Can I Get Workers’ Comp and Social Security Disability Benefits at the Same Time?

On This Page

1. How Do Workers' Compensation and SSDI Benefits Work Together?
2. Can I Draw Full SSDI Benefits While Receiving Workers' Compensation?
3. Are There Ways to Reduce the SSDI Offset?
4. How Can I Discuss Workers' Compensation With a Disability Attorney?

LEGALLY REVIEWED BY

C. William Kenny

December 12, 2023

Board certified by National Board of Trial Advocacy

You can get both workers’ compensation and Social Security Disability benefits at the same time in Pennsylvania, although you may not be able to draw the full amount of Social Security Disability Insurance (SSDI). Most people who receive both benefits make too much money and have too many assets to qualify for Supplemental Security Income (SSI). However, it might be possible to qualify for SSI if your workers’ compensation monthly payment is very small.

The Social Security Disability lawyers in Pittsburgh at Berger and Green can help you understand how workers’ compensation or another source of benefits will impact your Social Security Disability Insurance eligibility. Whether it is workers’ compensation, unearned income, or self-employment income, it is a good idea to discuss your options with someone familiar with the rules of this program before you move forward with your application. 

How Do Workers’ Compensation and SSDI Benefits Work Together?

Injured workers can draw both workers’ compensation and Social Security Disability Insurance benefits at the same time because they are separate programs with different goals. Neither has an income or asset limit that excludes the other, although your current earnings from compensation programs such as workers’ comp could affect your SSDI payments.

Many people can combine both programs to help make ends meet after they suffer a serious, disabling workplace injury. 

Social Security Disability Benefits

The Social Security Administration (SSA) runs two primary programs: SSDI and SSI. These federal programs offer monthly benefits to help those who can no longer work because of a long-term or permanent impairment that leaves them unable to work for at least a year. SSDI is the primary program for workers who have a medical condition that prevents them from earning a living, whether or not their diagnosis stems from a work-related injury. 

Workers’ Compensation Programs

Workers’ compensation is an insurance program that offers employees medical coverage and cash benefits after an on-the-job injury or occupational illness. Even minor injuries might qualify for benefits, and you could receive medical care coverage even if you never missed work because of your injuries.

Catastrophic injuries that lead to long-term impairments often qualify for continued benefits even after the worker qualifies for SSDI or another disability program. This is when you might need to consider the effects of your workers’ comp income on your SSDI benefits.

Can I Draw Full SSDI Benefits While Receiving Workers’ Compensation?

When you receive workers’ compensation or other similar benefits, it may affect the amount of Social Security Disability Insurance you can draw. The SSDI amount will likely decrease if you receive too much in workers’ comp benefits. This is known as an offset.

Under SSA guidelines, the total amount of these benefits cannot be greater than 80 percent of your average earnings before you became disabled. While the SSA calculates this in a number of different ways, the most common method uses the average monthly payment from your top-earning year.

Understanding the Offset

If your total of these two types of benefits exceeds 80 percent of your average wages, the SSA will subtract the extra amount from your SSDI payments. The best way to learn more about any possible offset based on your compensation claim is to discuss your options with a Social Security Disability attorney from our team.  We can also help you file your application for SSDI benefits. 

Your offset depends on your current earnings from workers’ comp and your SSDI payout. For example, imagine this scenario:

• Your previous wages total $4,000 per month; and
• Your disability benefits, including those for your spouse and children, equal $2,200 per month; and
• You receive $2,000 per month in workers’ compensation benefits.

In this scenario, your total benefits would equal $4,200 per month, which is $1,000 more than 80 percent of your previous wages. This means the SSA would only approve you for up to $1,200 per month. By doing this, the SSA offsets the workers’ compensation payment and ensures you draw only 80 percent of your previous wages.

Are There Ways to Reduce the SSDI Offset?

There may be ways to reduce or eliminate this offset, but this is probably not something you can handle on your own. The SSA has complex rules about how they treat this type of offset, and attempting to do this by yourself might cause problems with your benefits or actually increase the offset. We recommend you contact our office for a free case evaluation. Our legal team can look at the details of your situation and determine if we can use one of the following methods to reduce your offset.

Some ways to potentially reduce an offset include: 

Excluding Approved Expenses

The SSA allows you to deduct some fees if you have a workers’ compensation settlement before it considers the total to calculate your offset. This could include legal fees, medical expenses not covered by Medicare, rehabilitation and therapy costs, and other approved medical expenses. When you subtract future medical care costs from your payout before the SSA calculates the offset, it could greatly reduce it. Do not forget, though, to document all these approved expenses.

Spreading out a Lump-Sum Payment

If you received a lump-sum workers’ compensation payment, it is not always possible to spread it out and calculate it like a monthly payment. However, it is worth discussing this option because it can greatly reduce your offset. We might be able to help you with this, depending on the wording of your original settlement agreement with workers’ compensation.

Considering Early Social Security Retirement Benefits

You can draw full workers’ compensation benefits at the same time as Social Security retirement benefits. In other words, there is no offset after you reach age 66 or if you opt to take retirement early. However, this is not always the best choice since you do not receive full retirement benefits if you take them early. We can help you do the math and determine if early retirement makes financial sense for you and your family.

How Can I Discuss Workers’ Compensation With a Disability Attorney?

If you have questions about how drawing workers’ compensation benefits could affect your SSDI eligibility, call Berger and Green today. We offer free case evaluations and consultations. We represent clients for Social Security Disability claims in Pittsburgh, Pennsylvania, and nearby areas, some parts of Ohio, and all of West Virginia. 

If your impairment occurred as a result of someone’s negligence, you could qualify to file a personal injury claim. Our attorneys can help you understand if your accident and injury qualify for additional compensation. 

You can contact our legal team today by calling or completing our online contact form.