Author: Steve Perrigo

Steve Perrigo, J.D., is Vice President & Head of Sales and Account Management. He joined Allsup in 2010 following 17 years with the Social Security Administration (SSA) in various roles of increasing responsibility, including Claims Representative, Technical Expert, Operations Supervisor, and Assistant District Manager. Steve leads Allsup’s national account sales activities and provides consultative guidance to client companies by analyzing complex data sets that compare performance against historical measures, Allsup’s business results, and industry benchmarks. His consultation includes leveraging his prior experience with the SSA to identify and analyze macro-level trends with the Social Security Disability Insurance program, and providing timely insights and client updates through channels such as Allsup’s commercial blog. Steve’s educational background includes a law degree from the Nashville School of Law, where he graduated in the top 10 of his class, and a bachelor’s degree from The State University of New York. He currently is an adjunct professor of Social Security Disability Law at the Nashville School of Law.

Protect Your Paycheck With The Combined Benefit of Social Security Disability Insurance and Ticket to Work-Protect Your Income Campaign

Protecting Your Paycheck With The Combined Benefit of Social Security Disability Insurance and Ticket to Work

October 17, 2023
By Steve Perrigo Disability, Disability Insurance, Protect Your Income, Social Security Disability Income, SSDI, Uncategorized

By Steve Perrigo, Allsup Protecting your paycheck is more important than ever for most working Americans. The higher cost of everything from gas to groceries, plus high interest rates, make it a challenge to stay within household budgets. In these uncertain times, it’s important .. more »

By Steve Perrigo, Allsup

Protecting your paycheck is more important than ever for most working Americans. The higher cost of everything from gas to groceries, plus high interest rates, make it a challenge to stay within household budgets. In these uncertain times, it’s important to know the federal protections that are in place should you ever need them.

Nearly 160 million U.S. workers may be unaware of an important protection to their earning power. The combined benefit of Social Security Disability Insurance (SSDI) and the Ticket to Work Program supports individuals when they cannot work due to illness or injury, and offers significant incentives to return to the workforce when the time is right.

The Social Security Administration (SSA) oversees SSDI. FICA taxes are the insurance premium you pay to enroll in the program. Last year, $160.7 billion in net payroll tax contributions for DI were collected.

Social Security Disability Insurance

Despite paying into the program, many people don’t know they have earned SSDI with their FICA taxes. The program goes beyond monthly cash payments. SSDI unlocks a whole host of other benefits that can make a significant difference for those dealing with chronic illnesses or disabilities.

These include:

Monthly income. The average 2023 benefit is $1,483, and it maxes out at $3,627.
Medicare coverage. Medical and prescription drug coverage begin 24 months after SSDI cash benefits start.
Protected Social Security retirement benefits. Approval for SSDI triggers a Social Security earnings record freeze that can result in a higher retirement income.
Dependent benefits. SSDI approval can result in benefits for children under 18, adding up to 50% more to an individual monthly payment.
Annual cost-of-living adjustments. The COLA is evaluated annually and may raise your monthly income.

The Ticket to Work Program

Even fewer people know about the Ticket to Work program (TTW). According to a recent report from the SSA, almost one third of SSDI beneficiaries were unaware that they could keep their SSDI benefits and return to work.

TTW is an extension of SSDI. All individuals who receive SSDI are automatically eligible for TTW. It’s a free program for U.S. workers with disabilities that offers a safe path to try working again after their medical condition stabilizes. The Ticket to Work program offers substantial protections including:

Earn any amount. During the first year of the program, you can make as much money as you want and protect your full SSDI benefits.
No continuing disability reviews. Avoid Social Security’s disability reviews and the possible benefits termination that may result from a review.
Keep Medicare. While working, you can continue receiving Medicare for more than 7 years.
Benefits reinstatement. If you need to stop working any time within 9 years, your SSDI benefits restart.
It costs nothing. Social Security funds this program, so beneficiaries work with Employment Networks (ENs) at no personal cost. ENs help people with all aspects of returning to work.

There are many unfounded beliefs about SSDI. Some people think SSDI is a fund they’re paying into and, by taking SSDI, they will reduce the money they’ll receive in the future. This isn’t true. It is a federal insurance program and FICA taxes are the premium you pay to be covered. It’s actually better for an individual to take SSDI if they can’t work, because the program protects their future retirement income.

