Social
Security Act of 1935, Title II, as amended; Public Laws 96-265;
97-123, and 97-35. 42 U.S.C. 401; 42 U.S.C. 402; 42 U.S.C. 416;
42 U.S.C. 420-425.
To
replace part of the earnings lost because of a physical or mental
impairment, or a combination of impairments, severe enough to prevent
a person from working.
TYPES
OF ASSISTANCE:
Direct Payments for Specified Use. Place Cursor Here for Definition
Direct Payments with Unrestricted Use. Place Cursor Here for Definition
USES
AND USE RESTRICTIONS:
Monthly
cash benefits are paid to entitled disabled persons and to entitled
auxiliary beneficiaries throughout the period of disability generally
after a 5-month waiting period. Costs of vocational rehabilitation
also are paid for certain beneficiaries. There are no restrictions
on the use of benefits received by beneficiaries, although the right
to future benefits is not transferable or assignable. In general,
State agencies make initial disability determinations for the Federal
Government. The Federal Government gives the States funds, in advance
or by way of reimbursement, for necessary costs in making disability
determinations under 20 CFR 404 Subparts P and Q. Necessary costs
are direct as well as indirect costs as defined in 41 CFR 1-15,
subpart 1-15.7 of the Federal Procurement Regulations System for
costs incurred before April 1, 1984; and 48 CFR 31, Subpart 31.6
of the Federal Acquisition Regulations System and Federal Management
Circular A-74-4, as amended, or superseded for costs incurred after
March 31, 1984.
ELIGIBILITY
REQUIREMENTS:
Applicant
Eligibility: A disabled worker is entitled to
Social Security disability benefits if he or she has worked for
a sufficient period of time under Social Security to be insured,
has not attained "full-benefit retirement age" (65 years old in
2001), has filed an application, and is under a disability as defined
in the Social Security law. The insured status requirements depend
upon the age of the applicant and the date he or she became disabled.
Coverage credits under the social security systems of certain foreign
countries with which the U.S. has reciprocal agreements may be taken
into account to meet the requirements. Certain family members of
disabled workers are also entitled to benefits: (1) Unmarried children
under age 18, or under age 19 for full-time students in elementary
or secondary school; (2) unmarried adult offspring at any age if
continuously disabled since before age 22; (3) wife or husband at
any age if child in his or her care is receiving benefits on worker's
Social Security record and is under age 16 or disabled; (4) spouse
age 62 or over; and (5) divorced wives or husbands age 62 or over
who were married to the worker for at least 10 years. (Benefits
are also payable to auxiliaries, including certain disabled widow(er)s,
disabled surviving divorced spouses, children under age 19 who are
full-time students in an elementary or secondary school, and disabled
children of the worker, after the worker dies. See 96.004 "Social
Security-Survivors' Insurance.) For workers who are first entitled
after 1985 for both (a) a pension based on non-covered employment;
and (b) Social Security disability (or retirement) benefits, a less
generous benefit formula applies. In addition, Social Security disability
benefits are reduced (offset) by the amount that the sum of all
disability benefits payable under Social Security and certain Federal,
State, or local public disability and workers' compensation laws
or plans exceeds the higher of 80 percent of the worker's average
current earnings or the total Social Security benefit that would
otherwise be payable on the disabled worker's record. The Social
Security benefit for a spouse of a disabled worker is subject to
a pension offset if the spouse receives a governmental pension based
on his or her own work in non-covered employment. However, the offset
does not apply if: (i) the person received or became eligible to
receive the pension before December 1, 1982, and can meet requirements
for Social Security auxiliaries' benefit as they existed in January
1977; or (ii) if the person received, or was eligible to receive,
the pension before July 1, 1983, and the person was dependent on
his or her spouse for at least one-half support at the time the
spouse died, became disabled or became entitled to Social Security
benefits. The amount of the public pension used for purposes of
the offset against Social Security spouse's benefits is equal to
two-thirds of the public pension. The Social Security benefit for
the spouse of a disabled worker is also offset dollar for dollar
by the amount of any Social Security benefit the spouse receives
based on his or her own work. All benefits to spouses and children
of disabled workers are subject to an earnings test unless those
beneficiaries are full-benefit retirement age or older. Beginning
with the year 2000, the retirement earnings test was eliminated
beginning with the month in which the beneficiary reaches full-benefit
retirement age (FRA). A person at and above FRA will not have Social
Security benefits reduced because of earnings. In the calendar year
in which a beneficiary reaches FRA, benefits are reduced $1 for
every $3 of earnings above the limit allowed by law, $30,000 in
2002, but this reduction is applied only to months prior to attainment
of FRA. For years before the year the beneficiary attains FRA, the
reduction in benefits is $1 for every $2 of earnings over the annual
exempt amount, $11,280 in 2002. Further, no benefit can be paid
to an alien in the United States unless he or she is lawfully present
in the United States.
