Trial Work Period (TWP) in a Nutshell

The TWP allows you to test your ability to work for at least 9 months. During your TWP, you will receive full SSDI benefits regardless of how high your earnings might be, as long as you report your work activity and you have a disabling impairment.

Your TWP starts the first month you are entitled to SSDI benefits or the month you file for benefits, whichever is later. The TWP continues until you accumulate 9 months (not necessarily consecutive) in which you perform what we call “services” within a rolling 60-month period. We use this “services” rule only to count TWP months.

In 2011, we consider your work to be “services” for the TWP if your gross earnings are more than $720 a month, or if you work more than 80 hours in self-employment in a month.

When your TWP is complete, you may become eligible for other employment supports and we consider whether any of them apply to your situation.

Kjellan Loe
Rehab Services, Inc.


Any questions may be directed to: rsi5@srt.com

The Red Books Are Coming!!!

The electronic version of the 2011 Red Book is now available on the Social Security Administration website:

http://www.socialsecurity.gov/redbook/

The Red Book is a publication of the Social Security Administration that describes employment supports and work incentives for persons with disabilities under the Social Security Disability Insurance and Supplement Security Income programs.

Any questions may be directed to: rsi5@srt.com

How Earnings Affect Your SSI Payments

The amount of your SSI payments is based on how much other income you have. When your other income goes up, your SSI payments usually go down. So when you earn more than the SSI limit, your payments will stop for those months. But, your payments will automatically start again for any month your income drops to less than the SSI limits. Just tell Social Security if your earnings are reduced, or if you stop working.

If your only income besides SSI is the money you make from your job, then Social Security does not count the first $85 of your monthly earnings. Social Security deducts from your SSI payments 50 cents of every dollar you earn after the $85 deduction. (The $85 deduction is made up of a $20 per month general income exclusion, which is first applied to any unearned income, and a $65 per month earned income exclusion).

Example: You work and earn $1,000 in a month. You receive no other income besides your earnings and your SSI.

$1,000 - $85 = $915

$915 ÷ 2 = $457.50

Social Security would deduct $457.50 from the maximum SSI ­payment that you may receive as an individual, which is $674 in 2010. You would therefore receive an SSI payment of $216.50 for the relevant month.

By working, you would have gross income of $1,216.50 ($1,000 of gross earnings plus SSI of $216.50). If you do not work, you would just have an SSI payment of $674.

This information was taken from the SSA Publication, “Working While Disabled—How We Can Help.” The earnings rules are different for SSDI benefits.

NOTE: It is important to keep in mind that certain "Work Incentives" may be available to help lower one's countable earnings that are used for the above SSI calculation. This results in an increase cash payment to the beneficiary. To explore all available "Work Incentives" that may be available, please contact your area CWIC.

Any questions may be directed to: rsi5@srt.com

SSA - "Working While Disabled—How We Can Help"

The 2010 edition of the publication, “Working While Disabled—How We Can Help,” is now available on Social Security’s website.

See http://www.socialsecurity.gov/pubs/10095.html.

This publication provides an “at a glance” overview of work incentives and an easy-to-understand description of how earnings affect Social Security disability benefits and SSI payments.

Any questions may be directed to: rsi5@srt.com

Requesting an Impairment Related Work Expense (IRWE)

"What if, because of one's impairment, he/she needs to pay for certain items so they can work?"

In most cases, Social Security can deduct the out–of–pocket costs of these items, which we call impairment–related work expenses (IRWE), from the amount of earnings we use to figure your SSI benefit.

This means that we do not reduce your SSI benefit as much because we do not count all of your earnings.

Out–of–pocket expenses that may qualify as an IRWE may be items such as medicine, medical supplies, medical devices, service animals, and disposable items such as bandages and syringes...to name just a few.

Social Security may also be able to deduct your out–of–pocket expenses for medical services such as doctors visits and some attendant care services charged for preparing you for work, attending to you while you are at work, or getting you to and from work.

Social Security may also deduct certain out–of–pocket expenses for transportation and modifications to your home, car, or van to allow you to work.

The expense must not be reimbursed, and must be related to your disability(ies) and needed in order for you to work.

The next step is applying for the IRWE. When I do this, I use the form located below and attach a receipt for each claimed expense. Drop this off at SSA and you're done.

