Navigating the Social Social Security disability benefits system can be challenging, especially when it comes to understanding income limits and how they affect your eligibility. If you’re in Oregon, and wondering whether you might be denied Social Security Disability Insurance (SSDI) or Supplemental Security Income (SSI) benefits due to earning too much, it’s important to know the rules, limitations, and options available to you. In this article, we’ll break down the key factors that can lead to a denial based on income and explain how legal guidance from trusted professionals like Drew L. Johnson, P.C. can make all the difference in securing your benefits.
Understanding SSDI and SSI: The Basics
To grasp why income might disqualify you from receiving Social Security disability benefits, you first need to understand the differences between SSDI and SSI.
- SSDI (Social Security Disability Insurance): This program is for individuals who have paid into the Social Security system through payroll taxes. Eligibility depends on your work history and whether your condition meets the Social Security Administration’s (SSA) definition of a disability. While SSDI isn’t strictly needs-based, your current income plays a major role in determining eligibility.
- SSI (Supplemental Security Income): This needs-based program is designed for individuals with limited income and resources. SSI benefits are not tied to work history but focus solely on financial need and disability status.
Both programs have income limits that determine whether you qualify, with SSDI focusing on substantial gainful activity (SGA) and SSI incorporating both income and asset thresholds.
What Is Substantial Gainful Activity (SGA)?
For SSDI applicants, the SSA uses the concept of Substantial Gainful Activity (SGA) to evaluate whether someone is eligible for benefits. SGA refers to a certain level of income that indicates you are engaged in significant work activity. If your earnings exceed this limit, the SSA may decide you are not disabled enough to qualify for benefits.
As of 2025, the SGA limit is:
- $1,620 per month for most individuals.
- $2,700 per month for individuals who are blind.
Earning above these amounts can disqualify you from receiving SSDI benefits, regardless of how severe your disability might be.
It’s important to note that this limit applies to gross income before taxes and deductions. If your monthly earnings exceed the SGA amount, the SSA assumes you are capable of maintaining substantial employment and denies your claim.
Income Limits for SSI Benefits
SSI benefits operate differently from SSDI. Since SSI is a needs-based program, it considers both your income and resources when determining eligibility. In general:
- Countable income includes wages, Social Security benefits, pensions, and any other sources of income.
- Resource limits are set at $2,000 for an individual and $3,000 for a couple, excluding certain assets like your primary home and one vehicle.
If your income or resources exceed these thresholds, you may not qualify for SSI benefits. However, some forms of income, such as food stamps, may not count toward these limits.
Common Reasons for Denied Social Security Benefits Due to Income
When it comes to income-related denials, there are a few scenarios where your Social Security disability claim might be rejected:
- Exceeding the SGA Limit: If your earnings surpass $1,620 per month ($2,700 for the blind), the SSA will likely deny your SSDI application.
- Too Much Countable Income: For SSI applicants, exceeding the program’s income or resource limits can lead to denial.
- Misreporting Income: Failure to accurately report your earnings or other income can result in a denial and even penalties.
- Trial Work Period Earnings: While SSDI beneficiaries can test their ability to work through a trial work period, earning too much after this period may lead to benefit termination.
If your Social Security disability benefits are denied for income-related reasons, you are not alone. Many people in Oregon face similar challenges, but there are steps you can take to appeal or adjust your situation.
What to Do If Your Social Security Disability Claim Is Denied
A denial doesn’t mean the end of the road. If your claim has been denied for income reasons, you can take action to address the issue. Here are some steps to consider:
- Request a Reconsideration: If your SSDI or SSI claim is denied, you have the right to request a reconsideration within 60 days of the denial. This involves a review of your application by someone who wasn’t involved in the initial decision.
- Request a Hearing: If the reconsideration doesn’t result in approval, you can appeal the decision and request a hearing before an Administrative Law Judge. At this stage, presenting strong evidence and legal arguments is crucial.
- Review Your Earnings: Ensure that your reported income aligns with the SSA’s guidelines. Miscalculations or unreported deductions, such as impairment-related work expenses, could affect your eligibility.
- Seek Legal Help: Navigating the appeals process can be overwhelming, but a skilled Social Security disability attorney can guide you through each step. They can help you understand why your claim was denied, gather supporting evidence, and build a strong case for approval.
How an Attorney Can Help
If your Social Security disability benefits have been denied because of income, hiring an experienced attorney can make all the difference. Lawyers who specialize in Social Security disability cases understand the complexities of the system and can identify strategies to improve your chances of success.
At Drew L. Johnson, P.C. we’ve helped countless clients overcome challenges like income-related denials. Our team can assist you in:
- Understanding SSA Guidelines: We’ll help you navigate income limits and exemptions, such as impairment-related work expenses that could reduce your countable earnings.
- Preparing for Appeals: Whether it’s a reconsideration or a hearing, we’ll ensure your case is well-documented and presented effectively.
- Providing Personalized Support: Every case is unique, and we’ll work closely with you to develop a strategy tailored to your situation.
Call us today at (541) 434-6466.
