If you’re applying for Social Security Disability Insurance (SSDI) or Supplemental Security Income (SSI), you’ve likely come across the term “SGA”. What is SGA, and what does it actually mean? SGA stands for Substantial Gainful Activity, and it plays a critical role in whether the Social Security Administration (SSA) considers you disabled and eligible for benefits.
Let’s break down what SGA is, why it matters, how the SSA calculates it, and what exceptions might apply.
SGA Definition: What Does Substantial Gainful Activity Mean?
Substantial Gainful Activity (SGA) refers to any work activity that involves significant physical or mental effort and that results in earnings above a certain dollar threshold. The Social Security Administration uses SGA as a way to determine whether your disability prevents you from working.
To be considered “disabled” under Social Security rules, you must be unable to engage in SGA due to a medically determinable physical or mental impairment that has lasted or is expected to last at least 12 months or result in death.
If you’re earning too much money from working, the SSA assumes you’re not disabled enough to qualify for benefits.
2025 SGA Income Limits
Every year, the SSA updates the dollar amount that defines SGA. As of 2025, the SGA limits are:
- $1,620 per month for non-blind individuals
- $2,700 per month for blind individuals
If your gross monthly income from work exceeds these limits, you will usually not be considered disabled under SSA rules—regardless of your condition.
Important: The SGA limit only applies to income from work. It does not include passive income like interest, investments, or gifts.
Why Does SGA Matter in a Disability Claim?
SGA is the first major filter in the disability determination process. If you are working and earning over the SGA threshold, your application will likely be denied before the SSA even considers your medical records.
Here’s how SGA fits into the five-step disability evaluation:
- Are you working and earning above SGA? If yes, you’re not disabled (according to SSA). If no, move to step 2.
- Is your condition severe?
- Does your condition meet or equal a listing?
- Can you do past work?
- Can you do other work?
If you’re earning more than the SGA limit, the SSA will stop right at Step 1. No further review.
How Is SGA Calculated?
SGA is based on gross monthly earnings from work. That means your total earnings before taxes or deductions—not your take-home pay.
However, there are a few wrinkles in how it’s calculated:
- Self-employment: The SSA uses different methods to assess SGA for self-employed individuals. They might look at your work activity, time spent, or net profit.
- Impairment-related work expenses (IRWEs): If you pay out-of-pocket for disability-related work expenses (like assistive equipment or transportation), the SSA may deduct those costs from your gross income to determine if you’re truly above the SGA threshold.
- Subsidies or sheltered work: If you receive special accommodations from your employer (such as extra help or fewer duties), the SSA may adjust your income downward to reflect your actual work value.
SGA and Trial Work Periods
If you’re already receiving SSDI benefits and want to try working again, the SSA offers a Trial Work Period (TWP). During this time, you can test your ability to work without immediately losing benefits.
In 2025, any month you earn over $1,160 (the TWP threshold) counts as one of your nine trial work months. Once the trial period ends, your benefits can continue unless your income exceeds the SGA limit.
For SSI recipients:
SGA works differently. The SSA uses a different formula to calculate how your income affects your benefit amount, but the concept of SGA still comes into play when determining initial eligibility.
Can You Work at All and Still Qualify?
Yes. You can work and still qualify for SSDI or SSI, as long as:
- Your income from work stays below the SGA limit, and
- Your job doesn’t show you’re capable of full-time, competitive employment
Some applicants take on part-time work, gig work, or supported employment while waiting for their claim to process. Just be cautious—earning even slightly over the SGA limit can result in a denial, no matter how serious your medical condition is.
How to Protect Your Disability Claim
Navigating SGA rules can be tricky. A few tips to keep in mind:
- Track your earnings carefully—especially gross income.
- Keep documentation of any accommodations, subsidies, or impairment-related expenses.
- Consult with a disability lawyer before working during your application or appeal. A knowledgeable attorney can help you structure your work activity to stay within SSA rules.
SGA Isn’t Just a Number—It’s a Gatekeeper
Understanding Substantial Gainful Activity is essential if you’re applying for Social Security disability benefits. It’s not just a financial threshold—it’s a gatekeeper that can determine whether your claim even gets reviewed.
Whether you’re working part-time or wondering if you should stop working before applying, your earnings must stay below the SGA limit for the SSA to consider your disability legitimate.
If you’re unsure where you stand, talk to a Social Security disability attorney who can help you evaluate your options and avoid costly missteps. The difference between $1,620 and $1,621 in monthly income could make or break your claim.
FAQs About SGA
Q: Can I apply for SSDI while working?
A: Yes, but only if your monthly gross earnings are below the SGA limit for the year.
Q: Is income from investments counted toward SGA?
A: No. SGA only includes earned income from work, not passive income sources.
Q: How often does the SSA update the SGA limit?
A: The SGA limit typically increases annually, based on inflation and national wage data.
Q: What happens if I exceed the SGA limit after being approved for SSDI?
A: If you’re past your Trial Work Period, exceeding SGA may cause your benefits to stop.
Want to learn more about SGA and how it can impact your disability claim? Call Ankin Law in Chicago for a free consultation. (872) 529-9377.
