Can I Get Both Retirement and Disability Benefits?

Social Security offers financial support through both retirement and disability benefits. Understanding how these two types of benefits interact is important, especially for those who may qualify for both. The Social Security Administration (SSA) manages these programs, each with its own eligibility criteria and calculation methods.

Understanding Social Security Retirement Benefits

Social Security Retirement Benefits provide income to eligible individuals who have worked and paid Social Security taxes. To qualify, a person needs to earn work credits over their career. For most individuals, 40 work credits are required, which translates to about 10 years of working and paying Social Security taxes. You can earn up to four credits each year, with the amount needed to earn one credit adjusted annually.

The amount of your monthly retirement benefit is primarily determined by your Average Indexed Monthly Earnings (AIME). The SSA calculates AIME using your highest 35 years of earnings, adjusted to account for changes in average wages over time. If an individual has fewer than 35 years of earnings, zero earnings years are included in the calculation, which can result in a lower benefit amount. Your full retirement age (FRA) is the age at which you can receive 100% of your calculated benefit, and this age varies based on your birth year, ranging from 66 to 67. While benefits can be claimed as early as age 62, doing so results in a permanent reduction of the monthly payment.

Understanding Social Security Disability Benefits

Social Security Disability Insurance (SSDI) provides benefits to individuals who are unable to work due to a severe medical condition. The Social Security Administration defines disability as the inability to engage in any “substantial gainful activity” (SGA) due to a physical or mental impairment that is expected to result in death or has lasted, or is expected to last, for a continuous period of at least 12 months. This definition is stringent and requires comprehensive medical evidence.

Eligibility for SSDI also depends on having accumulated a sufficient number of work credits. Unlike retirement benefits, the number of work credits needed for SSDI varies based on your age at the time your disability began. For example, individuals aged 31 or older need 20 credits earned within the 10 years immediately preceding the onset of their disability. Younger workers may qualify with fewer credits, such as 6 credits earned within the three years before disability for those under age 24.

SSDI benefit amounts are calculated similarly to retirement benefits, based on your Average Indexed Monthly Earnings (AIME) and resulting in a Primary Insurance Amount (PIA). SSDI differs from Supplemental Security Income (SSI), a needs-based program for those with limited income and resources, regardless of work history.

Navigating Combined Retirement and Disability Scenarios

Individuals cannot receive full benefits from both Social Security retirement and disability programs simultaneously. Instead, the Social Security Administration (SSA) has rules governing how these benefits interact, resulting in one benefit converting to the other or the payment of the higher of the two eligible amounts.

A common scenario involves an individual receiving Social Security Disability Insurance (SSDI) benefits who then reaches their full retirement age (FRA). At this point, SSDI benefits automatically convert to retirement benefits. The monthly benefit amount remains the same after this conversion, meaning there is no change in the payment received, only a reclassification of the benefit type. This automatic transition simplifies the process for beneficiaries, as they do not need to take any action for the conversion to occur.

In situations where an individual applies for disability benefits after already beginning to receive retirement benefits, the SSA will pay the higher of the two benefit amounts. This means if the calculated disability benefit is greater than the retirement benefit already being received, the individual will receive the higher disability amount.

The “deemed filing” rule is another consideration for those approaching retirement age with a qualifying disability. This rule means that when you file for one type of Social Security benefit, you are automatically considered to have filed for any other benefits for which you are eligible, such as a spouse’s benefit or your own retirement benefit. This rule can impact strategies for claiming benefits, as it can prevent an individual from claiming a spousal benefit while simultaneously delaying their own retirement benefit to accrue delayed retirement credits.

Family benefits, such as those for spouses or dependent children, are also impacted when a primary beneficiary transitions between disability and retirement. The rules regarding these derivative benefits align with the primary beneficiary’s status, ensuring that eligible family members continue to receive support.

Application Process and Strategic Considerations

Applying for Social Security benefits, whether for retirement or disability, involves a multi-step process that can be completed online, by phone, or in person at a local Social Security office. Preparing the necessary documentation in advance can help streamline the application.

For retirement benefits, common documents include:
Your Social Security card
Original birth certificate
Proof of U.S. citizenship
W-2 forms or self-employment tax returns from the previous year
Bank account information for direct deposit

For disability applications, in addition to personal and work history documents, extensive medical records are needed. This includes:
Detailed medical history
Diagnoses
Treatment plans
Laboratory results
Statements from treating physicians illustrating how the condition impacts your ability to work

The Social Security Administration’s review process for disability claims can be lengthy, taking several months to over a year, and initial claims are denied, necessitating an appeals process.

Strategic considerations apply if you are nearing your full retirement age and also have a qualifying disability. It can be beneficial to compare the potential early retirement benefit amount with the disability benefit, as SSDI benefits are equivalent to the full retirement amount, even if claimed before your FRA. Understanding the implications of deemed filing rules and how they might affect your claiming options, especially for spousal benefits, is also important. Consulting your earnings record and benefit estimates available through your online Social Security account can help inform decisions about when and how to apply for benefits.