How To Earn Extra Income and Keep Your Social Security Benefits (2024)

Program Goals and Objectives
Disability benefits are designed to provide a basic income as a preventative measure for escaping abject poverty when a person becomes severely injured, psychologically impaired, or ill due to a serious medical condition. But, it is deficient in providing recipients with a lifestyle of independence and self-sufficiency.

The goals of the Ticket-to-Work program are to:

  • Offer beneficiaries with disabilities the choice and support to enter or re-enter the job market or maintain employment.
  • Increase the financial independence and self-sufficiency of persons with disabilities.

The objectives of Ticket-to-Work and PASS are to help disabled individuals find employment that reduces or eliminates SSI or SSDI benefits.

Ticket-to-Work
The Ticket-to-Work program does not require a special application process. Disabled beneficiaries who receive cash benefits from Social Security are entitled to participate in the program and may enroll with an approved service provider of their choice.

Beneficiaries may enroll with an Employment Network (EN) or State Vocational Rehabilitation (VR) agency. The EN or State VR will coordinate and provide appropriate services to help the beneficiary find or maintain employment.

Free job support services include:

  • Job training
  • Career counseling
  • Vocational rehabilitation
  • Benefits counseling
  • Job placement
  • Ongoing support services necessary to achieve employment goals

Ongoing support services also involves the initiative to remove barriers from achieving work goals. This can include purchasing clothing, equipment, or a vehicle when necessary for employment; or, making repairs to an existing vehicle, help with driver license restoration and purchasing car insurance.

Please inquire with your chosen service provider for details on criteria and eligibility requirements for these services.

Social Security will not send a paper ticket in the mail. Recipients of Social Security Disability Insurance (SSDI) or Social Supplemental Income (SSI) benefits, age 18 to 64, are eligible to participate. Eligibility is verified through service providers and you can verify your eligibility status by calling the Ticket-to-Work Helpline.
Ticket-to-Work Helpline:
PH: (866) 968-7842
TTY: (866) 833-2967

How to Apply for Ticket-to-Work

  • Call the Ticket-to-Work Helpline to verify eligibility for the program
  • Customer service representatives will answer questions or concerns you have
  • Request a list of service providers or use the Find Help Tool for a customized list of providers based on your specific needs or by area (zip code).
  • Use the Assigning Your Ticket Worksheet to choose an EN.

The worksheet will provide a list of questions you may want to ask and a space to write your answers which may help with the decision to assign your ticket.
Beneficiaries may choose between an Employment Network (EN) or State Vocational Rehabilitation (VR) agency for ticket assignment based on your needs and the services provided.

Beneficiaries may also receive services from a State Vocational Rehabilitation (VR) agency and then receive ongoing services from an Employment Network (EN).

Work Incentives
Work Incentives not only encourage beneficiaries to reduce or eliminate their reliance on social security it also helps in transitioning from benefit rolls to the workforce.

  • Go to work without immediately losing cash benefits.
  • Return to benefits if you have to stop working.
  • Continue to receive healthcare benefits.
  • Be protected from receiving a medical Continuing Disability Review (CDR) while using the ticket and making the expected progress with work or educational goals.

Beneficiaries who opt to participate in the Ticket-to-Work program are afforded the opportunity to safely explore work options and find the job that is right for them without immediately losing their benefits.

If employment earnings surpass allowable benefit amounts, your disability case will remain open up to one (1) year should your disability impair your ability to continue to work and there is a need to return or restore social security benefits.

You do not need to reapply or start a disability case over from the beginning.Social Security will not terminate your case for up to one (1) year after the start of employment. Cases where employment earnings exceed benefit amounts are held open in a "non-pay" status in case the beneficiary cannot sustain employment due to their health. After the one (1) year non-pay status period, beneficiaries must reapply.

Work Incentives are designed to meet individual needs and circ*mstances. For a complete guide to Social Security Work Incentives consult the SSA Red Book.

