Social Security Disability Insurance (SSDI) and Supplemental Security Income (SSI) are two distinct federal programs managed by the Social Security Administration (SSA) that provide financial assistance to individuals with disabilities. While both programs aim to support people unable to work due to a disability, they differ significantly in terms of eligibility requirements and funding amounts.

Social Security Disability Insurance is designed for individuals who have accumulated sufficient work credits through their employment history. To be eligible for SSDI, an individual must:

  1. Have a qualifying disability — The SSA defines disability as the inability to engage in substantial gainful activity (SGA) due to a medically determinable physical or mental impairment that is expected to last at least 12 months or result in death.

  2. Have sufficient work credits — Work credits are earned based on the individual's total yearly wages or self-employment income. Generally, an individual needs 40 work credits, 20 of which were earned in the last 10 years ending with the year the disability begins. However, younger workers may qualify with fewer credits.

  3. Be under the age of 65 — Although individuals over 65 may be eligible, they typically transition to retirement benefits.

SSDI benefits are calculated based on the individual's average lifetime earnings prior to the onset of the disability. The amount received varies but is generally higher than SSI benefits. Additionally, SSDI recipients may qualify for Medicare coverage after a 24-month waiting period.

Supplemental Security Income, on the other hand, is a need-based program that provides financial assistance to disabled individuals who have limited income and resources, regardless of their work history. The basic eligibility requirements for SSI include:

  1. Low income and limited resources — An individual's countable income and resources must fall below the thresholds set by the SSA. In 2024, the resource limits are $2,000 for an individual and $3,000 for a couple. Countable resources include cash, bank accounts, stocks, and real estate, excluding the individual's primary residence and one vehicle.

  2. Have a qualifying disability — Similar to SSDI, SSI requires that the applicant has a medically determinable physical or mental impairment that prevents substantial gainful activity and is expected to last at least 12 months or result in death.

  3. Be aged, blind, or disabled — SSI is available to individuals who are 65 or older, blind or disabled.

Unlike SSDI, SSI benefits are not based on prior work or family earnings. Instead, they are funded by general tax revenues, and the benefit amount is determined by the federal benefit rate (FBR), which is adjusted annually. In 2024, the FBR is $914 per month for an individual and $1,371 per month for a couple. SSI recipients may also qualify for Medicaid coverage, which can help cover medical expenses.

An experienced Social Security Disability attorney can help you determine which of these programs is best suited to your situation and can assist you in applying for benefits. 

Massengill, Caldwell & Coughlin, P.C. assists clients in Bristol, Kingsport, and Johnson City and throughout Upper East Tennessee and Southwest Virginia in pursuing SSDI or SSI benefits and in appealing denials. Call 423-797-6022 or contact us online to schedule a consultation.