|Introduction to Social Security Benefits that Are Available to Persons with Disabilities||
Spain, Spain & Varnet, P.C.
33 North Dearborn St. Suite 2220
Chicago, IL 60602
Fax: (312) 220-9261
Reprinted with the permission of Theresa M. Varnet
Spain, Spain & Varnet, P.C.
In addition to being disabled, an individual applying for SSDI must have worked and paid into social security for a minimum number of work quarters, if s/he is drawing on his or her own social security account (the minimum number of quarters is determined by one's age and the number of years s/he worked prior to becoming disabled). If the individual is to draw on a parent's account, the individual's work record is not applicable. There is no deeming of one's assets (i.e. you will not be asked questions about bank accounts, savings bonds, etc.) in order to determine eligibility for SSDI. All that is required is that the individual is disabled and no longer capable of substantial gainful employment, and has paid into social security for the required number of quarters if s/he is drawing on his or her own account. If an individual is collecting SSDI under his or her parent's work record, s/he must have been disabled prior to the age of 22, be single and be incapable of substantial gainful employment. In order to collect on a parent's work record, the parent must have died, retired or become disabled. In other words, a dependant adult child can collect SSDI based on his or her parent's work record if the parent is eligible for social security administration benefits.
SSI requires that in addition to a person being disabled and incapable of gainful employment, s/he must be poor and have very little income and very few resources. The following are a list of resources that an individual is allowed to retain and still be eligible for SSI:
The amount of SSDI you receive depends upon the number of years you worked and paid into social security, the rate of pay, and your age when you became disabled. The amount of money you receive under SSI is limited to a maximum of $500 per month as of January 1, 1999, except in those states that supplement the Federal SSI payment. Illinois is not one of the states that supplements the Federal contribution.
There are other ways you can maximize the amount of money you receive under SSI. These include being knowledgeable about deductions allowed for "IMPAIRMENT RELATED EXPENSES" and about SSI's DEEMING requirements if you are living in the home of another and you are receiving free or "in kind" support. The following is a more detailed explanation of each.
Impairment related work expenses are those costs for services and items that a person needs in order to work. The costs for these items and services must be paid by the disabled individual and not be a cost that is reimbursable by Medicare, Medicaid or private insurance. Examples of impairment related expenses are as follows:
In order to avoid losing one-third of your SSI check you must be able to show that you are either paying rent or that you are contributing your "fair share" towards the costs of maintaining your household. To determine whether or not you are paying your fair share of your household's expenses, SSI officials will require you to itemize your household's expenses and divide those expenses by the number of people living in the home. Household expenses include total monthly expenditures for food, rent, mortgage, property taxes, heating fuel, gas, electricity, water, sewerage and garbage collection. If the amount of expenses divided by the number of people in the home is less than $500, SSI will allow you to keep your whole SSI check. If the amount is greater than $500, (even if only over by a few dollars), SSI will deem this excess amount as a voluntary contribution towards your support, and will reduce the SSI check by one-third.
If you are denied eligibility for either SSI or SSDI, you can appeal this decision. Instructions on how to file an appeal are given on the back of your notice of denial from Social Security. You will have a much greater chance of winning an appeal if you consult an attorney, advocate or other professional who is familiar with S.S. regulations and appeal procedures. Some attorneys will accept your case on a contingency fee arrangement. That is, they will get paid only if they win your appeal and will accept 25% of your back payment as full payment for their legal fees.
This material is intended to offer general information to clients, and potential clients, of the firm, which information is current to the best of our knowledge on the date indicated below. The information is general and should not be treated as specific legal advice applicable to a particular situation. Spain, Spain & Varnet P.C. assumes no responsibility for any individual's reliance on the information disseminated unless, of course, that reliance is as a result of the firm's specific recommendation made to a client as part of our representation of the client. Please note that changes in the law occur and that information contained herein may need to be reverified from time to time to ensure it is still current. This information was last updated February 20. 1999.