Are You Eligible for SSDI Back Pay? Here’s What to Know

Dealing with the Social Security Disability application process can be intimidating for a first-time applicant. Knowing that personal information such as medical records, employment history, criminal records, and financial records will be reviewed in microscopic detail by a board of government experts who know nothing about the person they are judging beyond an impersonal case file number and a stack of documents is a thought that could give pause to anybody wishing to file for disability.

Due to this situation, many people might put off the potential frustration of dealing with the Social Security Disability application process until they are certain of winning the SSDI claim. Although many people might just delay filing for SSDI, because of the knowledge that it cannot be paid for at least six months after the disabling condition occurs. 

How SSDI Benefits Are Paid

SSDI benefits are paid for the month after they are awarded. As an example on the ssa.gov website explains, “If the state agency decides your disability began on January 15, your first disability benefit will be paid for the month of July. Social Security benefits are paid in the month following the month for which they are due, so you will receive your July benefit in August.” Also, if an applicant’s birthday falls late in the month, that first payment might not be available until the fourth Wednesday of that month. So, if the applicant from the above example had a birthday was on the 21st of the month or later, that applicant would be without disability benefit pay for nearly seven months.

However, even if there is a risk of being denied at first, and despite the six month minimum delay between onset of disability and payment of benefits, it is of the utmost importance to apply for disability benefits as soon as possible from the date of the disability.

Why is Filing as soon as Possible Important?

Are applicants not able to receive back pay? In some cases, yes, but there are strict limitations on the amount of time for which back pay is available in addition to the other considerations:

• The filing process takes a lot of time. With over 87,000 new applications in June of 2013 alone, the social security system has an enormous backlog of cases to process. As reported on the ssa.gov website, the average wait from when someone files an SSDI claim to when the claim is resolved initially averages three to five months. 
• There is no minimum wait time between occurrences of disability and filing for SSDI. The six-month waiting period for the receipt of the first payment can be served concurrently with the wait for a response from social security rather than consecutively. By filing as early as possible, applicants can minimize the time between being disabled and receiving their benefits.
• In almost every circumstance, SSDI will only be paid for a period of up to twelve months before the submission of the application. If an applicant waits for more than twelve months after the date of initial disability, the applicant will lose access to benefits that could have been accumulated during those months. 
• One exception to the one-year rule is in the case of an application for a disabled adult child, in which case payments will only go back six months from the initial date of application, which makes it even more important to begin filing for benefits as soon as possible.
• If an initial claim is rejected, the applicant can still file for an appeal, and if the appeal is successful, the date of the initial claim will be used to determine when the SSDI benefits will be paid instead of the date of the appeal. So, if an applicant had made a claim in January of 2011, was rejected for benefits at that time, but was able to win an appeal in April of 2013, that person would be able to collect back pay for any benefits going as far back as January of 2010 (assuming that he/she was eligible to collect benefits at that time). If that applicant had waited until April of 2013 to make the initial claim, he or she would only have been able to claim benefits going back as far as April of 2012.

While it is possible for an applicant to receive back pay, the earlier the initial application is filed, the more back pay the applicant can potentially receive. If the initial filing for benefits is delayed too long, an applicant could lose significant amounts of SSDI income.

So, when facing the difficulties of a crippling disability, it is crucial to file for SSDI as soon as you are able to. Filing early can help to reduce the risk of lost disability income and gives the applicant more time in which to use the money to help cope with the loss of the ability to work. The sooner you file for SSDI income after suffering a disability, the sooner that money can be used to help support you and your loved ones by paying not only the expensive medical bills, but the everyday expenses that were once paid by the regular employment that disability denies you access to.

If you have been disabled and can no longer continue to work in the same capacity as you have been before, receiving SSDI benefits as early as possible can help to keep your loved ones secure.