Overview of the Social Security Disability Insurance (SSDI) program

1. Overview of the Social Security Disability Insurance (SSDI) program Hosted/Facilitated by: Miranda Kennedy with the NDI Technical Assistance Team Presented by: Kevin Nickerson and Mary Lynn ReVoir with the NDI Technical Assistance Team U.S. Department of Labor 2013 Ticket/EN Series

2. Disability Employment Initiative (DEI) • DEI Projects at the state level and/or local level participating LWIBs are required to become Employment Networks under Social Security Administration’s Ticket to Work Program. • Training and Technical Assistance to DEI Projects in attaining Employment Network status and implementing effective EN operations is provided under U.S. DOLETA contract with NDI Consulting, Inc. and the National Disability Institute (NDI). • Evaluation of the impact of the DEI Projects implementation and outcomes as Employment Network will be provided under U.S. DOL ODEP contract with Social Dynamics.

3. Learning Objectives Upon completion of this training webinar, DEI grantees and participants and partners from the public workforce system will have the following: • Examine the role of the DRC & Benefits Planning services • Understand the basics of the Social Security Disability Insurance (SSDI) program • Basic knowledge of key Work Incentives specific to the SSDI program • Understand the value of Work Incentives, and how they can apply to the work of an EN • Next Steps

4. Ticket/EN Subject Matter Expert Mary Lynn ReVoir P: (515) 975-2344 E: mlrevoir@ndi-inc.org

5. Agenda • The role of the DRC & Benefits Planning • Overview of SSA disability programs, and eligibility requirements • Review of Work Incentives associated with the SSDI program • Options for returning to disability benefits, if • needed • Time for Q & A

6. Understanding the Role of the DRC and Coordinating Benefits Planning Services

7. Why Benefits Planning is Important to the Success of any EN • SSA disability benefits & Work Incentives are complex, and are often misunderstood by beneficiaries • In order to help Ticket holders move forward in achieving gainful employment once again, having someone that can help navigate the complex world of SSA disability benefits is critical • When used wisely, Work Incentives can be a powerful tool in assisting Ticket holders in the return to work • Every EN should have basic knowledge of how SSA disability benefits work, if these systems confuse us as professionals, its easy to imagine why Ticket holders are hesitant to try working again

8. Resource Model – DRC with expertise in TtWONLY & Partnering with Benefits Planner • DRCs have expertise in TtW program, but rely on other avenues to assist SSA beneficiaries in accessing benefits planning services, and information about Work Incentives • DRCs maximize existing remote opportunities to provide information to Ticket holders through Work Incentive Seminar Events (WISE), with assistance from the Beneficiary Access and Support Services (BASS) contractor • For more information about WISE webinars, see: https://www.chooseworkttw.net/wise/jsp/wise.jsp

9. Resource Model – DRC with expertise in TtWONLY & Partnering with Benefits Planner • Due to the flexible nature of TtW funds, it is possible to use these funds to purchase needed items, or, in this case, benefits planning services • Example: Develop contract with a private certified benefits planner, whereby payment is provided if and when the Ticket holder returns to work at a level which would qualify the EN for payment • The payment to the private provider could be a percentage of EN payment(s), or a set amount provided after the first payment is achieved by the EN, or fee for service

10. Expert Model – DRC with expertise in BOTH TtW & Benefits Planning • DRC has understanding of how the TtW Program operates AND has training in SSA disability benefits (SSI/SSDI) and work incentives • Example: NY, Maine, and NJ have DRC’s that are trained in understanding SSA disability benefits • DRC’s will be involved in EN operations AND are required to utilize disability benefits training available through Cornell University or VCU • For more information about VCU Work Incentives Counseling Training, see: http://www.vcu-ntc.org/training/initial.cfm • For more information about Cornell Universities online benefits planning training series, see: https://www.ilr.cornell.edu/edi/edionline/ediONLINE_catalog.cfm

