Busting the Myths About Disability Benefits and Work Presented by Jill Hannemann, CWIC The Work Incentives Network 1
Why work? Benefits programs are only meant to provide for the basic necessities of living: food, shelter and medical care Receiving public benefits only often means poverty o SSI check ($733/2015) is 26% below the federal poverty level o Average SSDI check ($1165/2015) is only 18% above federal poverty level Employment is a way out of poverty and allows people to THRIVE not just SURVIVE Other benefits to employment o Social connection o Sense of purpose o Better mental and physical health 2
Bust the Myths Combination of public benefits create a basic safety net Each benefit has it s own set of work rules Complexity of the rules create MYTHS! 3
Know the Facts Benefit programs have work rules that support working- Work Incentives Don t let the complexity and myths be a barrier to employment Know and Share the FACTS 4
The Basics: SSDI Payment and Medicare SSDI Cash Benefit: Meet SSA definition of disability, and Be insured or draw off insured worker who is disabled, retired, deceased Check amount based on work history No asset test SSDI Health Insurance: Medicare (after 24 month waiting period) 5
SGA Countable Income Summary The Basic SGA Test $ Gross Wages (earned in a month) (-) $ Sick/Vacation/Holiday pay (-) $ IRWE (-) $ Subsidy/Special Conditions (-) $ Unincurred Business Expenses/Unpaid Help (=) $ Countable Earnings SSA uses Countable Earnings to determine if earnings are above or below SGA 6
THE BASICS: SSI AND MEDICAID SSI Cash Benefit: Meet SSA definition of disability; Little to no assets (less than $2,000-individual); Little to no income (countable income less than $733 individual/2015); Check amount-maximum $733 (individual/2015), lower if other income SSI Health Insurance: Medicaid (OHP+) SGA is NOT a factor AFTER SSI eligibility is obtained 7
8 MYTHS AND THE REAL FACTS Myth #1: Benefit Program Rules Determine How Much I can Earn FACT #1: Combining Several Work Incentives can Support you in Reaching your Work Goal! o o What are the beneficiaries life goals? Financial goals? Determine your work goal (type, amount, wage) 8
8 MYTHS AND THE REAL FACTS Myth #2: I will lose my SSDI if I work FACT #2: Work Incentives exist that allow you to maintain the SSDI check or eligibility status when you work: o Trial Work Period o Extended Period of Eligibility o Impairment Related Work Expenses, Subsidy, Unsuccessful Work Attempts 9
8 MYTHS AND THE REAL FACTS Myth #3: I ll lose my Medicare if I work FACT #3: There are 2 Work Incentives that allow you to maintain Medicare indefinitely! o Extended Period of Medicare Coverage o Medicare for People with Disabilities Who Work 10
8 MYTHS AND THE REAL FACTS Myth #4: I get SSI and have heard I will have less money when I work FACT #4: Work Incentives exist to make sure you financially get ahead when you work o Basic deductions: General Income Exclusion, Earned Income Exclusion, One-Half Disregard o Additional deductions: Student Earned Income Exclusion, Impairment Related Work Expenses, Blind Work Expenses 11
8 MYTHS AND THE REAL FACTS Myth #5: I have to keep a $1 of SSI or I ll lose my Medicaid (OHP+) FACT #5: If EARNINGS cause SSI to drop to $0, you can KEEP MEDICAID! o 1619b- earn at least $32,725/year (2014) and keep Medicaid o Employed Persons with Disabilities- earn at least $59,388/year and keep Medicaid (2014) 12
8 MYTHS AND THE REAL FACTS Myth #6: There are not any resources to help me reach my work goal of self-sufficiency FACT #6: There are work incentives that match funds you set aside to pay for work expenses o Plan for Achieving Self Support www.passonline.org o Individual Development Account www.oregonidainitiative.org/ 13
8 MYTHS AND THE REAL FACTS Myth #7: If I work I ll end up with an overpayment FACT #7: There are strategies to prevent overpayments o Report regularly; o Get a receipt from SSA to document you reported; and o Create a folder to save paystubs and SSA letters 14
8 MYTHS AND THE REAL FACTS Myth #8: The SGA dollar amount limits the amount I can work FACT #8: Many work incentives exists to enable an individual to earn far more than the SGA dollar amount o 1619a eliminates SGA as a consideration for SSI beneficiaries o TWP, IRWES, Subsidies, Sick Pay, Vacation Pay all act as deductions and reduce the countable income of SSDI beneficiaries 15
Benefits Planning Programs in Oregon The Work Incentives Network o To Refer: Call your local Office of Vocational Rehabilitation Services (OVRS) and see if your client is eligible for OVRS employment support services. WIN can provide support once the individual is enrolled with OVRS. Call Jill Hannemann at 541-388-8103, x206 for more information on how to access WIN services E-mail: jillh@abilitree.org o Questions about program: Paula Fitch at paula.fitch@state.or.us Gene Rada at eugene.e.rada@state.or.us Plan for Work (Disability Rights Oregon) o To Refer: Call 1-800-452-1694, x227 or 1-503-243-2081, x227 Email: pfw@droregon.org o Questions about program: Arlene Jones: ajones@droregon.org 16
Other Resources The Redbook o http://www.ssa.gov/redbook/index.html Legal Aid Services of Oregon o www.lawhelp.org o Public Benefits Hotline: 800-520-5292 Plan to Achieve Self Support o http://www.socialsecurity.gov/ssi/spotlights/spot-plans-self-support.htm o PASS Cadre (Northwest): 866-235-8109 Individual Development Plan o www.oregonidainitiative.org/ o http://neighborimpact.org/homesource o Local Contact: NeighborImpact (541) 323-6567 17