Beneficiaries can use a combination of Work Incentives to maximize their income until they can secure stable employment and adequate income to support themselves.

Examples of Work Incentives:

  • Trial Work Period (TWP)
    • SSDI recipients only
    • Allows beneficiaries to test their ability to work for a minimum of nine (9) months.
    • The beneficiary retains full SSDI benefits despite the amount of earnings as long as work activity is reported.
  • Expedited Reinstatement (EXR)
    • SSDI and SSI recipients
    • If benefits were stopped due to the new earnings level from employment, and you need to return to benefits because of a medical condition – benefits will be reinstated per your request without having to complete a new application.
    • Six months of temporary benefits are allowed while Social Security reviews the request to reinstate benefits.
  • Protection from Medical Continuing Disability Reviews (CDR)
    • SSDI and SSI recipients
    • If a Ticket is assigned to an approved service provider prior to the receipt of notice for a medical Continuing Disability Review (CDR), the beneficiary is exempt from the CDR while participating in the Ticket-to-Work program and making progress within Social Security’s timeframes.

These are a few examples of work incentives for recipients of Social Security disability benefits and the program is even more generous for those who are blind.

Click the link for more information on Work Incentives for Blind People:

Beneficiaries may register for a Work Incentive Seminar Event (WISE), a monthly online webinar provided by the Social Security Administration (SSA). The WISE webinar helps SSDI and SSI beneficiaries learn more about Ticket-to-Work and Work Incentives.
WISE Webinar Registration:
PH: (866) 968-7842
TTY: (866) 833-2967

Use the link to register online for a webinar: https://choosework.ssa.gov/webinar/

Continuing Disability Reviews (CDRs)
Social Security recipients are periodically subject to Continuing Disability Reviews (CDRs) every three (3), five (5), or seven (7) years to determine if a recipient still meets SSA guidelines for disability. However, when a beneficiary chooses to participate in the Ticket-to-Work program they are protected from the medical Continuing Disability Review (CDR).

The income and asset test will be an ongoing process through wage reporting or the Work Disability Review (WDR) process. In either process, work earnings are monitored which will be incrementally deducted until cash benefits are zeroed out.

For more information about medical or work disability reviews, contact the Social Security Administration at: (800) 772-1213.

Beneficiaries should also be aware that when enrolled in the Ticket-to-Work program they are expected to take certain steps toward preparing for a job, finding work, or maintaining current employment within a specified time frame.

Time frames are determined by Social Security to maintain wages within a certain level and complete job training or educational program.

The steps taken to meet employment goals are outlined in the work plan developed between the beneficiary and chosen Employment Network (EN).

Employment Networks (EN) and State Vocational Rehabilitation (VR) Agencies
An Employment Network (EN) is a private organization or public agency (including a State VR agency) which entered into an agreement to provide employment services, vocational rehabilitation services, and other types of support to beneficiaries with disabilities under the Ticket-to-Work program.

Beneficiaries can contact any EN to see if the services and support offered are right for them. There are different types of service providers and each type of service provider provides different services. It is important to understand the services each provider offers before searching so you can select the best provider to suit your needs.

Types of Service Providers:

  • Employment Networks (EN)
  • Workforce Employment Networks
  • State Vocational Rehabilitation (VR) Agencies
  • Work Incentives Planning & Assistance (WIPA) Projects
  • Protection and Advocacy for Beneficiaries of Social Security (PABSS)

Types of Services:

  • Benefits/Work Incentives Counseling
  • Career Planning/Counseling
  • Job Search and Placement
  • Ongoing Employment Support
  • Training Programs
  • Special Programs for Veterans and Youth-in-Transition
  • Tuition Support for College Coursework
  • Rehabilitation Services
  • Legal Support and Advocacy
  • Assistance with Accommodations

State Vocational Rehabilitation (VR) Agencies assists individuals who desire to return to work or obtain new employment but require more significant services for work to be possible.

