Substantial Gainful Activity (SGA) Limits

One of the most important eligibility requirements for Social Security Disability Insurance (SSDI) is the Substantial Gainful Activity (SGA) threshold. This threshold is critical because it helps the Social Security Administration (SSA) determine if you can still engage in meaningful work despite your disability. The SSA sets a maximum income level that can be earned each month while still qualifying for SSDI benefits. If you earn above the SGA threshold, the SSA may determine that you’re capable of working and earning a substantial income, which may disqualify you from receiving SSDI benefits.

• $1,620 per month for non-blind individuals
• $2,700 per month for individuals who are blind

These earnings limits are designed to ensure that only individuals whose disabilities severely affect their ability to work and earn a living qualify for SSDI benefits. If your earnings exceed these limits, the SSA may assume that you are capable of performing substantial work activity and, therefore, might not be eligible for SSDI.

Understanding the SGA Threshold

The SSA uses the SGA limits as a way to determine whether or not you can engage in regular work activity. These limits are based on the presumption that if you can earn more than the SGA limit, then you have the capacity to maintain competitive employment, which implies you may not be severely disabled.

• If you are working part-time and earn less than the SGA limit, you may still qualify for SSDI, but it’s important to note that this depends on the severity of your disability.
• SSDI applicants who earn above the SGA threshold may find that their benefits are suspended or terminated because the SSA may view their income as proof that they can work full-time, negating the need for disability benefits.

Trial Work Period (TWP)

One exception to the SGA rule is the Trial Work Period (TWP), which allows SSDI recipients to test their ability to work for a limited time without losing benefits. During the TWP, you can earn more than the SGA limit without being disqualified from receiving SSDI benefits. For 2025, you can earn $1,050 per month (for any month you earn above this amount) and still retain your SSDI benefits, as long as you are in the trial period.

The trial period is designed to help individuals with disabilities assess their ability to return to the workforce without fear of losing the benefits that support them. The trial period lasts for 9 months within a 60-month window, and the SSA does not count these months toward your SGA limit.

After the TWP ends, if your earnings are still above the SGA threshold, the SSA will begin evaluating your ability to perform substantial gainful activity. If they determine you can work, your SSDI benefits may be terminated, but your benefits will not be revoked immediately after the trial work period.

Work Credits Requirement

Another critical factor in determining SSDI eligibility is the work credits requirement. Work credits are earned through employment and are based on the amount of income you earn. These credits are used by the SSA to determine whether you have worked enough to qualify for SSDI benefits. Each year, the SSA establishes a specific amount of income required to earn work credits.

In 2025, you will earn:

• 1 work credit for every $1,810 you earn
• To earn the maximum of 4 credits in a year, you need to earn $7,240

Most people need 40 credits in total to qualify for SSDI benefits. However, if you are under the age of 24, you may qualify with as few as 6 credits earned in the past 3 years. For those between the ages of 24 and 30, you will need 12 credits earned in the last 6 years. The number of credits required increases as you get older, reflecting the idea that older workers are expected to have worked longer and accumulated more credits.

How Credits Are Earned
Each year, you can earn up to 4 credits. This means that, for example, if you earn $7,240 in a year, you will have earned the maximum number of credits available for that year. However, if you earn less than this amount, you will earn fewer credits, and the total number of credits required to qualify for SSDI benefits may be out of reach.

It’s important to note that to qualify for SSDI, you don’t necessarily need to have earned credits every year of your working life. The SSA requires that you earn at least 20 credits in the last 10 years before you became disabled. This ensures that you’ve been employed recently enough to qualify for benefits.

• Individuals under 24 years old can qualify with as few as 6 credits earned in the past 3 years.
• Those aged 24-30 need at least 12 credits earned in the last 6 years.
• For workers aged 31 and above, you generally need 40 credits, with 20 credits earned within the last 10 years.

You also need to ensure that you earned enough credits in the right time period. The SSA does not consider older work credits if they’re too far in the past, so you must meet the recent work requirement to qualify for benefits.

For Younger Workers
If you are under the age of 24, the SSA understands that you may not have had enough time to earn a significant number of credits, and therefore, the work credit requirement is reduced for younger individuals. In this case, the SSA will lower the required amount of credits for people who have not yet reached their mid-20s.

No Asset Limits for SSDI

Unlike Supplemental Security Income (SSI), which has strict asset and income limits, SSDI does not impose any asset restrictions. This is one of the most important differences between SSDI and other assistance programs, such as SSI. SSDI is based solely on your work history and the severity of your disability, and not on the assets or savings you may have accumulated. This is a significant advantage for people with assets who may still qualify for disability benefits due to their inability to work.

Asset Limits in Other Programs
For comparison, SSI has strict asset limits. For example:

• An individual cannot have more than $2,000 in assets.
• A couple cannot have more than $3,000 in assets.

These asset limits apply to non-income-producing assets, such as cash, savings accounts, stocks, bonds, or property that is not your primary residence. SSDI, however, does not factor in your assets when determining your eligibility. As long as you meet the work credit requirement and meet the disability criteria, you can qualify for SSDI regardless of your financial resources.

Key Benefits of SSDI’s Lack of Asset Limits
Because SSDI does not have asset limits, it allows individuals who may have worked and saved throughout their lives to continue receiving benefits when they become disabled. Here are some of the key advantages of this feature:

• Wealthy individuals with disabilities can still qualify for SSDI benefits without being penalized for their assets.
• Homeownership, savings, and other property do not affect eligibility for SSDI, which is a major distinction from SSI.
• People with significant financial resources who become disabled will not lose out on SSDI benefits as long as they meet the work history and disability criteria.

This makes SSDI more accessible for individuals who may have had stable careers and accumulated savings but can no longer work due to a disability. Unlike other programs that penalize those who own property or have significant assets, SSDI ensures that disability benefits are provided based on need, work history, and the severity of the disability, not current financial status.

Eligibility for SSDI: A Summary
In summary, Social Security Disability Insurance (SSDI) is a federal program designed to provide financial assistance to individuals who can no longer work due to a disabling condition. The key eligibility factors for SSDI are:

• Meeting the Substantial Gainful Activity (SGA) limits for monthly earnings.
• Accumulating enough work credits over your lifetime, with most applicants needing 40 credits, including 20 credits in the last 10 years before becoming disabled.
• No asset limits: SSDI does not take into account savings, investments, or property when determining eligibility.

If you meet these requirements, you may qualify for SSDI benefits regardless of your assets or unearned income. It’s important to keep track of your work credits and understand how the SSA evaluates your disability. If you are unsure of your eligibility, it’s always a good idea to consult with a professional to help you navigate the SSDI application process.