11. Ticket/EN Subject Matter Expert Kevin Nickerson E: knickerson@ndi-inc.org P: (607) 272-7570 Ext. 136

12. Overview of SSA disability programs, and eligibility requirements

13. Overview • The Social Security Administration offers two programs that support individuals with disabilities with an inability to work at a substantial level. • Social Security Disability Insurance (SSDI) • Supplemental Security Income (SSI) • Many people with disabilities who receive SSDI and/or SSI, want to work or return to work but are unsure what will happen to their benefits when they do • SSA has special work incentives available that make it possible for individuals to test their ability to work and continue to receive some or all of their cash and health benefits

14. SSA disability benefit eligibility • Individuals must prove 2 things to be eligible for • SSDI or SSI: • Prove that they have a documented medical disability that has, or will last 12 months or longer or result in death • Meet SSA’s definition of disability: • The inability to engage in Substantial Gainful Activity (SGA, which is paid work) by reason of any documented medical impairment (physical or mental) that will lasts 12 months or longer and/or result in death • NOTE: Individuals who are blind do not have to prove that they are • unable to work. They only have to prove that they meet SSA’s level of blindness

15. Substantial Gainful Activity (SGA) • SGA is a basic test used by SSA to establish disability status • SGA is the performance of significant mental and/or physical duties for profit • It is usually determined to be gross earnings (before taxes) of an amount of money that is set January 1 of each calendar year based on the National Average Wage Index • To meet this test a person must not be working, or if working, earning less than the SGA level amount: • 2013 SGA for non-blind individuals = $1040/month • 2013 SGA for blind individuals = $1740/month

16. Review of Work Incentives associated with the SSDI program

17. Social Security Disability Insurance (SSDI) • SSDI is a Title II Benefit • SSDI benefits are based on a person’s work history looking at length of time and amount of money earned, based on F.I.C.A. contributions, which is why SSDI check amounts will vary from person to person • Disabled Adult Children (DAC) • Disability Prior to Age 22 & Never Legally Married • Insufficient FICA or higher parent amount • Parent is deceased, disabled or retired • Possible continuation of Medicaid • Medical Insurance - MEDICARE

18. Important Notes on SSDI • 5 Month Waiting Period for cash benefits • 24 month waiting period for Medicare (beginning with the first month of eligibility for cash benefits) • No Asset limit (not a needs based program) • Individual must have 12 months consecutive-initial eligibility • SSDI is obsessed with SGA – this remains important both before, and after eligibility, although Work Incentives help to overcome this rule in some cases

19. SSDI Work Incentives & Wages • Work Incentives that apply to the • SSDI program: • Trial Work Period = $750/Month for 2013 • Extended Period of Eligibility • Extended Medicare Coverage • Impairment Related Work Expenses • Special Condition/Subsidies • Expedited Reinstatement of benefits

20. Trial Work Period (TWP) • A 9-month period, within 60 months, in which a person on SSDI can work and earn any amount of money without earnings affecting their SSDI eligibility, or cash benefits • Each month an SSDI recipient earns more than $750 counts as one month of the TWP (2013 amount) • These months do NOT need to be consecutive • For Ticket holders, this represents an opportunity to attempt working again, and evaluate their abilities

21. Extended Period of Eligibility (EPE) • A period of extended eligibility that starts the month after the TWP ends and continues for the next 36 months (whether working or not) • For months that countable earned income is less than the SGA level, beneficiaries receive their full SSDI check • For months that countable earned income is more than the SGA level, SSDI cash benefits may not be received • When countable wages first exceed the SGA level (cessation month), Social Security will plan to stop the benefits - but will allow the person to receive a check for that month and for 2 more months as a “Grace Period” before cash benefits cease

22. SSDI Timeline 3 Month Grace Period – Can occur anytime AFTER the TWP is completed EPE TWP 9 Months of Trial Work available 36 Months for Extended Period of Eligibility [SSA looking at determining when “Countable Earnings” are over SGA, during this period of time] Count when earnings are over $750/month