State VRs help beneficiaries get ready for work then refer them to an Employment Network (EN) to help them keep the job and make more money.

Likewise, beneficiaries receiving services from State VRs are assumed to be using a Ticket and, therefore, exempt from Continuing Disability Reviews (CDRs).

Work Plans
The beneficiary and EN must agree and develop a work plan that describes the beneficiary’s employment goal. The plan serves as a roadmap that helps the beneficiary understand their responsibilities and outlines the services and support the EN will provide to help the beneficiary reach their goal.

Use the Planning Your Employment Goals with the Ticket-to Work Program tool to help you define your employment goals and needs from the program.

The Your Path to Work tool helps you identify your phase in making the decision to return to work, look for a job, or maintain current employment.

Beneficiaries may talk to as many ENs as they wish before choosing to assign their Ticket. If a beneficiary assigns his or her Ticket to an EN and later has a change of mind about working with that EN, the beneficiary can un-assign the ticket and take it to another EN.

Wage Reporting
Beneficiaries who participate in the Ticket-to-Work program are required to report earned income monthly once new employment has begun. Social Security allows no more than six (6) days after the end of each month for wage reporting. Recipients may submit pay stubs by certified mail or in-person at a local Social Security office.

Wages may also be reported by a representative payee, spouse, parent, or sponsor of the SSDI/SSI recipient via telephone, mobile app, or the mySocialSecurity website.
PH: (800) 772-1213
TTY: (800) 325-0778

Use the Social Security Office Locator tool to find an office near you:

Use the Income Reporting Chart for Social Security Benefits on wage reporting requirements.

A link is provided below for more information on wage reporting.

How to Calculate Benefit Deductions
Beneficiaries who decide to participate in the Ticket-to-Work program will either reduce or eliminate their reliance on disability benefits.

While the first $85 of earnings are not counted, beneficiaries whose income rises above benefit levels will "zero out" their disability payment and lose eligibility for Medicaid health insurance.

The formula to estimate your deductions where N = net earnings and D = deductions is:

That is, the first $85 of earnings are deducted from the Net Income (N). The balance of the Net Income (N) is then divided by 2 and the balance or difference becomes the Deducted Amount (D) from the Social Security payment.

Example of a Benefit Deduction:

  • Net Income (after taxes) = $1000
  • $85 is not counted so the balance of the Net Income = $915
  • $915 is divided by 2 = $457.50
  • $457.50 is deducted from the Social Security payment

Beneficiaries are required to report earnings after the first thirty (30) days of employment. Benefits are affected after the second thirty (30) days.

Example of Wage Reporting:

  • Begins work on April 1st
  • Income is reported between May 1st and May 6th
  • Social Security benefits are reduced or eliminated on June 1st

That means, the beneficiary can retain their Social Security payments for the first sixty (60) days of employment without penalty as long as the income is reported.

Again, if earnings exceed benefit amounts and the Social Security payment is "zeroed out" the case remains open for one (1) year in a "non-pay status."

Plan to Achieve Self-Support (PASS)
PASS is yet another provision to help disabled persons who receive or qualify for Supplemental Security Income (SSI) benefits return to work.

PASS allows disabled individuals set aside monies or assets that would otherwise be counted as income toward benefit amounts to pay for items or services needed to achieve a work goal.

A PASS can include supplies to:

  • start a business
  • attend school
  • equipment and tools
  • transportation
  • uniforms
  • other items or services

PASS can help the participant save money to pay these costs, make purchases, installment payments, or downpayments on a vehicle, computer, or wheelchair to achieve a work goal.

Beneficiaries interested in participating with the PASS program can contact an Employment Network, State Vocational Rehabilitation (VR) agency, or local Social Security office to apply.

Applicants must complete theSSA-545-BKform to participate.

Beneficiaries with a work goal of self-employment must also submit a business plan.