Once a recurring IRWE is approved by SSA, one needs only submit the receipt for that IRWE on a monthly basis - not the entire application.

I will cover exactly how an IRWE positively impacts both countable income for an individual very soon in a new blog post. Stay tuned.

IRWE Request Template

Publish at Scribd or explore others: Resumes & CVs irwe

Any questions may be directed to: rsi5@srt.com

WWD Income Level for 2009

Effective April 1, 2009, the income level for eligibility for Workers with Disabilities (WWD) coverage is $2,031 per month for one individual. This is an increase of $81 over the 2008 level of $1,950 per month. Source: IM #5062 to the Medicaid Program Policy Manual.

Income for WWD eligibility purposes is the net amount that remains after certain disregards and deductions are subtracted from gross income. For more detail, see the entry dated March 5, 2008, under the WWD topic of this blog

Any questions may be directed to: rsi5@srt.com

Ticket To Work Success Story

Great story on a person using work incentives to increase earnings.

Video

Any questions may be directed to: rsi5@srt.com

1619(b) Threshold for 2009

Section 1619(b) of the Social Security Act is one of the most powerful work incentives currently available for recipients of Supplemental Security Income (SSI). It provides continued Medicaid eligibility for a working individual whose earned income is too high to qualify for SSI cash payments, but not high enough to offset the loss of Medicaid.

The SSA uses the “threshold” concept to measure whether an individual has sufficient earnings to replace Medicaid. For calendar year 2008, the threshold is $37,917 for a resident of North Dakota who is eligible for SSI. This threshold is $38,040 for 2009.

Therefore, if the earned income of the SSI recipient is the reason that he/she no longer receives SSI payments but his/her earned income is under $37,917 in 2008 and $38,040 in 2009, he/she can still keep Medicaid coverage. This is the general rule. For more information, please contact your Community Work Incentives Coordinator.



Any questions may be directed to: rsi5@srt.com

Student Earned Income Exclusion (SEIE)

The Student Earned Income Exclusion (SEIE) is a work incentive that allows certain Supplemental Security Income (SSI) recipients to have a specified amount of their earnings excluded from their gross income when their SSI benefits are calculated. In many cases, the SEIE allows students to test their ability to work and earn income without experiencing any reduction in their SSI checks at all!

To qualify for the SEIE an SSI recipient must be:

• under the age of 22 years;
• regularly attending school, college, or training to prepare for a paying job; and
• working.

Maximum amounts for SEIE

In applying the SEIE for 2008, the Social Security Administration (SSA) excludes up to $1,550 per month of gross earned income in figuring the amount of the student’s SSI benefit for the particular month. The total amount of earned income excluded this calendar year may not exceed $6,240.

Work during vacation from school

The earnings that an individual receives from working during his/her vacation from school may be excluded up to the maximum provided under the SEIE if the individual tells SSA that he/she intends to again take classes regularly when school restarts or actually does resume attending classes regularly when school reopens.

Example

Jim is a student who becomes employed during summer vacation and earns $1,600 a month in June, July, and August of 2008. In September, he returns to school and continues working part time. He earns $800 a month in September through December 2008.

Using the SEIE, Jim can exclude $1,550 of his earnings in June, July, and August, and can exclude all of his $800 earnings in September. Through September, Jim will use up $5,450 of his $6,240 yearly limit. Excluding $790 from his October earnings will use up his yearly limit. However, even after deducting the monthly and yearly limits for SEIE, Jim still has available the other income exclusions, including the earned income exclusion of $65 per month and one-half of the remaining earned income. By applying SEIE and these other exclusions, Jim’s SSI checks were not reduced at all for the months June through October of 2008.


Any questions may be directed to: rsi5@srt.com

How About a PASS???

A Plan to Achieve Self-Support (PASS) is a work incentive which allows you, as a person with a disability, to set aside income and/or resources for a specified period of time in order to pay for items or services you need to achieve a work goal. With a PASS approved by the Social Security Administration (SSA), you may use the income and/or resources set aside to pay for education, support services, job-related items, equipment needed to start a business, or just about anything else needed to achieve a vocational goal.

