Disability insurance benefits through workers compensation and Social Security benefits can work together provided that they meet certain guidelines. For some the hassle may seem very difficult to understand. This is a general article about an overview of the two topics.
Workers compensation is when employees are injured at work and benefits are given out for disability or injury. Rules are different in each state and they do affect your Social Security benefits. Workers compensation is administered bureaucratically in the United States through state government. Hence, when you combine the two payments, things can get really complex legally. General requirements are required before you can qualify for each benefit, and the law makes a good screening effort before it will provide you any compensation payments.
You have to be eligible for both in order to receive benefits from workers compensation combined. However, your compensation disability benefits might be reduced. The reason it's reduced is because there is a clause that says that the total benefits from disability either in workers compensation or Social Security cannot go over the limit of 80%. This number is seen in disability insurance as cap on benefits. There is a formula for figuring out your current earnings, to determine if you are eligible. The figure 80% place into effect all other types of disability payments that person is currently receiving.
For example, you need to report certain payments to the social security administration, which will affect your disability payments. If your workers compensation program benefits finish, for example, the payments may increase to compensate for your living needs. Of course, there are exceptions to this rule. There is an age limit to when you can receive disability benefits alone, and this limit may adjust your disability pay.
To throw an extra wrench in the mix, social security laws and disability benefits may have different requirements from state to state. This is because every state has its own different workers compensation laws. However, Social Security is a federal program, so there is the interaction of federal and state laws. That's why you may need a good lawyer to review the numbers before you submit any claims. Again we're not giving legal information. A lawyer will be able to examine the law code in depth, along with benefit requirements that are specialized information. He may also be able to advocate for you in a unique situation, should you need to appeal your social security case.
Social Security and workers compensation are both complex legal structures that need to be dealt with professionally. This is a disclaimer saying that we're not giving any legal or professional advice, and is merely a general audience article. If you need assistance, it is necessary to find a good attorney. You should not try to get through the paperwork by yourself if you do not have expertise. Finally, this general article is not responsible for any incorrect information, and situations will vary from state to state.
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