Should I Apply for Disability Back-Pay?

Back pay refers to past-due benefits that cover a period in which you had not been approved to collect disability benefits that you were medically qualified to collect. Therefore, to collect the back pay benefits, one must be incapable of working and being physically or mentally disabled. 

However, when should one apply for disability back pay?

Social Security Disability Insurance 

The first step to getting your back pay benefits starts with applying for social security disability Insurance (SSDI) benefits. Once the SSDI has been approved, then you can apply for disability back pay. Nevertheless, the SSDI back pay benefits are determined by two things:

1. The onset date.
2. The day you submitted your application to the Social Security Administration (SSA).

The Onset Date

This refers to the date you became disabled. The onset date is significant because the Social Security Administration begins disability benefits six months after becoming disabled. Therefore, if you become disabled in January 2018 and your social security benefits were approved in May 2019, you will be entitled to 10 months of disability benefits. This is because there is a 5-month waiting period for the SSDI benefits by law; thus, the payments start after six months of the onset date.

The day you submitted your application to the social security administration.

Taking much time to apply for disability benefits can affect the amount of back pay you receive. Therefore, it is important to apply for disability benefits as soon as possible since the SSA will pay you back benefits prior to your application date. To avoid missing out on years of benefits, one should apply for disability benefits early.

Supplemental Security Income

On the other hand, one can receive back pay from Supplemental security income (SSI). This is the other social security program that pays benefits to people with disabilities. The SSI rules are a bit different from the SSDI rules. The SSI only relies on the date of application to determine your back pay, and there is no waiting period meaning that your back pay will be calculated in a different way than for an SSDI claim.

The maximum monthly payment of the SSI is $794 as of 2021. If the back pay is three times more than the maximum monthly payment, one will receive the sum in three instalments at an interval of six months instead of being given in a lump sum. 

Collecting your back pay means that you are collecting benefits that cover the month between application and approval. Therefore, it is crucial to start the application process early to speed up your eligibility to get what you are owed. Once you are eligible for disability benefits, you can apply for disability back pay.

If you live in the Melbourne or Orlando areas of Central Florida and need help with back payments in regard to disability, please feel free to contact us.