WHAT IS THE AMOUNT OF MY SSDI BENEFIT?
DO YOU KNOW YOUR MONTHLY SSDI BENEFIT AMOUNT?
How do you calculate the amount of your monthly SSDI benefit payment?
Every day clients ask us how much money they will receive if they win their Social Security case.
If you have questions about your SSDI benefits, then you are in the right place. Because we have answers to your questions.
If you qualify for Social Security Disability Insurance (SSDI) benefit payments, then the amount you will receive each month depends on your average lifetime earnings.
Unlike Worker’s Compensation benefits, your SSD payment is not based on a rating system. Additionally, the amount of your monthly benefit is not based on how much money in your savings account. Instead, the amount of money you have earned on the job is the key factor in how much money you will get each month.
Because your monthly benefit amount is based on your past earnings, you will receive a check based on the amount you earned. Each person earns a different amount of money at their jobs. Therefore, everyone’s benefit amount is different. However, keep in mind that in order to be paid any SSDI benefits at all, you must first be found disabled.
To qualify for SSD benefits, you must have a severe physical or mental condition that prevents you from working for more than 12 months. Learn how to apply for SSD benefits.
THE AVERAGE AMOUNT OF SSDI BENEFITS
Most people who receive SSDI benefits get between $800 and $1,800 per month. For example, the average benefit for 2024 was $1,665.
In 2023, the maximum monthly SSDI benefit you could receive was $3,627 per month.
This year, in 2024, the maximum benefit a worker can receive in monthly SSDI payments is $3822.
Most people do not receive the maximum SSD payment. Instead, they receive an amount between $800 per month and $1800 per month. The reason for this is that most people have average earnings or an average income.
Because cost of living varies by location and SSDI payments are determined by lifetime earnings, you may have a higher SSDI amount if you live in California versus Alabama. People have a higher benefit if they made more money in a higher income state. For example, in 2023, Delaware had the highest average monthly SSDI payment at $1,599.97, and the District of Columbia had the lowest at $1,321.04.
The amount of SSDI money you will receive is unique. This is due to the fact that the Social Security Administration (SSA) uses a complex weighted formula in order to calculate benefits for each person.
Social Security determines your retirement and SSDI benefit payment on the income on which you’ve paid Social Security taxes. SSA calls this “covered earnings.” Your average covered earnings over a period of years is known as your average indexed monthly earnings (AIME).
A formula is applied to your AIME to calculate your primary insurance amount (PIA), which is the base of your monthly benefit. The formula consists of fixed percentages of different amounts of income. This adjusts each year. For example, in 2021, 90% of the first $996 of your AIME is added to your PIA, plus 32% of your AIME from $996 to $6,002, plus 15% of your AIME over $6,002. These amounts are added up to come up with your monthly benefit amount. If this seems confusing, that is because it is.
What you need to know is the more money you make on the job, the more your monthly SSDI benefit payment will be. Also, if you do not return to work, your SSDI benefit will not change over time. However, your SSDI benefit will become your retirement benefit at full retirement age. For most people that is 67 years old.
OTHER INCOME MAY REDUCE THE AMOUNT OF YOUR SSDI PAYMENT
If you receive other government benefits, then you could see a reduction in your monthly SSDI benefit. For example, income sources that could lower your monthly SSDI payment are:
- Worker’s compensation benefits
- Public disability benefits
- Pension payments based on work not covered by Social Security. For example, if your past work was for the government or you were a federal employee.
- Foreign government pensions
Some people on SSI benefits have other sources of money. You could have some earnings from work. Or, as listed above, you could have other benefits. SSI has rules about how much of your other income Social Security expects you to spend on your basic needs. The part of your monthly income that SSI expects you to spend on basic needs is what SSA calls your “countable income.” Not all of your income is countable income.
You can learn about Workers’ Compensation offset provisions. It is important for you to understand what will happen to your SSDI benefit if you also receive Workers’ Compensation.
CALCULATE THE AMOUNT OF YOUR SSDI PAYMENT ONLINE
You do not need to be able to calculate your own benefit amount. Instead, you can look up your entire earnings history online. You can check your annual Social Security Statement online at Social Security’s website under My Account.