23. Impairment Related Work Expenses (IRWE) • An IRWE exists when: • The individual with a disability pays for the item or service • The item or service is related to the person’s condition • The person would not be able to work if s/he did not spend the money and receive the item or service • IRWE amount may be reduced from Gross wages, the remaining Countable Wages are evaluated based on the SGA test, to determine whether the beneficiary remains in pay that month

24. Subsidies • A Subsidy Exists When the Employer: • Willingly pays more in wages than the value of services performed (Employer Subsidy); or • Receives full value (of services from employee) only because additional supports are provided to the employee (sometimes called Special Considerations) • For use with SSDI beneficiaries

25. Subsidy: For Self-Employed • Unpaid help – for example, a relative that helps you in your business but is not paid for these services • Unincurred business expense – for example, vocational rehabilitation program (ACCES-VR) pays for a computer for your business operation • In either case, subsidies assist a beneficiary by reducing the amount of Gross wages SSA examines when determining whether someone is “gainfully employed” NOTE: Additional rules apply to Self-Employment, and how SSA counts wages

27. Extended Medicare Eligibility(effective October 1, 2000) • An SSDI beneficiary is entitled to continued Medicare coverage after the Trial Work Period and for at least an additional 93 months following the ninth trial work month. • During this entire period, hospital insurance (Part A) is automatic and cost-free. Part B (Medical Insurance) continues to be optional and subject to premium payment ($104.90/month in 2013 for all enrollees)

28. Options for returning to disability benefits, if needed

29. Options for Returning to Disability Benefits • Re-Application • Expedited Reinstatement (EXR)

30. Expedited Reinstatement of Benefits (EXR) • SSDI benefits shall be reinstated without a new application if the person: • Was eligible for SSDI; and • Lost SSDI due to performance of SGA • Requests EXR within the consecutive 60-month period beginning with the month of entitlement termination • Is disabled by the same as (or related to) the physical or mental disability that was the basis for their original claim • Is under a disability based on the application of the medical improvement review standards (MIRS) • Is unable to perform SGA due to his or her medical condition

31. EXR (cont.) • SSDI dependent’s benefits may be reinstated if the dependent satisfies all of the requirements for entitlement to the benefits • Provisional benefits may be received up to 6 months pending the reinstatement application • Once the individual receives EXR benefits for 24 months (called the Initial Reinstatement Period, or IRP), he or she will be eligible for a new Trial Work Period, Extended Period of Eligibility and Expedited Reinstatement period (This is a new period of disability), and also becomes Ticket eligible again

32. SummaryNext StepsQ&A

33. Summary • In today’s presentation we covered the following: • Methods for DRC to coordinate, or provide, benefits planning services for Ticket holders • Basics of SSDI benefits eligibility • SSDI Work Incentives, and how they can assist beneficiaries in the return to work • Options for returning to benefits rolls if needed

34. Next Steps • Register to Attend the next training in this series: • Monday, February 11th (3:00pm – 4:00pm EST) • Part 4: Ticket to work and Benefits Planning, Overview of Supplemental Security Income (SSI) • This webinar will: • Increase your understanding of the basics of the Supplemental Security Income (SSI) program • Provide basic knowledge of key Work Incentives specific to the SSI program • Increase your understanding of the value of Work Incentives and how they can apply to the work of the Employment Network

35. Questions/Comments If you have a comment or question you can: A: Submit it to the host in writing via the Chat or Q&A Box to the right, or… B: Click on the “raise hand” icon to have your line un-muted and ask your question/make your comment.

36. Contact Information Kevin Nickerson NDI Technical Assistance Team knickerson@ndi-inc.org Phone: (607) 272-7570 Ext. 136 Mary Lynn ReVoir NDI Technical Assistance Team P: (515) 975-2344 E: mlrevoir@ndi-inc.org