Disability Insurance Articles

How Monthly Wages Affect Disability Insurance Applications

2010-11-12

Submitting disability insurance applications can be a confusing process. When you've been out of work for a while and there's no clear indication that your situation is ever going to improve, you want to be sure that you'll still be able to pay your bills and meet your financial obligations. However, while you're in the application process, it's important to understand that any existing monthly wages can and do affect how your application gets processed.

If you're applying for SSI benefits, not only must you have a qualifying disability, you also have to have zero or minuscule monthly wages. Additionally, you must have Resources and Assets that are valued below the allowable amount (which is generally $2,000 for individuals and $3,000 for married couples.) Examples of such resources include your cash holdings, bank account balances, stocks and bonds, vehicles, etc.

That said, there are assets that don't affect the decision making process when it comes to disability insurance applications. Examples of these include the home your live in and the land included in the property, personal effects (like wedding and/or engagement rings), household goods, burial plots or funds, grants, scholarships or other educational stipends and one vehicle (no matter how much it is worth) if it's deemed necessary for transport for you and your family.

Of course, all of this can get quite confusing for someone who isn't already an expert on disability applications and filings. In instances like these, when in doubt, your best bet is to join forces with a specialized expert with the credentials and experience necessary to help you answer tough questions and understand the sometimes complicated application process.

There are always exceptions to every rule. For example, active duty military members who are still being paid aren't necessarily taken out of the running when they are applying for payment of Social Security disability funds. So, if you're still being paid by the Department of Defense, this should in no way stop you from seeking additional coverage through Social Security. However, it's important to note that you should continue all treatments and therapies offered and strictly adhere to your doctor's orders when it comes to duty restrictions.

In the end, you should always keep in mind that you won't likely qualify for social security disability benefits if you are able to successfully engage in any level of work that would be considered "substantial" for pay or any other type of profit. In military instances (and others) it isn't always the amount of your monthly wages that determines eligibility, but the amount of work that you are able to accomplish.