If you want to enter salary information yourself, rather than rely on your earnings record, you can do so. You can also estimate of your future earnings using the SSA’s site. Just put your earnings into the SSA’s online benefits calculator that is found on their website.
You can also call your local Social Security office and a field worker will be able to help you estimate your monthly benefit payment. It may take a long time to request help on the phone. We recommend you check your SSDI payment amount online on SSA’s website. You can also figure out if you qualify for past due SSDI benefits.
MONTHLY SSI PAYMENTS ARE A DIFFERENT STORY
SSI payments are not based on your income. In fact, SSI benefits are for people who have never worked or who have had a low income.
Do you wonder how SSA sets the amount of monthly SSI benefits? The answer is the government sets the monthly amount of SSI benefits based upon the state you live in. Your SSI payments, unlike SSDI, are dependent on your household income and your assets.
Additionally, your state can choose to add money to your monthly benefit amount. The monthly maximum Federal amount of SSI for 2024 is $943 for an eligible individual. The SSI amount for 2022 for an eligible couple is $1415. Your final monthly SSI amount may be more if your state has a high cost of living. In 2023, the maximum monthly SSI payment was $914 for an individual and $1371 for a couple. Benefit amounts go up every year if the cost of living rises.
In general, monthly amounts for the next year are set by increasing the unrounded annual amounts for the current year by the COLA effective for January of the next year. Your state, like Utah or Nevada, may also contribute to raise the monthly SSI amount.
If your state does give you more SSI money, it is usually because the cost of living is higher in your state. For example, the maximum SSI amount in California is $1040, but in Utah the maximum SSI amount is $943. However, the cost of living in Utah is lower than in California.
HOW THE SSA EXAMINES YOUR INCOME
In order to determine your monthly SSI amount, the SSA will look at two different kinds of possible income: earned income and unearned income.
Earned income is money you get from any work you do. It includes your salary. It also includes any wages, tips, bonuses, or other payment amounts you get in exchange for any work you do.
When figuring out your monthly SSI benefit, the SSA will look at your gross earned income. Your gross earned income is your monthly wage before taxes are deducted. If you’re self-employed, then you subtract your work expenses before reporting your earned income.
Unearned income is money you receive for which you did not work. Sounds good, right? Examples of unearned income include disability benefits, like such as Social Security Disability Insurance (SSDI). It also includes short-term and long-term disability insurance benefits, Veterans benefits, or Workers’ Compensation benefits. Other sources of unearned income are monty from a trust or investments, dividends, profits, or any money from a source other than work.
POSSIBLE PAYMENT REDUCTION WITH SSI BENEFITS
The monthly amount of SSI is reduced by subtracting any countable income you may have. In the case of an eligible individual with an eligible spouse, the payable amount is divided equally between the two spouses.
The SSI benefit amount cannot change, unless your income or assets change. If you have a change in income, such as you stop getting child support payments or welfare payments, then contact the SSA. It is possible that these changes could effect the amount of money you receive from SSI on a monthly basis. Learn information about SSI benefits.
FIND AN SSD LAW FIRM WITH EXPERIENCE
If you want a lawyer to help you win SSD benefits, then hire Cannon Disability Law. We can explain your SSDI and SSI benefits to you. You need to know how much money you will receive every month. Additionally, it is important to understand how all of your government benefits work.
That is why you hire a lawyer with the knowledge to explain your benefits. Find out about our lawyers and staff on our About Us Page.
If you don’t hire an attorney, then there is a good chance you will not win your case. Don’t take that chance. Hire us. We have the legal experience you need to win your case. At our law office, we help our clients file their SSD and SSI applications. We also appeal all denials. Learn how to appeal an SSA denial.
Additionally, we will request your hearing for you. Then, we represent you at your Social Security hearing. In the last 30 years, we have won over 20,000 SSD and SSI cases for our clients. If you contact us today, then we can help you too. We offer a free review of your case. Call and ask any questions you have about the amount of your SSDI benefit.
