With retirement approaching, it’s a good idea to familiarize yourself with what can cost you your social security benefits or what you can collect on top of them. Also, if you’re receiving social security disability, will your retirement affect those payments? These are important topics to cover, just as knowing what SSI and SSDI are, when to file for each, or switching from one to the other.
Collecting Social Security and Disability
Many people confuse their social security retirement with supplemental security income, but they are entirely different programs and that matters a great deal if you’re hoping to collect social security disability. The issue here is eligibility and what those payments look like, while it’s tempting to think that applying for various forms of social security will make for higher payments, it isn’t how it works. Essentially, the social security office will only pay you whatever is higher if you’ve filed for both. In most cases, the SSI disability is higher until you reach the age for full retirement which will then automatically convert to your retirement benefits.
There is a rare exception to the automatic conversion rule and that is when someone opts for early retirement but is then approved for SSDI benefits. This way you can receive early retirement payments until the disability insurance is approved and the additional money comes in on top of the early-retirement benefits, likely along with the retroactive benefits.
Can You Switch from SSI to SSDI?
Yes, you’re able to switch from SSI to SSDI. If you file for early retirement and then suffer from a disability, you can apply for SSDI benefits. If approved, they will switch your early retirement benefits to SSI disability benefits. This is also true in reverse. This is one of the instances where you would want to speak with an SSI or SSDI lawyer before making any filings or claims, to ensure you’re not robbing yourself of a higher payment or missing an opportunity to benefit from what is rightfully yours. It isn’t uncommon for people to file for SSDI, only to find their social security retirement was much higher, and are now unable to collect.
Filing for Disability and Social Security at the Same Time
This is another common “trick” people employ to try and receive both social security disability and social security retirement insurance, but it can have costly ramifications. People who retire early and apply for disability at the same time run the risk of their SSDI being denied, then being forced to collect lower benefits for the rest of their life. While this is an option for people who are quite impaired and it’s all but guaranteed they’ll get their SSDI benefits, you have to ask yourself if it’s worth the risk.
This is another area where it pays to have a lawyer well versed in social security disability benefits and the social security administration.
A Guide to Social Security Disability and Social Security Benefits
If you’re considering filing for both social security benefits and SSDI, it’s important you have the right guide to ensure you get what is rightfully yours. Being denied social security disability and getting lower SSI benefits is a scary and stressful time, especially if counting on that extra income makes you think you cannot afford an attorney.
Getting what you need to live and have what you deserve is too important to leave to chance. Partner with an experienced ally that is by your side from start to finish to better secure your benefits.