PASS is also an option for claimants who otherwise medically qualify for SSI but whose income and assets exceed the maximum limitations ($2,000 for individuals, $3,000 for couples). This program will help those applicants financially qualify for SSI by setting-aside monies and property to reduce those assets.

A link is provided below for more information.

Was this post helpful? Leave a comment and please share with your followers. If you’re in need of case management services or need additional assistance complete the confidentialContact Form. Also, consider donating to continue this important work and expand our reach to the broader community.
Contact Us:
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Related Posts:
Disability Resources
http://www.canmichigan.com/disability-resources-michigan.html
State Disability Assistance (SDA) Program Structure, Benefits, and Eligibility
http://www.canmichigan.com/blog/michigan-state-disability-assistance-sda-program-structure-benefits-and-eligibility
Case Management Services
http://www.canmichigan.com/case-management-services.html

Links:
Social Security Ticket to Work Overview
https://www.ssa.gov/work/overview.html
Find A Ticket-to-Work Service Provider
https://choosework.ssa.gov/findhelp/
Finding an Employment Network (EN) and Assigning Your Ticket Worksheet
https://choosework.ssa.gov/library/finding-EN-assigning-your-ticket-worksheet
Protection from Medical Continuing Disability Reviews (Social Security Administration)
https://www.ssa.gov/disabilityresearch/wi/cdrprotection.htm
Social Security Administration Work Site
https://www.ssa.gov/work/
Comprehensive Guide to Service Providers and Services
https://choosework.ssa.gov/about/meet-your-employment-team/index.html
Social Security Red Book
https://www.ssa.gov/redbook/
How to Report Wages
https://choosework.ssa.gov/about/wage-reporting/index.html
PASS – Social Security Overview
https://www.ssa.gov/disabilityresearch/wi/pass.htm
Guide to Plans for Achieving Self-Support
https://www.ssa.gov/pubs/EN-05-11017.pdf
Spotlight on Plan to Achieve Self-Support – 2018 Edition
https://www.ssa.gov/ssi/spotlights/spot-plans-self-support.htm
The Fully Accessible Guide To Starting A Business With A Disability
www.creditcards.com/credit-card-news/accessible-guide-for-disabled-entrepreneurs.php

Michigan Rehabilitation Services (MRS)
PH: (800)605-6722
TTY: 7-1-1
Ticket-to-Work (MDHHS)
www.michigan.gov/mdhhs/0,5885,7-339-73971_25392_40237_42063---,00.html

SSA Timely Progress Guideline (MRS Ticket-to-Work Program)
www.michigan.gov/documents/mdhhs/78b6epub-343_--_MRS_and_Ticket_to_Work_Program_--_2015_509997_7.pdf

How To Earn Extra Income and Keep Your Social Security Benefits (2024)

FAQs

How much additional income can I earn while on Social Security? ›

Starting with the month you reach full retirement age, there is no limit on how much you can earn and still receive your benefits.

What is the Social Security bonus trick? ›

Social Security doesn't randomly award money to people. And there's no way to legally trick Social Security into giving you more money. Instead, Social Security benefits are paid out according to a specific formula used by the Social Security Administration, which is based on your lifetime earnings.

How can I make extra money on Social Security? ›

Additional work will increase your retirement benefits. Each year you work will replace a zero or low earnings year in your Social Security benefit calculation, which could help to increase your benefit amount. Social Security bases your retirement benefits on your lifetime earnings.

What is the $16728 Social Security bonus? ›

July 2024 Gas Stimulus Payment Arriving

Although there's no direct “bonus,” strategies exist to maximize your benefits. The Social Security Administration (SSA) calculates benefits based on lifetime earnings. Delaying benefits until age 70 can significantly increase your annual benefits, potentially up to $16,728.

