Starting January 2025, the Social Security Administration (SSA) is implementing new rules to make it easier for individuals receiving Social Security Disability Insurance (SSDI) or Supplemental Security Income (SSI) to work without losing their benefits immediately.
These updates include increased earning thresholds, expanded work incentives, and enhanced resources for job support.
Here’s everything you need to know to navigate these changes effectively.
Key Updates
| Topic | Details |
|---|---|
| Trial Work Period (TWP) | Threshold rises to $1,050+ per month. |
| Substantial Gainful Activity (SGA) | $1,460/month for non-blind SSDI recipients; $2,460 for blind recipients. |
| SSI Income Limit | Around $1,000 for individuals and $1,500 for couples. |
| Work Incentives | Includes Ticket to Work and Impairment-Related Work Expenses. |
| COLA Adjustments | Cost-of-Living Adjustments (COLA) continue to protect benefits. |
These changes aim to encourage recipients to return to work or increase their income while maintaining financial stability.
Understanding SSDI and SSI
What Are SSDI and SSI?
- SSDI: Benefits for individuals with a qualifying disability who have a work history of paying Social Security taxes.
- SSI: Need-based assistance for disabled individuals with limited income and resources, regardless of work history.
Both programs have strict rules about working while receiving benefits. However, the 2025 updates provide more flexibility to test your ability to work.
Major Changes for 2025
1. Trial Work Period (TWP) for SSDI
The TWP allows SSDI recipients to work and earn an income without losing their benefits.
- Threshold Increase: In 2025, earning $1,050 or more in a month will count as a trial work month.
- How It Works:
- You can earn any amount during the TWP (up to 9 months) without your benefits stopping.
- After the TWP, the SSA evaluates whether you’re earning above the SGA threshold.
- In 2025, the SGA limit is $1,460/month for non-blind individuals and $2,460/month for blind individuals.
Example:
John earns $1,200/month while receiving SSDI. His earnings count toward his TWP. After using his 9 trial work months, his income remains below the SGA limit, so he continues to receive SSDI benefits.
2. SSI Income Limits and Exclusions
For SSI recipients, income limits are more restrictive, but there are exclusions to reduce the impact of earnings.
- 2025 Income Limits:
- $1,000/month for individuals.
- $1,500/month for couples.
- Exclusions:
- Earned Income Exclusion: The first $65 of monthly income plus half of additional earnings are not counted.
- Impairment-Related Work Expenses (IRWE): Expenses like specialized equipment or disability-related transportation can be deducted from income.
3. Work Incentives
Social Security offers programs to help recipients return to work without risking immediate loss of benefits.
- Ticket to Work Program:
- Provides free job training, vocational rehabilitation, and job placement services.
- Designed to help beneficiaries transition to financial independence.
- Plan to Achieve Self-Support (PASS):
- Allows SSI recipients to set aside income for work-related goals like education or starting a business.
- Student Earned Income Exclusion (SEIE):
- Students under 22 receiving SSI can exclude up to $2,220 annually from earnings.
4. Cost-of-Living Adjustments (COLA)
COLA adjustments continue in 2025, helping recipients maintain their purchasing power. The increase will reflect inflation, with 2024’s COLA at 3.2%. The 2025 rate will be announced in late 2024.
Resources for Support
Navigating Social Security rules can be challenging. Here are some resources to assist you:
- Social Security Administration (SSA): Visit SSA.gov for updates and tools like the Ticket to Work Help Line.
- Local SSA Offices: Schedule appointments for personalized advice.
- Disability Rights Organizations: Groups like the National Disability Rights Network provide free advocacy services.
Practical Tips
- Plan Your Return to Work: Use the TWP to gradually increase earnings without losing benefits.
- Track Income Carefully: Keep records of your monthly earnings to avoid exceeding thresholds.
- Use Exclusions and Deductions: Leverage work-related expense deductions to reduce countable income.
- Consult Professionals: Speak with benefits counselors or financial advisors to ensure compliance and maximize benefits.
Real-Life Example:
Samantha, a 38-year-old SSDI recipient, wanted to rejoin the workforce. Through the TWP, she earned $1,200/month as a part-time assistant without losing benefits.
After completing her trial work period, her income remained under the SGA limit, so she continued receiving SSDI.
Enrolling in the Ticket to Work program further supported her transition to full-time work, eventually allowing her to achieve financial independence.
With the 2025 Social Security updates, individuals like Samantha can test their ability to work and gain financial stability without fear of losing vital benefits.
