Can You Collect Long-Term Disability and Social Security Benefits Simultaneously?

When it comes to collecting both long-term disability (LTD) and Social Security Disability Insurance (SSDI) benefits, the answer can vary depending on the specific circumstances and type of disability.

Understanding the Mutual Exclusivity of SSDI and Long-Term Disability

The short answer is that you cannot receive both SSDI and Long-Term Disability (LTD) benefits at the same time if you have a private disability program. If you are applying for SSDI through the Social Security Administration (SSA), you generally cannot collect both.

If you have a private disability program, you need to contact the insurance company to understand the details of your coverage and any potential interactions with SSDI.

VA Benefits and SSDI: Can You Receive Both Simultaneously?

For veterans and individuals with disabilities due to military service who are receiving VA benefits, the situation is different. VA benefits are not considered income-generated from employment, so they can be received alongside SSDI benefits. However, the criteria for SSDI through the SSA and VA are distinct and must be met separately.

It's important to note that the VA benefits are not means-tested, meaning they do not reduce your eligibility for other benefits, such as SSDI, since they are not considered earned income.

State Disability Insurance (SDI) and Workers' Comp Benefits: Complex but Possible

For individuals who have received workers' compensation due to an on-the-job injury, the situation can be more complex. In some cases, you may be able to receive both SDI (state disability insurance) and workers' compensation benefits, as long as the total does not exceed certain limits. However, some jurisdictions have rules that prevent double-dipping, meaning you cannot receive both simultaneously.

For example, in California, if you receive workers' compensation benefits, you may not receive state disability insurance (SDI) at the same time, but if you've exhausted workers' compensation benefits, you may still be eligible for SDI.

Long-Term Disability and Social Security: Navigating Receiving Both

If you are on long-term disability, most companies have programs in place to ensure you apply for SSDI as soon as possible. Many of these programs include legal assistance to help with the SSDI application process, which can make the transition smoother.

After receiving SSDI benefits, some LTD payments are structured to continue until you reach full retirement age, at which point the benefits switch from being long-term disability to Social Security benefits. In some cases, the LTD insurer may only pay a reduced monthly amount until you reach retirement age to ensure that you don't receive double payments.

Some LTD policies might also have provisions to ensure that LTD payments are reduced when SSDI benefits start, to avoid the risk of receiving double benefits. However, each policy is different, so it's crucial to review your specific policy details with your LTD provider.

Other Potential Benefit Sources

For individuals who have company-provided pensions or other disability benefits, these can also be considered when evaluating your overall financial situation. These benefits might be supplementary to SSDI or LTD, or they might be mutually exclusive depending on the terms of your employment contract and the nature of your disability.

Conclusion

In summary, the ability to collect both long-term disability and Social Security benefits simultaneously depends on the type of disability and the nature of the benefits involved. It's crucial to consult with your LTD provider, VA, and Social Security Administration to understand the rules that apply in your specific situation.

The takeaway is that while you cannot receive both SSDI and LTD benefits from one source simultaneously, there are exceptions depending on the type of benefits and jurisdiction. Always seek professional advice to navigate the complexities of disability and retirement benefits.