Can I Get Early Retirement and Disability?

Social Security offers financial support, providing benefits for retirement and disability. While distinct, these two types of benefits can interact, especially when an individual considers claiming early retirement or experiences a disabling condition. Understanding how these programs relate to one another is important for financial planning and securing necessary assistance.

Understanding Early Social Security Retirement Benefits

Early retirement refers to claiming Social Security benefits before reaching your full retirement age (FRA). The earliest age individuals can begin receiving retirement benefits is 62. However, choosing to claim benefits at this early age results in a permanent reduction of the monthly benefit amount.

The full retirement age is not the same for everyone; it depends on your birth year. For individuals born between 1943 and 1954, the FRA is 66. For those born in 1960 or later, the FRA is 67. If your birth year falls between 1955 and 1959, your FRA will be 66 plus a certain number of months.

Claiming benefits at age 62 can lead to a significant permanent reduction, which may be as much as 30% for those with an FRA of 67. For instance, if your full retirement age benefit is $2,000 per month, claiming at 62 could reduce your monthly payment to $1,400. Conversely, delaying benefits past your FRA, up to age 70, can result in increased monthly payments due to delayed retirement credits.

Understanding Social Security Disability Benefits

Social Security administers two disability benefit programs: Social Security Disability Insurance (SSDI) and Supplemental Security Income (SSI). Both require an individual to meet the Social Security Administration’s (SSA) definition of disability: an inability to engage in substantial gainful activity (SGA) due to a medical 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.

SSDI is available to individuals who have worked and paid Social Security taxes, earning sufficient work credits. The number of work credits needed depends on your age at the time your disability began; generally, individuals age 31 or older need at least 20 credits earned in the 10 years immediately before their disability. For 2025, one work credit is earned for every $1,810 in wages or self-employment income, up to a maximum of four credits per year. The SGA threshold, which is the maximum monthly earning amount considered non-disabling, is $1,620 for non-blind individuals and $2,700 for statutorily blind individuals in 2025.

In contrast, SSI is a needs-based program for individuals who are aged, blind, or disabled and have limited income and resources, regardless of work history. For SSI, the resource limit is $2,000 for an individual and $3,000 for a couple, excluding certain assets like a primary residence or one vehicle. Income limits for SSI vary. Both SSDI and SSI focus on the medical criteria and the functional limitations imposed by a condition, evaluating whether the impairment prevents an individual from performing past work or adjusting to other work.

How Disability Benefits Affect Retirement Benefits

If a person is already receiving Social Security retirement benefits and subsequently qualifies for Social Security Disability Insurance (SSDI), their early retirement benefits will generally convert to disability benefits. This transition is often advantageous because SSDI benefits are typically paid at the full retirement age (FRA) rate, even if the individual began receiving retirement benefits at an earlier, reduced age. This can result in a higher monthly payment than the reduced early retirement benefit.

Once an individual receiving SSDI reaches their full retirement age, their disability benefits automatically convert to retirement benefits. The benefit amount usually remains the same after this conversion, as SSDI benefits were already calculated as if the individual had reached their full retirement age. This ensures that the financial support continues without interruption or reduction upon reaching FRA.

If a person is already receiving early retirement benefits, and their disability began before they claimed those benefits, the SSA may retroactively pay the difference between the early retirement amount and what they would have received under SSDI. However, if the disability onset occurs after claiming early retirement, the individual would still need to apply for SSDI, and if approved, the early retirement benefits would be suspended and replaced by the disability benefits.

Applying for Social Security Disability Benefits

Applying for Social Security Disability benefits involves several steps, regardless of whether you are applying for SSDI or SSI. You can initiate an application online, by calling the Social Security Administration (SSA), or by visiting a local Social Security office. Starting an application can establish an “intent to file.”

After submitting the initial application, which includes your medical conditions and work history, the SSA reviews the claim. The application is then sent to the state’s Disability Determination Services (DDS), which makes the medical determination based on the evidence provided. The DDS may gather additional medical records or schedule a consultative examination if more information is needed to make a decision.

Initial applications are often denied, requiring claimants to pursue an appeals process. If your application is denied, you have the right to request reconsideration, which is the first level of appeal. Should reconsideration also result in a denial, further appeals can include a hearing before an Administrative Law Judge (ALJ) and then a review by the Appeals Council. The entire process, from initial application to a decision, can take several months.