The Social Security Administration (SSA) is tasked with administering critical Social Security disability benefits to those needing and qualifying for them in the U.S. These benefits are funded by payroll deductions that are required pursuant to the Federal Insurance Contributions Act (FICA). FICA payroll deductions are used to cover the costs associated with Social Security benefits that include things like retirement and spousal and survivors’ benefits.

Social Security disability benefits help those Americans who suffer from disabling conditions that impact a person’s ability to maintain gainful employment. These are people that come to rely on Social Security Disability benefits to pay necessary costs of living. If you are applying for Social Security Disability benefits, you may be wondering how much these benefits will actually pay out each month. Unfortunately, this can be very difficult to determine, but certain guidelines are in place that can help answer this important question.

How Much Does Social Security Disability Pay?

The amount of money you will receive in Social Security Disability benefits will depend on several different factors, including how much money you have paid into the Social Security system. In fact, the SSA sends out an annual Social Security Statement that will inform you as to how much money you would be entitled to should you become disabled and require disability benefits. This statement is considered to be the most accurate means of estimating your monthly benefit payment amount.

Should you not want to wait for your Social Security statement, you may utilize the SSA’s online benefits calculator in order to estimate your disability pay. While not guaranteed to be a completely accurate reflection of the benefits you will receive, it can give you a good general idea.

In calculating your disability pay, the SSA will use your earnings history. More specifically, the SSA uses your Average Indexed Monthly Earnings (AIME) and Primary Insurance Amount (PIA) in its complex calculation of your benefits. To arrive at your AIME, the SSA adds up your highest indexed earnings over the year. The total is then divided by the number of months in the relevant years.

After rounding down on this average, the SSA arrives at your AIME. Your PIA, another significant number in your disability pay calculation, is based on three fixed percentages of your AIME. The figures resulting from these amounts are referred to as “bend points.” Bend points reflect your base benefit amount.

On top of all of this, there may also be relevant benefit reductions to take into account. Your disability benefits application will be reviewed for what is referred to as “offsets.” Offsets can include things such as disability payments you are currently receiving or have received. For example, these “offset” disability payments may include workers’ compensation settlements. An offset can potentially lower the disability benefit amounts you will receive.

Social Security Disability Attorney

If you are in a position where you are seeking Social Security Disability benefits, you are likely concerned with the pay you will receive should your benefits application be approved. Like so many aspects of the Social Security Disability system, payment calculations are complicated, to say the least. The knowledgeable disability attorneys at Roeschke Law are here to not only answer your questions, but to help you navigate this often frustrating, but very necessary process. Contact us today.