is expected to be around $1,050 per month. This means if you earn more than $1,050 in a month, that will count as one of your nine trial work months.
- How TWP Works: You can earn any amount during the TWP without losing your benefits. Once you’ve used all nine trial months, Social Security will determine if you’re engaging in Substantial Gainful Activity (SGA). If you are earning more than the SGA threshold, your SSDI benefits may stop.
- What Counts as SGA? In 2025, the SGA threshold will be $1,460 per month for non-blind individuals and $2,460 per month for blind individuals. If you exceed this amount, Social Security will consider you capable of working at a substantial level, and your SSDI benefits may be discontinued.
2. SSI Income and Resource Limits
For those receiving SSI, the rules are more restrictive. SSI benefits are based on financial need, so your income and resources must fall below a certain level to qualify for assistance.
- Income Limits for 2025: For individuals, the monthly income limit will likely remain around $1,000. For couples, the limit may be about $1,500. If you earn more than these limits, your SSI benefits could be reduced or even eliminated.
- How Your Earnings Affect SSI Benefits: However, there are ways to reduce the impact of your earnings on your SSI benefits:
- Earned Income Exclusions: Social Security excludes the first $65 of earned income per month, plus half of any additional earnings.
- Impairment-Related Work Expenses (IRWE): If you incur disability-related work expenses (such as specialized equipment or transportation), these may be deducted from your income.
- Impact on SSI Resources: Resources, like savings and property, are also counted in determining SSI eligibility. However, certain resources (like your primary residence or one vehicle) may not count.
3. Social Security Work Incentives
Social Security provides a variety of work incentives to encourage individuals with disabilities to return to work without fear of losing their benefits immediately. Some of the key incentives include:
- Ticket to Work Program: This program offers free employment support, job training, and other services to help people with disabilities find and keep work. The goal is to provide a bridge for recipients to transition from dependence on benefits to financial independence.
- Plan to Achieve Self-Support (PASS): This is a special program for SSI recipients who want to set aside income and resources for a specific work goal, like starting a business or going to school.
- Student Earned Income Exclusion (SEIE): If you’re a student under the age of 22 and receiving SSI, you may be able to exclude some of your earned income from counting against your SSI benefits.
4. Cost of Living Adjustments (COLA)
Each year, Social Security benefits, including SSDI and SSI, are adjusted for inflation through a Cost of Living Adjustment (COLA). In 2025, the COLA will likely continue to help recipients keep up with inflation. For instance, in 2024, the COLA was 3.2%, which helped to offset the rising costs of living.
The COLA for 2025 will be announced in the fall of 2024, but expect it to reflect any changes in the cost of living over the past year. The COLA increase affects both SSDI and SSI recipients.
Additional Resources and Support
Navigating the Social Security system can be complex, but you don’t have to do it alone. Here are some resources that can help you manage the transition to work while receiving benefits:
- Social Security Administration (SSA) Website: For the most up-to-date information on the latest changes to Social Security work rules, visit SSA’s official website.
- Ticket to Work Program: To learn more about free job training and vocational rehabilitation services, visit Ticket to Work.
- Local Social Security Offices: If you need personalized assistance or advice, contact your local SSA office. You can find office locations and contact information through the SSA website.
- Disability Rights Organizations: There are many nonprofit organizations that provide free advocacy and support for individuals with disabilities. Examples include Disability Rights Education & Defense Fund (DREDF) and National Disability Rights Network (NDRN).
How Working While Receiving Benefits Can Work
Let’s look at Samantha, a 38-year-old woman with a spinal cord injury who has been receiving SSDI benefits for several years. After feeling ready to return to work, Samantha wanted to know how her earnings would affect her benefits. Through the Trial Work Period (TWP),
Samantha was able to test her ability to work as a part-time office assistant without worrying about losing her benefits. She earned $1,200 per month, which counted toward her TWP. After her trial period ended, Samantha’s earnings were below the Substantial Gainful Activity (SGA) threshold, so she continued to receive SSDI benefits while working part-time.
Samantha also enrolled in the Ticket to Work Program, which provided her with job training and vocational support. With this combination of support, Samantha was able to gradually return to work full-time and transition off SSDI, while her benefits were protected during the process.
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Frequently Asked Questions (FAQs) about New Rules For Working
Q: Can I work full-time while receiving SSDI benefits?
A: You can work full-time, but if your earnings exceed the Substantial Gainful Activity (SGA) threshold, your SSDI benefits may be reduced or stopped. If you’re in a Trial Work Period (TWP), you can work and earn any amount without losing your benefits.
Q: How can I qualify for the Trial Work Period?
A: You qualify for the Trial Work Period once you start receiving SSDI benefits. The TWP allows you to test your ability to work for up to nine months while still receiving full SSDI benefits.
Q: What is the Ticket to Work Program?
A: The Ticket to Work Program is a free program that provides support for individuals receiving SSDI or SSI. It offers job training, vocational rehabilitation, and other services to help you return to work and maintain your benefits.
Q: Can I continue to receive SSI if I earn over the income limit?
A: It depends. If you earn above the income limit, your SSI benefits may be reduced or eliminated, but certain work incentives, such as Impairment-Related Work Expenses (IRWE), may help you keep some benefits.