When the income or resource is set aside for use in a PASS, it is not counted for the purpose of determining financial eligibility for, or the amount of, an SSI payment to you. A PASS is self-financed, and you therefore use your own money to pursue the plan. The SSA does not give you extra money up front to purchase the items and services you need to achieve your vocational goal. However, by setting your funds aside as part of a PASS, you can become eligible for SSI or receive a higher amount of SSI, and that SSI payment can replace some or all of the money you set aside in the PASS. Also, once you are an SSI recipient, you are eligible for Medicaid.

Example:
Janet has income that consists solely of Social Security Disability Insurance (SSDI) benefits in the amount of $700 per month, which is too high for her to be financially eligible for SSI. She wants to become a computer programmer. Vocational Rehabilitation (VR) will pay for part of the costs for Janet to complete a computer programmer course. Janet sets aside $680 per month of her SSDI benefit to use in a PASS to pay for a laptop computer, books, supplies, and other items for which VR will not cover. These funds set aside in the PASS make Janet eligible for an SSI payment of $637 per month, which is the maximum SSI benefit rate for an individual. With that SSI payment and the $20 per month unassigned portion of her SSDI benefit, Janet has $657 per month with which to pay her living expenses. Although that amount is $43 per month less than the $700 she had for personal use before she developed her PASS, she is now able to pay for the items and services she needs to reach her goal.



Any questions may be directed to: rsi5@srt.com

WWD Income Limits

Workers with Disabilities Coverage

My colleague Mark Mehlhoff wrote a nice synopses regarding calculating income when applying for the WWD. What follows is a condensed version. Please email either Mark or I for the full document complete with examples, alternate thresholds and POMS references.

Terry Peterson

Income Limit for Workers with Disabilities Coverage

Workers with Disabilities (WWD) coverage is a work incentive available in North Dakota for individuals with disabilities. It allows eligible individuals with disabilities who are gainfully employed to “buy into” Medicaid health care coverage by paying a monthly premium.

To be financially eligible for WWD, the income of an individual and of his/her family must be less than 225 percent of the federal poverty level. This converts to a current income level of $1,914 per month for a unit of one person. The income level will be $1,950 per month for a one-person unit effective April 1, 2008.

Certain disregards and deductions are subtracted from gross income to arrive at net income for WWD purposes. The income deductions that are allowed in determining eligibility for WWD include the following:

A deduction of $20 per month subtracted from any income, but first from unearned income.
Deductions of $65, plus one-half of the remaining monthly earned income, both subtracted from gross earned income.

Example

Earl is a single person, and he resides alone in his house. He receives Social Security Disability Insurance benefits in the amount of $1,100 per month. Earl is currently employed and earns $935 per month. His gross income is therefore $2,035 per month. After applying the income deductions, his net income is just $1,515 per month, and he is therefore eligible for WWD.

Any questions may be directed to: rsi5@srt.com

Workers With Disabilities Coverage....KNOW IT!!

Workers With Disabilities (WWD) coverage (also referred to as the Medicaid Buy-In) could be the most powerful work incentive for people with disabilities in the state.

This work incentive - for individuals - could mean access to hundreds of dollars per month and Medicaid coverage.

For professionals that work with individuals with disabilities that may qualify for this program - not being familiar with it and its impact is a significant and detrimental oversight both professionally and ethically.

In short, WWD allows workers with disabilities who currently pay a Recipient Liability, an option of buying into the Medicaid system at a fraction of the cost.

Here is some more detailed info: WWD

Any questions may be directed to: rsi5@srt.com

The Often Overlooked HUD Work Incentive - Be Sure to Request It!

HUD Work Incentive: Earned Income Disregard (EID)

If you are involved with one of the following HUD programs; HOME Investment Partnerships Program, Housing Opportunities for Persons with AIDS, Supportive Housing Program, Housing Choice Voucher Program (Section 8), or Public Housing - you may qualify for a powerful work incentive that could save you hundreds of dollars per month.

If you are a person with a disability and are benefiting from one of the aforementioned HUD programs...you may qualify for EARNED INCOME DISALLOWANCE when you become employed.

Under this HUD work incentive, 100% of increased employment income will not be counted when determining rent for a period of 12 months following employment. During the second year of employment, only 50% of employment earnings will be used for calculating rent.

