Can You Work And Get SSI?

Understanding Supplemental Security Income (SSI) and Employment Possibilities

If you've ever wondered whether you can work and still receive Supplemental Security Income (SSI), you're not alone. Many individuals who rely on SSI benefits are keen to improve their financial situation by taking on work, but fear that doing so might jeopardize their benefits. This article will delve comprehensively into this topic, exploring the intersection of employment and SSI, and providing insights into how you might balance both.

What is Supplemental Security Income?

Supplemental Security Income (SSI) is a program administered by the Social Security Administration (SSA) that provides financial help to adults and children with disabilities or blindness, as well as individuals aged 65 or older, who have limited income and resources. Unlike Social Security benefits, SSI is not based on your previous work or a family member’s work. Instead, it’s funded by general tax revenues.

Eligibility Criteria for SSI

1. Age, Disability, or Blindness:

   • At least age 65, or
   • Blind, or
   • Have a disability (physical or mental condition preventing work and lasting more than a year).

2. Income and Resource Limits:

   • Limited income—includes wages you earn from work, Social Security benefits, and pensions.
   • Limited resources—$2,000 for individuals and $3,000 for couples.

3. Additional Criteria:

   • U.S. residence and citizenship or lawful resident status.

Can You Work While Receiving SSI?

Yes, you can work while receiving SSI, although your benefits will be affected by your earnings. The key is understanding how the SSA calculates your SSI benefits in relation to your income from work, and taking strategic steps to ensure compliance with their requirements.

How Work Affects SSI Benefits

The SSI program is designed to encourage work whenever possible by allowing recipients to gradually reduce their benefits as their earnings increase. This concept is known as the earned income exclusion.

1. Earned Income Exclusion:

   • The SSA does not count the first $65 of earned income, plus one-half of the amount over $65.

2. The Basic Calculation:

   • Suppose you earn $585 monthly. The first $65 is excluded, leaving $520. Then, only half of the remaining earned income is considered, which further reduces countable income to $260.
   • The SSI federal benefit rate (FBR) in 2023 is $914 monthly for individuals. The SSA subtracts the countable income ($260 in this scenario) from the FBR, resulting in $654 in SSI benefits.

3. Special Rules and Incentives:

   • Blind Work Expenses (BWE): Individuals who are blind can deduct their work-related expenses from their earnings when calculating SSI benefits.
   • Student Earned Income Exclusion (SEIE): For students under age 22 regularly attending school, SSA excludes up to $2,220 in monthly earnings when determining SSI eligibility (up to a maximum of $8,950 annually).

Table 1: Simplified SSI Earned Income Calculations

Reporting Income to the SSA

It is essential to report your income promptly to the SSA to avoid overpayments or penalties. Here’s what you need to keep in mind:

1. Timing:

   • Report your earnings by the 10th of each month for the previous month’s income.

2. Methods of Reporting:

   • Online through the Social Security Account
   • By telephone using a toll-free number
   • In-person at your local SSA office

Utilizing SSA Services

Taking advantage of various SSA resources can significantly smooth the reporting and adjustment process, maximizing the benefits of both working and receiving SSI:

• My Social Security Account: Create an online account to seamlessly manage your SSI benefits, report income, and receive updates.
• SSI Work Incentives Seminar Events (WISE): Free, informative sessions offered by the SSA to explain how work affects your benefits and how to use work incentives.

Common Questions about SSI and Work

Will Working Full-Time Affect My Benefits?

Working full-time could potentially eliminate your SSI benefits if your income exceeds the program’s resource and income limits; however, in many cases, the strategic use of exclusions and incentives can still allow for part-time or full-time employment without losing all benefits.

What Happens if I Stop Working?

If you need to stop working, notify the SSA. Your SSI benefits will generally increase based on your lack of income, reverting to amounts reflective of zero earned income.

Can Receiving SSI Facilitate Employment?

Absolutely. The Ticket to Work program provides free employment services, vocational rehabilitation, and job placement to SSI beneficiaries to encourage meaningful employment.

Key Takeaways

• Yes, you can work while receiving SSI, but it requires careful planning and understanding of the SSA’s income reporting and exclusions.
• Your SSI benefits will adjust according to your countable earned income.
• Work incentives, such as the Student Earned Income Exclusion and Blind Work Expenses, help retain more benefits while working.
• Accurate and timely income reporting to the SSA is crucial to avoid any potential discrepancies.
• Utilize SSA's tools and resources to stay informed and manage your benefits efficiently.

Stay informed, and consider consulting with a Social Security representative to effectively navigate your employment while retaining SSI benefits. Doing so can help you strike a balance between seeking employment opportunities and maintaining your SSI benefits.