Don't Give Up - Get Help With an SSD Appeal

If you had to appeal a negative Social Security Disability (SSD) decision, you are not alone. The Social Security Administration (SSA) reported that 2011 saw the highest number of SSD appeals. In 2011, the SSA received 859, 514 hearing requests, or appeals, and completed around 3.4 million disability claims.

More than have of those claims -at least 1.7 million -- were initially denied. If you do the math, you'll see that around half of the people who were denied actually took the next step and appealed the negative decision.
Applicants who enlist the help of an advocate such as Binder & Binder stand a better chance of succeeding on appeal. Applicants can also give themselves other advantages. Some tips:

• Don't give up. File an appeal.
• Show up for appointments and meet deadlines.
• Provide complete information and updates.
• Don't waste time trying to correct the initial claim.
• Don't minimize the extent of your disability. Don't be proud.
• Get help. Around 75 percent of claimants who appeal have professional assistance.

Because the SSD system is so large, and because there are so many applications, individual claimants can get lost in the shuffle through no fault of their own. Following these rules and getting needed assistance when filing and appealing may tip the scales in the applicant's favor.

Source: Houston Chronicle, "Social Security Disability Appeals Reached New Record in 2011," February 7, 2012.

Getting Married Could Cut SSI Benefits

An Idaho couple has learned the hard way that getting married might have been a bad idea, at least financially. They knew that they wouldn't be living a lavish life style - Trina was receiving SSI benefits, Alex was receiving SSD benefits, and both received food stamps. And before they got married in May, 2011, they checked with their local Social Security office to learn whether their benefits would be affected by marriage.

They were told that the consequences of getting married would be minimal - maybe five or ten dollars. However, the reality was quite different. A month after their wedding, Trina received a letter informing her that her benefit was going to be cut from $674 a month to $369. In addition, the couple was told in January that their food stamps were going to be cut from $400 a month to $275.

Alex's disability benefits are not affected by his marriage because SSD is based on how many years the recipient worked and how much was paid into the system. However, SSI is a need-based program, and other income, such as that received by a spouse, will be included when calculating the amount of the benefit.

Both Alex and Trina are unable to work because of bi-polar disorder. In addition, Trina has seizures and other mental issues that make it very difficult for her to go outside. Trina says, "We probably wouldn't have gotten married," if they had known what it would cost them. Neither the Social Security Administration nor the Idaho Department of Health and Welfare would comment on the specifics of Trina and Alex's case.

Source: CDA Press, "The Cost of Marriage," By Alecia Warren, Feb. 6, 2012.

If You Live in Rural America, Your Chances of Relying on SSD Are Greater

It turns out that if you live in a rural area, you are more likely to rely on Social Security Disability benefits. The reasons for this are complex. However, a recent article in the Kansas City Star reported that while 1 in 20 people receive SSD in Kansas City, the number increases to 1 in 8 when you get into the rural counties of southern Kansas.

One of the reasons is that much of the work available in rural areas, such as farming, road work and manufacturing, requires a certain level of stamina and health. If you're disabled and cannot do these types of jobs, there isn't much else for you. "You find higher rates in counties historically reliant on extraction industries - mining, agriculture, forestry," said Tim Marema of the Center for Rural Strategies. Jobs in these industries typically require significant strength and function. And when these industries leave an area, there is often no other work, especially for a disabled individual.

Another reason is that rural areas are poorer, and poverty has been shown to increase rates of poor health and disability. Yet another cause of this phenomenon is that medical care - the kind of care that might be able to prevent illness and disability - is usually limited in rural areas. And rural areas seldom have public transportation, making it ever harder to get to the few doctors who do practice in rural areas or get to the kind of job where disability is not a problem.

Residents of rural counties are less likely to have health insurance, further limiting their ability to receive appropriate and timely medical care and increasing their risk of being unable to work. They are less likely to have high school diplomas, making them ineligible for the few doable jobs that may exist.

Whatever the causes of their disabilities, people in rural parts of Kansas and Missouri receive SSD benefits for a host of reasons, including chronic diseases such as muscular dystrophy, multiple sclerosis, back pain, heart disease, mood disorders, and work and war-related injuries.

Source: Kansas City Star, "Rural communities have strongest reliance on disability benefits", by Rick Montgomery, Jan. 29, 2012.

Increase for Recipients of SSI Benefits in 2012

After two years of no increases in the benefit amount for recipients of Supplemental Security Income (SSI), the government announced last fall that individuals receiving that benefit would see a cost of living increase. The increase took effect in the last days of December 2011.

The increase - 3.6 percent -- will affect the more than eight million people currently receiving SSI benefits. SSI is a federal program for the blind and disabled, as well as seniors who are ineligible for regular Social Security benefits for the elderly. Children who are blind or disabled may also be eligible to receive SSI benefits.

After the increase, the maximum amount available through the SSI program in 2012 is $698 for an individual and $1,048 for a couple. However, some states will add money to this amount and it may be possible to receive a higher benefit, depending on where the recipient lives.

The increased benefit amount is a cost of living adjustment (COLA) and is determined by the third quarter increase in the Consumer Price Index (CPI) over that of the previous third quarter. The preliminary amount of the benefit increase was announced in October after the CPI had been calculated.

