Yes, you can work and receive SSDI, but your earnings are tracked and there are thresholds that affect your payments

Social Security Disability Insurance (SSDI) does not automatically stop when you work. However, Social Security measures your monthly earnings against a dollar amount called substantial gainful activity (SGA). If you earn more than the SGA limit in a month, Social Security may reduce or suspend your benefit that month. The SGA threshold changes each year — it was $1,550 per month in 2024 for non-blind workers, but you should confirm the current year's amount with Social Security directly.

The key distinction is between earning money and being able to work. You can have a job and still receive SSDI as long as your monthly earnings stay below SGA. Social Security also offers work incentives — periods where you can test your ability to work without losing benefits immediately — but these have specific rules and time limits.

Key Takeaways

  • You can work and receive SSDI simultaneously if your monthly earnings stay below the substantial gainful activity (SGA) threshold, which changes yearly and was $1,550 for non-blind workers in 2024.
  • Earnings above the SGA limit in any month can reduce or suspend your SSDI payment for that month, though the calculation depends on how much you earn and when you report it.
  • Social Security offers work incentive programs like the Trial Work Period (nine months where earnings do not affect benefits) and Extended may be able to access (36 months of reduced benefits after the trial period ends).
  • You must report your work and earnings to Social Security; they do not automatically know you are employed, and failing to report can result in overpayments you will owe back.
  • Self-employment income is counted differently than wages, and the rules are more complex — contact your local Social Security office before starting a business.

How Social Security counts your earnings

Social Security counts gross wages — the amount before taxes, deductions, or benefits are taken out. If you work for an employer, this is your total pay before withholding. If you are self-employed, Social Security counts your net profit (revenue minus business expenses), not your gross revenue.

The month matters. Social Security looks at what you earn in each calendar month separately. If you earn $1,200 in January and $1,800 in February, January does not affect your benefits but February might. This means you can have high-earning months and low-earning months without the average being what matters — each month stands alone.

You must report your earnings to Social Security. They do not receive this information automatically from your employer or tax returns. If you do not report work income and Social Security later discovers it, you will owe back any overpayment you received. Report your earnings to your local Social Security office, by phone at 1-800-772-1213, or through your online my Social Security account.

The Trial Work Period and what happens after

Social Security offers a Trial Work Period (TWP) that lasts nine months. During these nine months, you can earn any amount and your SSDI payment continues in full — there is no earnings limit. The nine months do not have to be consecutive; Social Security counts only the months in which you earn $1,050 or more (in 2024). Once you have used nine months, the TWP ends and the SGA rule takes over.

After your Trial Work Period ends, you enter Extended may be able to access, which lasts 36 months. During Extended may be able to access, if you earn above SGA in a month, your benefit is reduced or suspended that month, but you keep your Medicare coverage. This gives you a window to test whether you can sustain work without losing health insurance immediately.

Once Extended may be able to access ends, if you are still working and earning above SGA, your SSDI stops. However, you may be able to restart benefits if your work ends or your earnings drop below SGA — you do not have to reapply from the beginning, though there are rules about how quickly you can restart.

Other work incentives: Plans to Achieve Self-Support and Impairment Related Work Expenses

Plans to Achieve Self-Support (PASS) is a program that lets you set aside income and resources for a specific work goal — starting a business, getting training, buying equipment — without that money counting against your SSDI. For example, if you are saving to buy a truck to start a delivery service, you can exclude that savings from Social Security's income calculation. A PASS must be in writing, have a clear goal and timeline, and be approved by Social Security before you start.

Impairment Related Work Expenses (IRWE) lets you deduct the cost of items or services you need because of your disability in order to work. If you need a personal assistant, specialized transportation, medication, or medical equipment to do your job, you can subtract those costs from your earnings before Social Security calculates whether you have exceeded SGA. For example, if you earn $1,700 but spend $300 per month on a personal care attendant required for your work, Social Security counts your earnings as $1,400.

Both PASS and IRWE require documentation and approval. Contact your local Social Security office or a work incentive planning specialist (often available free through your state's Vocational Rehabilitation agency) to set these up.

Self-employment and SSDI

If you are self-employed, Social Security counts your net profit — revenue minus reasonable business expenses — not your gross income. This can work in your favor if your expenses are high, but the rules are stricter and Social Security scrutinizes self-employment more closely than wages.

Social Security also looks at whether your business is substantial. If you are running a business that appears to be a real attempt to earn income (not just a hobby), Social Security may conclude you are not disabled, even if your net profit is below SGA. The information depends on factors like whether you work full-time hours, whether the business is typical for someone with your skills and education, and whether you are making a genuine effort to succeed.

Before starting a business while on SSDI, contact your local Social Security office or a work incentive planning specialist. They can review your business plan and help you structure it in a way that does not jeopardize your benefits.

What happens if you earn above SGA

If you earn more than the SGA threshold in a month, your SSDI payment for that month is typically suspended or reduced. The exact outcome depends on when you report the earnings and how much you earn. Social Security does not always stop your entire payment — sometimes they reduce it based on how far above SGA you went.

You do not lose SSDI permanently if you have one high-earning month. Your benefits continue in other months when you earn below SGA. However, if you consistently earn above SGA for several months in a row, Social Security will eventually terminate your SSDI case. You can reapply or request reinstatement, but there are time limits and conditions.

If Social Security overpays you because you did not report earnings, you will owe the money back. They may recover it by reducing future benefits, or you can arrange a repayment plan. This is why reporting earnings promptly is important — waiting until tax time to report can result in a large overpayment.

Medicare and Medicaid while working

One major advantage of SSDI work incentives is that you can keep your Medicare coverage even after your cash benefit stops. If you work and earn above SGA, your SSDI payment ends, but you can continue Medicare for at least 93 months (about 7.75 years) after your Trial Work Period ends, as long as you report your work status to Social Security.

Medicaid rules vary by state. Some states continue Medicaid as long as you are working; others phase it out based on income. Contact your state Medicaid office or your local Social Security office to understand how your state handles Medicaid for SSDI beneficiaries who work.

Frequently Asked Questions

Do I have to tell Social Security I have a job?

Yes. You must report your work and earnings to Social Security. They do not automatically know you are employed. Report through your local office, by phone at 1-800-772-1213, or through your online my Social Security account. Failure to report can result in overpayments you will owe back.

What if I work part-time or have irregular income?

Social Security counts each month separately. If you work part-time and earn below SGA in most months, your benefits continue in those months. Irregular income is still counted month by month — a high-earning month can trigger a benefit reduction that month, but low-earning months do not carry forward.

Can I use the Trial Work Period more than once?

No. You have one nine-month Trial Work Period per SSDI case. Once you have used nine months (not necessarily consecutive), it is over. However, if your SSDI case is terminated and later reinstated, you may be may be able to access for a new Trial Work Period under certain circumstances.

What if my earnings are seasonal or vary a lot month to month?

Each month is counted separately, so seasonal work can be manageable. High-earning months may trigger a benefit reduction, but low-earning months do not. If you have predictable seasonal patterns, a work incentive planning specialist can help you structure your work to minimize benefit reductions.

Do I lose Medicare if my SSDI stops because I am working?

No. You can continue Medicare for at least 93 months after your Trial Work Period ends, even if your SSDI payment has stopped due to work earnings. You must report your work status to Social Security to maintain this coverage. After 93 months, you may be able to purchase Medicare coverage.