What happens if I make too much money while collecting Social Security? ›

You can get Social Security retirement benefits and work at the same time. However, if you are younger than full retirement age and make more than the yearly earnings limit, we will reduce your benefits. Starting with the month you reach full retirement age, we will not reduce your benefits no matter how much you earn.

At what age is Social Security no longer taxed? ›

This meant that as benefits rose, more recipients crossed over the thresholds. Now 56 percent of beneficiaries pay income tax on a portion of their benefits, sometimes as much as 85% if their total income exceeds upper thresholds. There is no age at which you will no longer be taxed on Social Security payments.

Who qualifies for an extra $144 added to their Social Security? ›

To qualify for a Medicare giveback benefit, you must be enrolled in Medicare Part A and B. You must be responsible for paying the Part B Premiums; you should not rely on state government or other local assistance for your Part B premiums.

What is the Social Security bonus most retirees overlook? ›

The $22,924 Social Security bonus most retirees completely overlook.

What is the Social Security 5 year rule? ›

• If you become disabled before your full retirement age, you might qualify for Social Security disability benefits. You must have worked and paid Social Security taxes in five of the last 10 years.

How can I double my Social Security benefits? ›

Strategies to Boost Your Benefits
  1. Work for 35 years.
  2. Wait until at least full retirement age to start collecting.
  3. Collect spousal benefits.
  4. Receive dependent benefits.
  5. Keep track of your earnings.
  6. Watch out for tax-bracket creep if you're still working.
  7. Apply for survivor benefits.
  8. Check Social Security statement for mistakes.

Will my Social Security benefits increase if I make more money? ›

Yes. Each year we review the records for all Social Security beneficiaries who work. If your latest year of earnings turns out to be 1 of your highest years, we refigure your benefit and pay you any increase due. This is an automatic process, and benefits are paid in December of the following year.

How can I get more money added to my Social Security check? ›

Some ways to increase your Social Security payments include:
  1. Work at least 35 years.
  2. Earn more if possible.
  3. Work until full retirement age.
  4. Delay claiming until age 70.
  5. Claim spousal payments.
  6. Include family.
  7. Know retirement earning limits.
  8. Minimize Social Security taxes.

What is the secret of the Social Security loophole? ›

Every year you delay, your monthly retirement benefit increases (until age 70). One Social Security loophole allowed married individuals to begin receiving a spousal benefit at full retirement age, while letting their own retirement benefit grow. This was done by filing what is called a restricted application.

What extra benefits can I get from Social Security? ›

If you get SSI, you can usually get federal benefits like the Supplemental Nutrition Assistance Program (SNAP) and state benefits like Medicaid. SNAP helps pay for food, and Medicaid helps pay doctor and hospital bills.

At what age can you earn unlimited income on Social Security? ›

You can earn any amount and not be affected by the Social Security earnings test once you reach full retirement age, or FRA. That's 66 and 6 months if you were born in 1957, 66 and 8 months for people born in 1958, and gradually increasing to 67 for people born in 1960 and later.

How much can you make on Social Security at 62 and still work? ›

Starting in the month you hit your full retirement age, there is no longer an earnings limit. Your benefits will no longer be reduced regardless of how much income you have.

What is maximum you can earn while collecting Social Security before paying taxes? ›

Delay claiming your Social Security benefits

As long as you draw a salary, $1 in benefits will be deducted for every $2 you earn above the annual limit—which is $22,320 for 2024—until the year you reach full retirement age, when the reduction falls to $1 for every $3 above the higher limit of $59,520.

What is the combined income limit for Social Security? ›

You must pay taxes on up to 85% of your Social Security benefits if you file a: Federal tax return as an “individual” and your “combined income” exceeds $25,000. Joint return, and you and your spouse have “combined income” of more than $32,000.

How much money can you make without it affecting your SSI? ›

SSI is generally for individuals who don't earn more than $1,971 from work each month. The income limit increases for couples and when parents apply for children. We also look at other sources of income besides your job, like disability benefits, unemployment, and pensions.

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