How Legally To Make A Pile Of Money And Keep Your Disability Benefits!
(Don't miss this lesson)



In the
previous lesson, Get All The Benefits You Are Entitled To, we covered how much you can make and keep your benefits and how to determine if you are getting all the benefits to which you are entitled.

     These tips are pretty straight forward if you are earning a salary and receiving a W-2 at the end of the year.   The good news is the rules provide some real flexibility if you are self-employed or own a business.  

     The key to understanding the rules and how the self-employed can Make A Pile Of Money And Keep their Benefits lies in Social Security’s Trial Work period (TWP).

Here is the condensed version of TWP.  

The Trial Work Period starts the month you make over $750 in 2014 and lasts for nine months.  The TWP months do not have to be consecutive.   The real benefit is you can a significant amount of money during each of the nine months and still receive your full disability check.  

I repeat ...you can make a significant money as you can during the nine months of working and still receive your full disability check.  And because I'm not a tax guy I will leave it to you to determine significant. 

Once you have used up your nine TWP months, then any month thereafter where you earn over $950 in 2014, you will not receive your disability check. 

Step-by-Step strategy to Make A Pile Of Money And Keep Your Benefits.  

1.  Always report your earnings activity to SSA and pay all your taxes.

2. If you are self-employed and don't run your business through a corporation it is recommended that you do.  Learn all the details here. 
  
3.  Keep your personal earnings below $750.00 per month with checks from your corporation to you, individually.

4. Deduct all your expenses. SSA allows deductions for the cost of any item or service you need to work, even if it is a service to assist you or is  beneficial to your daily living.  Examples include prescription drugs, transportation to and from work (under certain conditions), a personal attendant or job coach, a wheelchair, or any specialized work equipment.

5. Then, use one of your trial work months once a year to pay out the mother lode of income to yourself. 


Because your trial work period is 60 months and with this strategy you only use one TWP a year you will have more Trial Work Months than you need.  So you can Make A Pile Of Money And Keep Your Benefits. 

Important to note that you only have one trial work period while you are on social security disability.  So make the best of it.

To learn the details about the TWP, extended period of eligibility, expedited reinstatement, continuation of Medicare, work expenses related to your disability, and the nitty-gritty details so you have an in-depth understanding of the
guidelines, visit this SSA website: 
http://www.ssa.gov/pubs/10095.html

 


Three more tips to know if you are self-employed

 

1. Countable income

SSA does not consider your income towards your SGA amount rather your income after expenses which they call countable income. 

Expenses that can be used are vast. From the obvious computer, cell phone and internet bill to medications, and work place accommodations. 

2. Average countable income

If your countable income is over the SGA in a given month, no worries because your countable income is averaged over 12 months. 

For the details see section 3 of Social Security regulations AKA CFR below to learn all about countable income, averaged income and the expenses you can deduct. 

http://www.ssa.gov/OP_Home/cfr20/404/404-1575.htm

 

3. The reentitlement period

This is a bonus work period to be used after you TWP that allows you to work up to and extra 9 months earn over the SGA. If your income falls below or you stop working during the 9 months reentitlement period your benefits can be reinstated.

You can file for reentitlement upto 60 months after your benefits have stopped and get six months of provisional benefits while SSA determines
if you are entitled to a reinstatement.



It's our pleasure to help you understand how you can supplement your income.

Sincerely,


Brian Therrien
P.S.  All Lessons About Maximizing Your Benefits Are Right Here!
Introduction| Lesson 1Lesson 2  | Lesson 3 | Lesson 4