busting down the myths about benefits and work

Busting Down the Myths about Benefits and Work

Office of Vocational Rehabilitation Services

Bust the Myths

Combination of public benefits create a basic safety net

Each benefit has it’s own set of work rules

Complexity of the rules create MYTHS!

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Know the FACTS

Benefit programs have work rules that support working- Work Incentives

Don’t let the complexity and myths be a barrier to employment

Know and Share the FACTS

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THE BASICS: SSDI PAYMENT AND MEDICARE

SSDI – Cash Benefit: Meet SSA definition of disability, and Be “insured” or draw off “insured” worker who is

disabled, retired, deceased Check amount based on work history No asset test

SSDI – Health Insurance: Medicare (after 24 month waiting period)

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SGA Countable Income Test Summary

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The Basic SGA Test $ Gross Wages (earned in a month)(-) $ Sick/Vacation/Holiday pay(-) $ IRWE(-) $ Subsidy/Special Conditions(-) $ Unincurred Business Expenses/Unpaid Help(=) $ Countable Earnings

• SSA uses Countable Earnings to determine if earnings are above or below SGA

THE BASICS: SSI PAYMENT AND MEDICAID (OHP+)

SSI – Cash Benefit: Meet SSA definition of disability; Little to no assets (less than $2,000-individual); Little to no income (countable income less than

$721individual/2014); Check amount-maximum $721 (individual/2014), lower if

other income SSI – Health Insurance:

Medicaid (OHP+)

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Step 1: Countable Unearned Income $______ Unearned Income(-) $______ General Income Exclusion ($20)(=) $______ Countable Unearned IncomeStep 2: Countable Earned Income $______ Earned Income(-) $______ Student Earned Income Exclusion (SEIE)(-) $______ General Income Exclusion (if not used)(-) $______ Earned Income Exclusion ($65)(-) $______ Impairment Related Work Expense (IRWE)(=) $______ Remainder(/) Divide by 2(-) $______ Blind Work Expense (BWE)(=) $______ Countable Earned Income

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Step 3: Total Countable Income $______ Countable Unearned Income (Step 1)(+) $______ Countable Earned Income (Step 2)(=) $______ Total Countable IncomeStep 4: Adjusted SSI Check Amount $______ Federal Benefit Rate

($721/$1,082/480.66)(-) $______ Total Countable Income (Step 3)(=) $______ Adjusted SSI Check AmountStep 5: Total Income $________ Unearned Income(+) $________ Adjusted SSI check(+) $________ Earned Income(=) $________ Total Income

7 MYTHS AND THE REAL FACTS

Myth #1: Benefit Program Rules Determine How Much I can Earn

FACT #1: Combining Several Work Incentives can Support you in Reaching your Work Goal! Determine your work goal (type, amount, wage)

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7 MYTHS AND THE REAL FACTS

Myth #2: I will lose my SSDI if I work

FACT #2: Work Incentives exist that allow you to maintain the SSDI check or eligibility status when you work: Trial Work Period

Extended Period of Eligibility

Impairment Related Work Expenses, Subsidy, Unsuccessful Work Attempts

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7 MYTHS AND THE REAL FACTS

Myth #3: I’ll lose my Medicare if I work

FACT #3: There are 2 Work Incentives that allow you to maintain Medicare indefinitely! Extended Period of Medicare Coverage

Medicare for People with Disabilities Who Work

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7 MYTHS AND THE REAL FACTS

Myth #4: I get SSI and have heard I will have less money when I work

FACT #4: Work Incentives exist to make sure you financially get ahead when you work Basic deductions: General Income Exclusion, Earned

Income Exclusion, One-Half Disregard

Additional deductions: Student Earned Income Exclusion, Impairment Related Work Expenses, Blind Work Expenses Page 12

7 MYTHS AND THE REAL FACTS

Myth #5: I have to keep a $1 of SSI or I’ll lose my Medicaid (OHP+)

FACT #5: If EARNINGS cause SSI to drop to $0, you can KEEP MEDICAID! 1619b- earn at least $32,725/year (2014) and keep

Medicaid

Employed Persons with Disabilities- earn at least $58,500/year and keep Medicaid (2014)

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7 MYTHS AND THE REAL FACTS

Myth #6: There are not any resources to help me reach my work goal of self-sufficiency

FACT #6: There are work incentives that match funds you set aside to pay for work expenses Plan for Achieving Self Support

Individual Development Account

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7 MYTHS AND THE REAL FACTS

Myth #7: If I work I’ll end up with an overpayment

FACT #7: There are strategies to prevent overpayments Report regularly;

Get a receipt from SSA to document you reported; and

Create a folder to save paystubs and SSA letters

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Final Questions??

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Work Incentives Programs in Oregon

The Work Incentives Network Paula Fitch: paula.fitch@state.or.us Gene Rada: eugene.e.rada@state.or.us

Plan for Work (Disability Rights Oregon) Arlene Jones: ajones@DROregon.org