To keep up with inflation, if you get Social Security, you may see your payments go up starting in 2025. The annual cost-of-living adjustment pretty much locks in the raise, but the payment isn’t guaranteed to keep going to everyone who is getting it now. A June 8 NPR story said that every year, about 70,000 people who get Social Security benefits lose them.
People who get Social Security, Social Security Disability Insurance (SSDI), or Supplemental Security Income (SSI) can lose their benefits in some situations, some of which are out of their control. In some situations, like when they make more money, it may even be better for them to give up their benefits in order to make more money. It’s also important what kind of rewards you get, since there are different rules for each.
Here are some things that could cause you to lose your Social Security payments.
You increase your earnings
Your monthly Social Security payments might change if you start making more money. This is what you need to know about each reward type:
SSI
According to the Social Security Administration (SSA), getting a job could potentially end your SSI benefits, depending on your earnings. SSI eligibility is generally for those who earn $1,971 or less per month. Exceeding this amount will disqualify you from receiving benefits. In addition, if you work, your payment is reduced by $1 for every $2 you earn. For 2024, the maximum monthly amount is $943 for an individual or $1,415 for a couple.
SSDI
The SSA’s nine-month trial work term lets SSDI recipients go back to work for up to nine months without losing their benefits. This is because disabilities are so unpredictable and can affect people in ways they didn’t expect. After this time, if you make $1,550 or more a month, the SSA will think that this is substantial gainful activity.
If you make more than this amount in any month during the 36 months after the trial work period, your benefits will be stopped. During these 36 months, if your earnings drop below the amount needed for serious gainful activity, you may get your benefits back. If you continue to make more than the substantial economic activity amount after 36 months, your benefits will end.
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Incarceration
If you are in jail for more than 30 days, you might lose your SSI and Social Security payments, and you might have to reapply for them when you get out. For each type of benefit, the process is a little different:
Social Security/SSDI
If you have to go to jail and your Social Security payments are temporarily stopped, they can start coming back the month after you get out. For instance, if you get freed in May, you might start getting benefits again in June. These are the only benefits you will get. Your spouse or children will still get benefits as long as they are qualified.
SSI
While you are in jail, you can’t get SSI payments. You may start getting paid again in the month you are released, but the first payment will be split up based on when you were released. But if you are locked up for more than 12 months in a row, your SSI payments will end. When you get out of jail, you will need to call the SSA to make a new application.
Divorce
Getting divorced can also change your Social Security payments, especially if you were getting them based on the record of your ex-spouse. This means you will no longer be able to get those perks if
– You weren’t married to your ex-spouse for at least ten years.
– You are now married again, unless your first marriage ends in death, annulment, or divorce.
–Based on your own record, you are entitled to more benefits than you would get based on your ex-spouse’s record.