Source: Social Security Administration Press Office, Social Security Announces 3.6 Percent Benefit Increase for 2012, Oct, 19, 2012.

SSA Trying to Reduce Number of People Who Die While Waiting for Benefits

Terminally ill SSD applicants have been caught in the backlog of Social Security Applications and many have have died while waiting for a decision on their appeals. The SSA has a special code for applications in this category: DXDI.

Since 2005, the SSA has coded 15,043 files as DXDI, which means that an appeal was dismissed because the applicant died while waiting for benefits. The stories about applicants who died while waiting are surreal and tragic; one is the story of Dexter E. Penny of District Heights, Maryland.

In September, 2010, Dexter Penny was dying in the hospital; his colon cancer had progressed to stage four. The SSA had contacted him to get more information about his ability to work. He died in December, 2010. On the day of his funeral, he was notified that he had been granted benefits. He received another letter on January 31 revoking those benefits because he had not responded to the previous letter.

Because of stories like this, the SSA has developed a program that lets people suffering from terminal illness go to the front of the line. Moreover, the SSA has increased the number of diseases - now 113 -- that qualify applicants for immediate review. These now include leukemia and pancreatic cancer. Because of changes such as these, the number of people who died while waiting has decreased from its high in 2009.

Source: Wall Street Journal, "Growing Case Backlog Leaves the Terminally Ill Waiting", by Damian Paletta and Dionne Searcey, Dec, 28, 2012.

Unemployment Benefits: How They Can Affect a Claim for Social Security Disability Benefits

Applying for and receiving unemployment benefits can pose a problem, especially if you have a claim for Social Security Disability (SSD) or Supplemental Security Income (SSI).  By applying for both sets of benefits, you are making two statements that are rather contradictory. First, by applying for and receiving unemployment benefits, you are claiming that you are able to work, but you are unable to find employment. By then applying for Social Security Disability or Supplemental Security Insurance benefits, you would be indicating that you are unable to perform any type of work as a result of a disability that has lasted, or is expected to last, at least twelve-months. Indicating that you are both able to work and unable to work simultaneously. Because these two statements contradict one another, it can lead to problems of credibility with regards to your disability. More specifically, if you indicate to one government agency that you can work, and then indicate to another that you cannot, an Administrative Law Judge may find your testimony regarding your claimed disability to be less credible.  

The good news, however, can be found in a memo that was issued on August 9, 2010. Therein, Frank A. Cristaudo, former Chief Administrative Law Judge, provided a reminder to all Administrative Law Judges that stated, “Receipt of unemployment benefits does not preclude the receipt of Social Security disability benefits. The receipt of unemployment benefits is only one of many factors that must be considered in determining whether the claimant is disabled.” So, what does this mean? Well, simply put, it means that while applying for and receiving unemployment benefits does not automatically preclude you from receiving SSD or SSI benefits, it will be one of the many factors and Administrative Law Judge will take into consideration when determining if you qualify to receive said benefits.

A New Year

Last year brought a lot of new and interesting discussions to our blogs (here and here). We offered a plethora of information to help our clients through the Social Security Disability process, and we plan to continue to do so! But, before we get a jump start on this New Year—let’s look back on some of the important topics from last year.

Electronic Social Security Disability Checks—Last May, we blogged about the end of an era. At that time, we mentioned that (in less than two years!) the Social Security Administration was no longer going to be issuing disability payments in the form of paper checks. In an attempt to cut costs, the SSA will soon be switching over to fully-electronic direct deposits for disability payments. The upside to electronic payments still remains…Electronic payments will almost guarantee that one's payment cannot be misplaced, sent to the wrong address, ruined in the rain, or eaten by the dog!

The threat of a possible Governmental Shutdown lead to a discussion about Governmental Budget Woes…Again—These types of blogs are never our favorite to write; there is nothing appealing about being the bearer of bad news! But, we were happy to report that they government did not, in fact, shut down. The ‘budget woes,’ on the other hand, are still an issue. We want to reassure our clients that, regardless of any outside factors—governmental, or otherwise, we will continue to operate as normal. At Binder & Binder®, it’s business as usual, and we’re going to continue working hard for our clients regardless of what happens.

Social Security Disability Case Stages—We know how long and difficult the Social Security Disability process can be. We took the time to break down the process, explain each stage in the game, and provide estimated time frames for the stages according to information from the Social Security Administration. The Social Security Disability Process, when broken down into the individual stages, consists of the Initial Application, Reconsideration, Hearing, and Appeals Council. Using the highest averaged amount of time per stage, the SSA averaged that some claims can take over 3 years before a final decision is rendered.

Most recently, we blogged about future changes to the Social Security Administration that were In The News—Due to recent controversy over a number of speculated flaws with the system, the SSA indicated they were going to commission an independent review of the system. With any luck, the review of the system would take a deeper look at the extreme inconsistency in benefit award rates that exist from one Administrative Law Judge to the next. Recommendations for improvement as a result of the review are expect to be available sometime this year.

The New Year is bound to bring new updates, new blogs, and new stories from us—be sure to check in often to stay up-to-date!