The combined protection of SSDI and TTW covers American workers at a vulnerable time. The income and other benefits it provides are a safety net when you can’t be sure how you’ll provide for your family. Ticket to Work completes the program by providing a path back to work when it’s medically advisable. The Ticket program has returned thousands of former workers to their livelihoods, or, with the help of ENs, found them a new career. You owe it to yourself and your family to be knowledgeable about protecting your paycheck with this federal insurance policy that you’ve paid into.

To learn more about income protection, visit RealityCheckup.info, which is part of a CDA consumer outreach program to help working adults understand the importance of having alternate sources of income for times when they cannot work due to illness, injury, or pregnancy.

How to “Enroll” in Social Security Disability Insurance

October 27, 2022
By Steve Perrigo Disability, Disability Insurance, Living with Disability, Rock Enroll, Social Security Disability Income, Uncategorized

By Steve Perrigo Editor’s Note: When most of us think about “open enrollment” for benefits through our employers, we rarely—if ever—think about benefits we passively pay into through our payroll FICA taxes, such as Social Security Disability Insurance. Steve Perrigo from CDA member company, .. more »

By Steve Perrigo

Editor’s Note: When most of us think about “open enrollment” for benefits through our employers, we rarely—if ever—think about benefits we passively pay into through our payroll FICA taxes, such as Social Security Disability Insurance. Steve Perrigo from CDA member company, Allsup, writes an easy-to-read post on this important benefit.

October is the kick-off for healthcare benefits enrollment for many U.S. workers. While you don’t technically “enroll” in Social Security Disability Insurance (SSDI), you participate in a process of becoming covered because of your work—specifically the earnings you receive year by year.

SSDI is an insurance policy that you pay into via your FICA taxes, and your benefit amount and insured status is based on all the years you worked. More than 159 million American workers have access to this federal disability insurance. The Social Security Administration (SSA) oversees SSDI, and they follow a stringent disability review process for applicants.

If you experience a life-changing disability—and have to stop working – you should apply. The income and benefits you receive (that you’ve paid for) can be vital for your financial future, whether you return to work or reach Social Security retirement age.

The agency looks at medical and work history to determine who qualifies for SSDI benefits. Generally, to qualify for SSDI, you must:

- - - - Be between 21 and full retirement age.
        
        Have worked at least five of the last 10 years and paid FICA taxes during that time.
        
        Be unable to work in any capacity because of a mental or physical impairment that’s expected to last at least 12 months or be terminal.
        
        Be under the care of a healthcare professional who can confirm severity of medical condition(s).

How Your Social Security Disability Benefits Are Calculated

The SSA determines your benefit amount based on your lifetime average earnings before you became unable to work. Your payment amount is calculated using your “covered earnings.” This refers to money you earned at jobs where you paid FICA taxes as an employee or being self-employed.

Your SSDI monthly benefit is based on your average covered earnings over a period of time, which is referred to as your average indexed monthly earnings (AIME). The SSA uses these amounts in a formula to determine your primary insurance amount (PIA). This is the basic amount used to establish your benefit.

The maximum benefit you can receive in 2022 is $3,345 per month, up from $3,148 in 2021–a 6 percent increase. The SSA offers benefits calculators you can use to obtain an estimate of your monthly benefits. This year, the average SSDI payment for an individual is $1,358 while the average monthly benefit for a recipient with a spouse and children is $2,383.

The Process To “Enroll” For SSDI: Quarters of Coverage

The Social Security Administration uses the term “quarters of coverage” to explain how you become enrolled in SSDI as a covered worker. In 2022, the amount of earnings required for a quarter of coverage (QC) is $1,510. The terms “quarter of coverage,” “Social Security credit,” and simply “credit” are all used interchangeably. A QC is the basic unit that determines whether you are insured under the Social Security program. It is not possible to earn more than four QCs in one year, no matter how much money you make.

Every year the amount of earnings necessary for credits increases slightly as average earnings levels go up. The credits you earned stay on your Social Security record, even if you change jobs or have no earnings for a while.

You need at least 10 years of work (or 40 QCs) to qualify for Social Security disability benefits. The SSA bases the amount of your benefit on your highest 35 years of earnings.

