Why would Disability Benefits Be Suspended?

There are several reasons why your disability payments may cease or be suspended. Usually, benefits stop because you make too much money or because you are no longer disabled based on the SSA's definition, although there are other possible reasons for a cessation of benefits as well. If you are dependent upon SSI or SSDI benefits for your income, it is important to know why those benefits might be suspended so you can take steps to protect yourself.

Eligibility for Disability Benefits 

If you are disabled, you may receive benefits from either Supplemental Security Income (SSI) or Social Security Disability Insurance (SSDI). SSI is based upon your financial need as well as your disability status, while SSDI is based upon the amount of time you have worked and paid Social Security taxes. 

The definition of “disability” is the same for both programs. The Social Security Administration has a long of list of impairments that will automatically enable you to be classified as disabled if you meet the symptoms described for your impairment in the "blue book." If your disability is not on the list, then it will be compared to those on the list to determine if it is of equal severity. To be eligible for benefits, your disabling condition also needs to have lasted for 12 months, be expected to last for 12 months, or be expected to be fatal.     

In order for you to qualify for disability, your condition also must keep you from “substantial gainful activity”.  This, in essence, means that you can’t make more than a certain amount of money if you work. The maximum for 2011 is $1000 a month, or $1640 a month if you are blind for SSI, while SSDI will allow you to participate in a trial work period and earn more without benefits being affected for a period of time. 

Reasons Benefits Stop 

Assuming you qualify and are receiving benefits, there are two main reasons why disability benefits are suspended: your income level is too high, or it is the decision made during a review of your condition.   

Income and SSI/SSDI

If you begin working and are able to work at a substantial level, then you are no longer eligible for SSI. The substantial level is determined year by year and usually changes every year.  

For SSDI, the process is a bit different. If you exceed the amount of months you can work and earn substantial income under SSDI, then your benefits may also stop. If it is during the trial work period, your benefits may only stop for the month during which your income exceeds a certain level, or you may be able to get the benefits back using a process called "expedited reinstatement."

Disability Review and Benefits

The other reason your benefits may stop is as a result of a review of your condition. While you are receiving benefits, you are subject to regular reviews called a continuing disability review, or CDR. These reviews are usually scheduled every three or seven years, depending on the severity of your disability and how soon it may improve, if ever. If it is expected that your condition may improve quickly, then a review may be scheduled between 6 and 18 months. If the SSA determines in your review that you have improved and no longer meet the definition of disabled, then your benefits will end.

Other Reasons for an End to Benefits

While the above two reasons are the most common reasons for disability benefits to be suspended, there are also a few other reasons that are not encountered as often. These include:

• Being convicted of a crime.
• Violating your parole.
• Having an outstanding warrant for your arrest if it is for violating parole or escaping to avoid prosecution. 

Lastly, if it is discovered that you knowingly supplied false information, then your benefits will stop. The first violation will result in them being suspended for six months, the second for 12 months, and the third for 24 months.  

Right to Appeal 

When the decision has been made to suspend your payments, you will receive a letter.  If you wish to appeal that decision, you have 60 days to make a request in writing. You may still be able to appeal after that period if you have a good excuse for being late.  If you send the appeal letter within 10 days, you can request that the payments continue until the appeal is decided.

There are four levels of the appeal process:

• Reconsideration: Reconsideration calls for a complete review of your claim by someone who had no part in the original decision
• Hearing: A hearing is held before an administrative law judge. You are allowed to bring witnesses and present new information.
• Appeals Council: The Social Security’s Appeals Council will review all the appeal requests if a hearing does not result in an approval of benefits and if you wish the prior decisions to be reviewed. 
• Federal Court.  

If you do not agree with the decision at one level, you have 60 days to appeal on the next level. 

Getting Help

If you have been collecting disability benefits and those benefits have ceased, you should strongly consider speaking with an attorney. Your lawyer can help you to understand what options you have for restarting your benefits and can help you to resolve the problem as quickly as possible so you can get the income you need.