If you’re receiving SSI or SSDI benefits, but you are still able to preform some type of work, you may be wondering, “How much can you earn while on Social Security Disability?” The amount you can earn while receiving Social Security Disability benefits depends on various factors that are unique to your situation. Some of these include: your specific disabling condition, whether you’re receiving SSI or SSDI, and whether you are in the work trial program period or the extended period of eligibility.
If your earned income exceeds the Substantial Gainful Activity limits while you’re on SSDI, or the income limits for SSI, you stand to lose your benefits from the Social Security Administration (SSA).
Income limits for Social Security Disability programs typically change every year. The experienced Social Security Disability lawyers at Ankin Law in Chicago can evaluate your situation to determine the limits that apply to you for the current year.
What Are Substantial Gainful Activity (SGA) Limits for SSDI?
Substantial Gainful Activity (SGA) limits for Social Security Disability Insurance (SSDI) are income thresholds used by the Social Security Administration to determine whether an individual is eligible to receive disability benefits based on their ability to work. The limit for most people with physical or mental disabilities is different from the limit imposed on people who are blind.
How Much Can You Make While Receiving Social Security Disability Insurance Benefits?
Since SSDI is not a needs-based program, the SSA does not set limits on the amount of money you have or the value of your assets. However, the amount of income you can earn while on SSDI is limited. This is because if you can work and earn enough of a monthly income to provide for your basic needs, you are not considered to have a qualifying disability according to the SSA.
For 2025, the earned income limits for SSDI recipients are:
- Non-blind recipients: $1,620
- Blind SSDI recipients: $2,700
These amounts represent gross monthly income, meaning earnings before taxes or other deductions are applied. Earning more than allowed will result in your SSDI benefits getting reduced or eliminated entirely. However, if you earn the income while in your Trial Work Period (TWP), you can earn any amount of income for up to nine months within a 60-month rolling period. In 2025, your earned income only counts towards your TWP if you earn more than $1,160 in a month.
What Happens If You Exceed the TWP Income Limit?
Exceeding your Trial Work Period (TWP) income limit can impact your Social Security Disability Insurance benefits, but not immediately. The TWP is designed to encourage SSDI recipients to test their ability to return to work without losing benefits. Here’s how it works:
Earnings During TWP: During the Trial Work Period, you can earn more than the Substantial Gainful Activity limit without losing your benefits. However, in 2025, any month you earn over $1,160 will count as a TWP month.
After the TWP Ends: Once the TWP is completed, you enter the Extended Period of Eligibility (EPE). During the first 36 months of the EPE, you can still receive SSDI benefits for any month your earnings fall below the SGA limit ($1,620 for non-blind recipients and $2,700 for blind recipients in 2025).
Exceeding SGA After EPE: If your earnings consistently exceed the SGA limit after your EPE ends, your SSDI benefits will likely be terminated.
If you exceed the earned income limits and your benefits are terminated, but you later stop working or your earnings drop, you may be eligible for expedited reinstatement of benefits without reapplying, provided you meet the SSA’s requirements.
What Are SSI Income Limits for 2025?
Supplemental Security Income (SSI) is a need-based disability program with strict income and resource limits. The amount of income you can have while still receiving SSI benefits depends on your state and specific financial circumstances. The maximum amount you can make and still receive Federal Supplemental Security Income is:
- Individual: $967
- Eligible Couple: $1,450
- Essential Person: $484
This income limit typically increases annually in accordance with the Cost-of-Living Adjustment (COLA) that applies to SSA benefits. Generally, the first $20 of unearned income and the first $65 of earned income are excluded from calculations. After these exclusions, the SSA reduces your SSI benefits by $1 for every $2 you earn.
Illinois supplements Federal SSI benefits. Although your earnings don’t directly determine the state supplement you are entitled to receive, any income that affects your federal SSI amount will indirectly impact whether or how much you receive from Illinois.
Can You Work Full-Time While On Disability?
Working full-time while receiving Social Security Disability Insurance benefits or Supplemental Security Income is possible as long you aren’t paid more for your work than is allowed by the SSA. The number of hours you work is not directly restricted when you are a disability recipient. Instead, your eligibility for benefits depends on your earnings.
However, your work hours can indirectly impact how the Social Security Administration evaluates your ability to work. Working full-time hours might signal to the SSA that you are no longer “disabled” as defined by their standards, even if your income is under the SGA threshold.
What You Need to Know About Unearned Income on SSDI
Unearned income does not count toward SSDI income limits when determining your eligibility for benefits. SSDI focuses on your earned income only when applying the Substantial Gainful Activity (SGA) threshold. Earned income includes wages or self-employment earnings from work you perform.
Examples of Unearned Income:
- Interest or dividends from investments
- Pensions or retirement benefits
- Gifts or inheritances
- Workers’ compensation
- Unemployment benefits
How Unearned Income Impacts SSDI
Unearned income does not affect your SSDI benefits directly because SSDI is not a needs-based program. Instead, SSDI eligibility is based on whether you can earn income through substantial work activity.
Exceptions: When Unearned Income May Affect Your SSDI Benefits
While unearned income does not count toward SGA, certain forms of unearned income, like workers’ compensation or public disability benefits, may result in an offset to your SSDI benefits. Your monthly SSDI payment could be reduced, depending on the total amount of additional benefits you receive.
How Does COLA Affect My Disability Benefits?
The Cost-of-Living Adjustment ensures that SSDI and SSI benefits keep pace with inflation. Each year, the Social Security Administration calculates the COLA based on the Consumer Price Index for Urban Wage Earners and Clerical Workers (CPI-W). It affects your benefits in the following ways:
Increased Monthly Benefit Amounts
COLA increases apply directly to your monthly SSDI or SSI payments. For instance, if the COLA adjustment is 3%, your monthly benefit will increase by that percentage. The latest increase was 2.5%, and it becomes effective January 2025. SSI recipients may also see adjustments to the federal benefit rate (FBR), which serves as the baseline for calculating their monthly payments.
Higher Income Limits
For SSDI, COLA adjustments often raise the Substantial Gainful Activity limit and the Trial Work Period threshold, allowing you to earn more without risking your benefits. For SSI, the earned and unearned income limits may increase, affecting how much you can earn before your benefits are reduced.
Adjusted State Supplements
Since Illinois supplements Federal SSI benefits, a higher federal benefit due to COLA may indirectly affect the amount of your state supplement, because these payments often depend on your federal benefit level.
The COLA adjustment ensures that your purchasing power isn’t diminished by rising living costs, helping you maintain financial stability. The SSA announces the COLA percentage each fall, and increases take effect in January of the following year.
Tips for Managing Your Income While on Disability
Managing your earned income while on SSDI is important, but guidelines are not as strict as they are for people who receive Supplemental Security Income. For SSI recipients, managing earned and unearned income is crucial since the program is based on financial need. To maximize your SSI benefits:
- Take advantage of income exclusions, such as the first $20 of unearned income and $65 of earned income.
- Track your earnings closely to avoid unexpected reductions in benefits.
- Be aware that receiving financial gifts or other income sources may affect your SSI eligibility.
How a Disability Lawyer Can Help
Navigating the complexities of Social Security Disability programs can be challenging, especially when it comes to balancing work and benefits. An experienced disability lawyer can provide personalized advice on your eligibility for work incentive programs like the TWP, how to ensure you don’t inadvertently exceed income thresholds, and how to handle appeals if your benefits are reduced or terminated due to your earnings.
Whether you’re testing your ability to return to work or managing part-time or full-time employment while on Social Security Disability, Ankin Law can guide you through the process. Contact us today for a consultation to protect your benefits while exploring new opportunities.