How To Claim SSDI

To receive Social Security Disability Insurance benefits, you must apply to the SSA. The initial application and the detailed information you provide are critical to getting benefits without an appeal. You can complete the application on your own, or have a disability representative assist with the complexities of proving your claim.

The SSA reviews applications to determine whether you qualify for monthly Social Security benefit payments. This sounds simple, but you must have medical evidence and documentation to prove you meet the legal definition of disabled, and carefully complete the forms because it’s possible to make simple mistakes that could lead to a denial.

As American workers search for answers to keep themselves and their families protected in uncertain times, it’s important to recognize SSDI for the increasingly valuable income and security it offers. It’s a significant protection available to millions of employees who simply have been unaware that they’re already enrolled.

Social Security Disability Benefits Include Protections for Returning to Work

October 6, 2022
By Steve Perrigo Disability, Disability Insurance, Inclusion Ignites Ideas, Social Security Disability Income, SSDI, Uncategorized

By Steve Perrigo Editor’s Note: When you’re approved for Social Security Disability Income benefits by the Social Security Administration, you receive monthly financial payments (upon approval) and Medicare (after 24 months). A secondary benefit of SSDI is the ability to participate in the Ticket to .. more »

By Steve Perrigo

Editor’s Note: When you’re approved for Social Security Disability Income benefits by the Social Security Administration, you receive monthly financial payments (upon approval) and Medicare (after 24 months). A secondary benefit of SSDI is the ability to participate in the Ticket to Work program that allows beneficiaries of SSDI to return to work while protecting their SSDI and Medicare benefits.

In this post-COVID era, many Americans are well aware they could be the casualty of a life-threatening illness, injury or disability that could remove them from the workforce. As a result, American workers are becoming familiar with protections inherent to their work that can help them sustain themselves and their families.

Benefit For Workers: Ticket To Work Program

All individuals currently receiving SSDI benefits are eligible for and encouraged to use the Ticket to Work program. This is a free and voluntary program that provides individuals with disabilities with a range of services provided by Employment Networks (EN). Case managers at ENs assist individuals in the process of preparing to return to work. Services can include interview preparation, résumé writing, and encouragement in overcoming the barriers to finding employment once they are ready.

Bypassing Valuable Benefits: SSDI And Ticket To Work

While more than 156 million Americans are insured for this benefit, the SSDI program is frequently overlooked for its incredible value. This is true especially among individuals who’ve had a solid working career and want to return to their profession or field after a medical issue. “Many of our clients have significant work experience and have gotten sidelined by a medical issue,” said LeighAnn Jarry, Assistant Vice President of Allsup Employment Services. “Now they’ve recovered enough and are ready to get back into the workforce.”

A medical condition and its work-disrupting effects are not necessarily permanent. For instance, a number of individuals who experience a stroke – depending on the severity – eventually recover. They can stabilize through rehabilitation and return to work. This means workers with a health issue lasting 12 months (and longer) can receive important monthly income and then support with their return to work when they reach medical stability. That’s the core mission of the SSA’s Ticket to Work program.

The little-known TTW program helps those with disabilities get back to work while protecting their benefits and offering other significant incentives. It was signed into law by President Clinton as “The Ticket to Work and Work Incentives Improvement Act of 1999” with the mission of increasing the options for individuals with disabilities who wanted to return to work.

Benefits Of The Ticket To Work Program

1. 1. 1. 1. It costs you nothing. The SSA oversees the Ticket to Work program. It pays the fees for services you access in order to get back in the workforce.
        
        Earn more. You can make as much money as you want, in your first full year of work and keep your SSDI benefits.
        
        Avoid risk. If you stop working, your SSDI benefits will start again. There’s no need to repeat the application and appeals process.
        
        Keep your Medicare coverage. When you go back to work, you can keep Medicare coverage for 93 months once you complete your trial work period.
        
        No more CDRs. Going back to work with the help of a Social Security Administration-authorized EN means that the SSA will suspend all Continuing Disability Reviews while you are making timely progress toward the goals in the TTW program.

Many people have underestimated the value of SSDI benefits and may be unaware of TTW and its significant return-to-work protections. Learning about these little-known programs can be part of the due diligence of knowing how to provide for yourself and your family when the unexpected strikes.

Disability insurance

Disability insurance

Author: Steve Perrigo

Past Articles