Workers in Ohio who are injured or become ill because of their work will have the right to seek workers’ compensation benefits. Some will also have the right to get Social Security Disability benefits. However, a source of confusion regarding the two programs can leave some wondering whether they can get both and how one set of benefits might affect the other. Understanding how workers’ compensation can affect SSD benefits is crucial.
If the person is receiving disability from a private source, like insurance or a private pension, it will not affect SSD benefits. But, if it is a public disability benefit like workers’ compensation, it might force the SSD benefits to be reduced. A worker will receive workers’ compensation because he or she became injured or ill due to the job. This can be paid by a variety of sources. When getting workers’ compensation and SSD benefits, the total amount that the worker gets cannot go beyond 80 percent of the average earnings prior to suffering the disabling issue.
To calculate the reduction, the amount the person gets in SSD benefits will be added to the workers’ compensation benefits. If it surpasses 80 percent of what the person received on average when working, the extra amount will be subtracted from the SSD benefit amount. An example is the following: a person who earned $4,000 each month would be able to get $2,200 in SSD benefits. There will also be $2,000 per month in workers’ compensation. That comes to $4,200. Since this is more than the 80 percent, or$3,200, the SSD benefits will be reduced until it reaches $3,200. In this case, that would be $1,000 less in SSD benefits.
There are certain public benefits that will not have an impact on SSD benefits. They include: Veterans Administration benefits; benefits from state and local government if there were Social Security taxes deducted from the person’s earnings; or Supplemental Security Income.
People are often unaware that they can receive both workers’ compensation and SSD benefits. Or, they might not realize that they must report their income to ensure they are getting the correct amount. If there is confusion or any other issue related to being compensated by the Social Security Administration and workers’ compensation, a legal professional experienced in Social Security Disability and workers’ compensation law can help.
Source: ssa.gov, “How Workers’ Compensation Benefits and Other Disability Payments May Affect Your Benefits,” accessed on Dec. 18, 2017