Social Security Disability Insurance (SSDI) and Supplemental Security Income (SSI) are two programs administered by the Social Security Administration (SSA) that provide financial assistance to individuals who are unable to work due to a physical or mental impairment. While both programs are designed to help those with disabilities, there are some important differences between SSDI and SSI:

Eligibility requirements: To be eligible for SSDI, you must have a work history and have paid into the Social Security system through payroll taxes. SSDI benefits are based on the amount of money you have earned and the number of work credits you have accumulated. In contrast, SSI is a need-based program that is available to individuals with limited income and assets. You do not need a work history to be eligible for SSI.

Amount of benefits: The amount of SSDI benefits you receive is based on your work history and the amount of money you have earned. In general, the more you have worked and earned, the higher your SSDI benefits will be. SSI benefits, on the other hand, are based on the federal benefit rate, which is set by Congress and is adjusted annually. As of 2021, the maximum federal benefit rate for an individual is $794 per month and $1,191 per month for a couple.

Work incentives: SSDI provides several work incentives to help individuals with disabilities return to work. For example, the Trial Work Period (TWP) allows you to work for nine months within a five-year period and still receive SSDI benefits, as long as your earnings do not exceed the substantial gainful activity (SGA) threshold. SSI does not have a TWP, but it does have a program called the Plan to Achieve Self-Support (PASS) that allows you to set aside money to reach a specific work or education goal.

Impact on other benefits: SSDI benefits may impact your eligibility for other programs, such as Medicare or Medicaid. If you receive SSDI, you will automatically be enrolled in Medicare after you have received benefits for 24 months. SSI benefits, on the other hand, may make you eligible for Medicaid.

Overall, SSDI and SSI are two programs that provide financial assistance to individuals with disabilities. While both programs are designed to help those with disabilities, there are important differences in terms of eligibility requirements, amount of benefits, work incentives, and impact on other benefits. It is important to understand these differences and to carefully consider which program is right for you.