SSDI funding in trouble as 2016 deadline approaches

People in Oregon who receive Social Security disability insurance benefits are no doubt aware of reports that the SSDI trust fund is due to run out of money by 2016. Congressional action will be needed in order to shore up the fund before that time in order to ensure that SSDI benefits don’t have to be cut for recipients.

Not all recipients of SSDI benefits have other sources of income. In general, people who receive Social Security disability benefits can earn as much as $1,040 per month and still be eligible for benefits; even for those who do have other sources of income, a 20 percent reduction would take a big bite out of their bottom line.

Among the suggestions to keep SSDI afloat is to partially privatize it. That would also serve to appease critics who say that people have little motivation under the current system to return to work; the private-solution idea carries with it more incentives for people to stay employed whenever possible.

Any changes that are made would affect millions. Right now, about 11 million people — which includes around 9 million disabled workers, plus their dependents — receive benefits. A great many households would have to find creative solutions in order to make ends meet.

Until that time, however, people who are considering applying for benefits can still do so without reservation. The system is considerably complicated, however, so it may benefit people who are considering applying to consult with an attorney who has experience dealing with Social Security disability insurance claims.

Source: The Christian Science Monitor, “Trouble for Social Security’s other fund,” Margaret Price, Sept. 1, 2013

By |2019-02-08T20:53:27+00:00September 9th, 2013|Social Security Disability|0 Comments
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