How Do I Calculate How Much I Would Get on Disability?

Calculating potential disability benefits can be complex. The Social Security Administration (SSA) manages two primary programs: Social Security Disability Insurance (SSDI) and Supplemental Security Income (SSI). Both provide aid, but their eligibility and calculation methods differ significantly. This article clarifies the calculation process for SSDI and SSI, guiding what financial support may be available.

Types of Disability Benefits and Eligibility

Disability benefits in the United States are primarily administered through two distinct federal programs: Social Security Disability Insurance (SSDI) and Supplemental Security Income (SSI). These programs serve different populations and have unique eligibility criteria.

Social Security Disability Insurance (SSDI) is an earned benefit, similar to retirement benefits, requiring a history of work and contributions to Social Security taxes. To qualify, individuals must accumulate “work credits” based on their earnings. In 2024, one work credit is earned for every $1,640 in wages or self-employment income, with a maximum of four credits per year.

The total credits needed depend on an applicant’s age when their disability began. For instance, workers aged 31 or older typically need at least 20 work credits earned in the 10 years immediately preceding their disability. Younger individuals have less stringent requirements, such as those under age 24 needing 6 credits in the three years before disability onset.

Supplemental Security Income (SSI) is a needs-based program for individuals with limited income and resources, regardless of work history. Eligibility hinges on financial need, meaning applicants must meet strict income and asset limits. For 2025, an individual’s countable resources generally cannot exceed $2,000, and for a couple, the limit is $3,000. Certain assets, such as a primary residence and one vehicle, are typically excluded. Income limits vary based on the source of income. Both SSDI and SSI applicants must meet the SSA’s medical definition of disability, requiring an impairment expected to last at least 12 months or result in death.

Calculating Social Security Disability Insurance (SSDI)

The amount of Social Security Disability Insurance (SSDI) an individual receives is directly tied to their lifetime earnings history. The calculation involves two primary components: Average Indexed Monthly Earnings (AIME) and the Primary Insurance Amount (PIA).

The first step in determining SSDI benefits is calculating your Average Indexed Monthly Earnings (AIME). The SSA uses up to 35 of your highest-earning years, adjusted for historical wage growth. Earnings from past years are “indexed” to reflect general wage levels at the time you turn 60, ensuring earlier earnings have comparable value to more recent ones. The total indexed earnings from these 35 years are then divided by the total months (420 months) to determine the average monthly amount. If an individual has fewer than 35 years of earnings, zero earnings years are included, which can lower the AIME.

Once the AIME is established, the Social Security Administration applies a progressive formula to calculate your Primary Insurance Amount (PIA). The PIA represents your full monthly benefit amount before any adjustments. This formula uses “bend points” that change annually, applying different percentages to specific portions of your AIME.

A high percentage is applied to the lowest portion of AIME, a lower percentage to the middle, and an even lower percentage to the highest. This progressive structure means the program replaces a higher percentage of earnings for lower-income workers.

To find a personalized estimate of your potential SSDI benefit and review your earnings record, access your “My Social Security” online account. This account provides your Social Security Statement, which includes a detailed summary of indexed earnings and an estimate of future disability benefits.

Calculating Supplemental Security Income (SSI)

Supplemental Security Income (SSI) benefit amounts are determined based on an individual’s financial need. The program aims to provide a minimum level of income for basic necessities. The foundation of the SSI calculation is the Federal Benefit Rate (FBR), the maximum federal payment an eligible individual or couple can receive.

The Social Security Administration calculates SSI benefits by starting with the FBR and then subtracting any “countable income.” Not all income is counted dollar-for-dollar; certain types are excluded or partially excluded to encourage self-sufficiency. For instance, the first $20 of most unearned income and the first $65 of earned income, plus half of the remaining earned income, are generally excluded. This means working can still result in a partial SSI benefit, as not all earnings reduce the benefit equally.

Countable income includes earned income, unearned income (such as Social Security benefits, pensions, or unemployment benefits), and “in-kind support and maintenance” (ISM). ISM refers to food or shelter provided by someone else, which is considered income. Effective September 30, 2024, food is no longer included in ISM calculations, meaning its value will not reduce SSI payments.

If someone helps pay for rent, mortgage, or utilities, or if an individual lives in someone else’s home without paying their fair share of expenses, this can reduce the SSI payment. The reduction due to ISM is typically capped at one-third of the FBR plus $20, or a “presumed maximum value.” Some states may provide supplementary payments in addition to the federal SSI benefit, further increasing the total amount an individual receives.

Other Factors Impacting Benefit Amounts

Several other factors can modify the final benefit amount an individual receives. These adjustments prevent overpayment, account for other support, or incentivize returning to work.

For Social Security Disability Insurance (SSDI) recipients, benefits can be affected by other public disability payments. If an individual receives Workers’ Compensation or other government-funded disability benefits not job-related, their combined total benefits (SSDI plus the other benefit) cannot exceed 80% of their average earnings before becoming disabled. If the total exceeds this threshold, the SSDI benefit is typically reduced. This offset does not apply to private disability insurance benefits or Veterans Administration benefits.

Additionally, SSDI can provide “family benefits” for qualifying dependents, such as a spouse or minor children. These auxiliary benefits are generally calculated as a percentage of the disabled worker’s PIA. There is a maximum family benefit cap, typically ranging from 100% to 150% of the worker’s PIA, which limits the total amount paid to a disabled worker and their eligible family members. If the sum of individual family benefits exceeds this cap, the auxiliary benefits are reduced proportionally, while the disabled worker’s benefit remains untouched.

For Supplemental Security Income (SSI) recipients, living arrangements can directly impact the Federal Benefit Rate. If an individual lives in another person’s household and does not pay their fair share of food and shelter expenses, their SSI payment may be reduced by up to one-third of the federal benefit rate due to “in-kind support and maintenance.” This reduction reflects the value of the provided support.

If an individual lives alone or pays their full share of housing costs, they are generally eligible for the maximum SSI amount. Special rules apply to individuals living in institutions, which can significantly reduce or eliminate SSI benefits.

Both SSDI and SSI programs offer work incentives to encourage beneficiaries to attempt returning to employment. For SSDI, the “Trial Work Period” allows recipients to work for at least nine months within a 60-month (five-year) rolling period without losing their full disability benefits, regardless of earnings. In 2025, a month counts toward this period if gross earnings exceed $1,160.

After the Trial Work Period, an “Extended Period of Eligibility” allows benefits to continue for months where earnings fall below “Substantial Gainful Activity” (SGA) limits, which are $1,620 per month for non-blind individuals in 2025. For SSI, “Impairment-Related Work Expenses” (IRWE) can reduce countable income. These are out-of-pocket costs for items or services necessary for work due to a disability, such as medical supplies, certain transportation, or attendant care. Deducting IRWEs can help maintain SSI eligibility or result in a higher benefit amount by lowering the countable income.