Beneficiary
Eligibility: Qualified disabled workers under
age 65. Under the definition of disability in the Social Security
Law, disability benefits are provided to a person who is unable
to engage in any substantial gainful activity by reason of a medically
determinable physical or mental impairment that has lasted or
is expected to last at least 12 months, or to result in death.
Disabled widow(er)s' benefits are covered under survivors insurance.
Felony-related impairments and confinement-related impairments
cannot be considered in determining whether an individual is under
a disability if the individual has been convicted of a felony
which was committed after October 19, 1980. Effective for claims
finally adjudicated on March 29, 1996, (or for claims approved
before then, with benefits payable beginning January 1, 1997)
eligibility can no longer be based on drug addiction or alcoholism.
Credentials/Documentation:
Proof of disability and possibly proof of age. If applying for
benefits for family members, additional proofs of age, relationship
to disabled worker, or full-time school attendance may be required.
Pre-application
Coordination: None. This program is excluded
from coverage under E.O. 12372.
Application
Procedure: Telephone or visit the local Social
Security Office.
Award
Procedure: After review of the application
is completed, the applicant (or representative payee) will be
notified by mail.
Deadlines:
An individual should apply for disability benefits when he or
she believes the entitlement requirements may be met. Retroactivity
of benefit payments is limited to 1 year before filing.
Range
of Approval/Disapproval Time: Not applicable.
Appeals:
Telephone or visit any Social Security Office. The appeal process
ranges from a reconsideration through hearings and appeals levels
to a review by the Federal courts.
Renewals:
Not applicable.
ASSISTANCE
CONSIDERATIONS:
Formula
and Matching Requirements: This program has
no statutory formula or matching requirements.
Length
and Time Phasing of Assistance: Not applicable.
POST
ASSISTANCE REQUIREMENTS:
Reports:
Any change in address or other requirement (such as improvement
of disabling condition or work activity) must be reported to the
local Social Security Office when it occurs.
Audits:
Persons are contacted periodically to see if they continue to
qualify for benefits.
Records:
Not applicable.
FINANCIAL
INFORMATION:
Account
Identification: 20-8007-0-7-651.
Obligations:
(Benefit Payments) These figures represent benefits actually paid,
or expected to be paid. FY 01 $58,159,000,000; FY 02 est $66,728,000,000;
and FY 03 est $69,285,000,000.
Range
and Average of Financial Assistance: Monthly
cash benefits for a worker disabled in 2002 range up to a maximum
of $1,964 based on the level of the worker's earnings and the
age at which a worker becomes disabled. The corresponding maximum
for such a worker with a family is $2,947.30. As of December 31,
2001, the average benefit paid to a disabled worker alone was
$801 and the average amount payable to a disabled worker with
eligible dependents was $1,360. This takes into account stipulations
set forth in Public Law 96-265 and Public Law 97- 35. Under Public
Law 97-123, the minimum amount is no longer applicable for workers
who either become disabled or first met the insured status requirements
after December 1981, and a lesser amount can be paid, depending
on the worker's average earnings.
In fiscal year 2001, an average of 6,725,000 disabled workers and
their dependents received monthly cash benefits. It is estimated
that for fiscal year 2002, an average of 7,009,000 disabled workers
and their dependents will receive monthly cash benefits. During
fiscal year 2003, the number receiving benefits is expected to increase
to 7,368,000.
REGULATIONS,
GUIDELINES, AND LITERATURE:
Code of Federal Regulations, Title 20, Parts 401, 402, 404, 422,
423, 429, 430, and 498. "Disability" and other publications are
available from any Social Security Office without charge. The Social
Security internet address is www.ssa.gov and it includes copies
of all disability-related laws, regulations, rulings, and free publications,
as well as other information about the disability insurance programs.
INFORMATION
CONTACTS:
Regional
or Local Office: Consult Appendix IV of the
Catalog.
Headquarters
Office: Office of Public Inquiries, Room 4100,
Annex, Social Security Administration, Baltimore, MD 21235. Telephone:
(410) 965-2736. Use the same number for FTS.
