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How can you lose disability benefits?

People in Michigan who are unable to work due to a disability may be receiving social security benefits in the form of cash payments and Medicare health insurance. People should be aware that there are certain circumstances in which these benefits can be reduced or even stopped. 

According to The Street, disability benefits can, generally, be lost in two ways. One is that the injury or medical condition improves or clears up. The Social Security Administration does a review on each disability recipient every three to seven years, and if medical care has ceased there is a good chance so will benefits. This is one of the reasons why one should continue medical care even if it does not seem worth it. Another way disability benefits can be canceled is when the person returns to work and starts making too much money.

Some workers may be hesitant to return to work because they do not want to lose any of the benefits they have been receiving. To encourage work, the Social Security Administration offers work incentives for specific circumstances. With these incentives, certain expenses are deducted from income so that the actual earnings used to determine eligibility for benefits are lower. Examples of work incentives include:

  • Unincurred business expenses
  • Expenses related to impairment
  • Job support
  • Unsuccessful work attempt
  • Participation in a vocational rehab program

Work incentives may not be counted towards SSI payments. Even if cash benefits stop due to work, disabled workers are still eligible for Medicare coverage for seven years and nine months after work commences.

 

 

 

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