An alternative to the EID as a result of employment is INDIVIDUAL SAVINGS ACCOUNTS for those who pay income-based rent in public housing. Under this program, the increase in employment income does not have to be from an individual with a disability in the household, it can be from any household member. The housing authority must deposit in a savings account the total amount that would have been included in tenant rent payable as a result of increased income that is disallowed under EID for families. The tenant may only withdraw monies deposited in the account for; purchasing a home, paying education costs of family members, moving out of public or assisted housing, or paying any other expenses authorized by the housing authority that promote economic self-sufficiency.

Ask your local housing authority if you qualify.

If your HUD counselor is unfamiliar with this work incentive, the rules about this can be found in Title 24, Volume 1 of the Code of Federal Regulation http://www.access.gpo.gov/cgi-bin/cfrassemble.cgi?title=200624 . Search “earned income disregard”, hit 24CFR5- Subpart F, find 5.617 (waivers - EID). Also, hit 24CFR960- Subpart C, find 960.255 (public housing EID/savings account).

Any questions may be directed to: rsi5@srt.com

DYK??? Certain Income is EXCLUDED under SSI?

NOT ALL EARNED INCOME COUNTS when determining SSI eligibility and payment amount. SSA first excludes income as authorized by specific Federal laws or statutes. Earned income exclusions are then applied in the following order to the remainder of earned income to determine countable earned income for each calendar month. Be mindful of these if you are receiving SSI. It could mean a big difference in your monthly cash benefit:

• Earned income tax credit payments and child tax credit payments;
  
• Up to $30 of earned income in a calendar quarter if it is infrequent or irregular;
  
• Earned income of a blind or disabled student regularly attending school, who is under the age of 22, up to the student earned income exclusion (SEIE) monthly limit, but not more than the SEIE yearly limit. (See SI 00820.510 for monthly and yearly SEIE limits);
  
• Any portion of the $20 monthly General Income Exclusion (GIE), which has not been excluded from unearned income in the same month;
  
• $65 of earned income in a month;
  
• Earned income of disabled individuals that is used to pay Impairment Related Work Expenses (IRWE). These are reasonable out-of-pocket costs that are related to the individual’s disability and which are necessary for work. For more information, see POMS SI 00820.540 Impairment-Related Work Expenses (IRWE);
  
• One-half of remaining earned income in a month;
  
• Earned income of individuals with blindness that is used to meet any expenses the person has related to working-whether or not it is related to blindness, called Blind Work Expenses (BWE). Blind Work Expenses include items that would be excluded under the Impairment Related Work Expense (IRWE) rules. In addition, these deductions are any out-of-pocket expense that is necessary for work. For more information, see POMS SI 00820.535 Blind Work Expenses (BWE);
  
• Any earned income used to fulfill an approved Plan for Achieving Self-Support (PASS). PASS is a highly valuable, yet complex work incentive.

Earned income is never reduced below zero and unused earned income exclusions are never applied to unearned income. An unused portion of a monthly exclusion cannot be carried over for use in subsequent months. In addition, the $20 general and $65 earned income exclusions are applied only once to an eligible couple, even when both members (whether eligible or ineligible) have income, since the couple’s earned income is combined in determining SSI payments.

Any questions may be directed to: rsi5@srt.com

Working While Getting SSI and/or SSDI

What the heck does Terry do?
Not enough around the house if you ask my wife…
For Rehab Services, Inc. (RSI) however, I help implement a statewide program called Work Incentives Planning and Assistance (WIPA) whose primary objective is to assist Social Security (SS) Beneficiaries with disabilities in their transition from dependence on public benefits, to paid employment and greater economic self-sufficiency.

As a Community Work Incentives Coordinator (CWIC) I must first have a solid understanding of not only the various SS work incentives, but also the full array of vocational services available to individuals with disabilities. While I must be able to help beneficiaries understand the potential impact of certain employment outcomes on their benefits, I must also be proficient at connecting beneficiaries with the specific services and supports needed to obtain and maintain paid employment.

In my opinion, Social Security Disability Insurance (SSDI), Supplemental Security Income (SSI) and their respective medical benefits: Medicare and Medicaid, comprise the greatest social program in the world. However, the programs are complicated and difficult to navigate - something hopefully this blog helps remedy for people with disabilities.