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New disability coverage
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January 11, 2001: 7:08 a.m. ET
New rules allow people with disabilities to work more without losing benefits
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NEW YORK (CNNfn) - Americans with disabilities will now have more resources and opportunities to test their ability to work without fear of losing their cash benefits and health care coverage, according to a trio of new rules released by the Social Security Administration this week.
The new rules are part of a package of proposed regulations announced by President Clinton as part of the 10th anniversary of the Americans with Disabilities Act in July. The rules are effective retroactively to Jan. 1.
"These regulations will encourage individuals with disabilities to test their ability to work," said Kenneth S. Apfel, Commissioner of Social Security.
The amount of monthly earnings that a person can take home without losing benefits has been increased by $40 to $740. Called "substantial gainful activity" (SGA), the approved amount will now be automatically adjusted annually based on increases in the national average wage index.
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These regulations will encourage individuals with disabilities to test their ability to work.
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Kenneth S. Apfel
Commissioner of Social Security |
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In addition, a person can test his ability to work at a job for nine months without losing benefits. There has been a $230 increase in the amount of monthly earnings that a person can take home during this period, to $530 a month. The approved amount for the "trial work period" (TWP) will also be automatically adjusted annually.
Another new rule allows more income to be excluded when a student who receives Supplemental Security Income (SSI) returns to work. Currently, when a student under 22 goes back to work, earned income of up to $400 a month and $1,620 a year is not counted when determining eligibility for benefits. The new rule allows earned income of $1,290 a month and $5,200 a year to be excluded, with the amount automatically adjusted annually.
The SSA pays cash benefits to people who, due to the onset of a disability that is expected to last more than a year or result in death, are unable to earn a substantial wage. SSA administers two disability programs: Social Security Disability Insurance and Supplemental Security Income. 
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Social Security
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