If you are applying for Social Security Disability benefits, an important term you will encounter is “Substantial Gainful Activity” or SGA. The Social Security Administration (SSA) uses this concept to determine if a person is eligible for disability benefits.
Whether you are applying for Social Security Disability Insurance (SSDI) or Supplemental Security Income (SSI), understanding Substantial Gainful Activity is essential to your case.
What Is Substantial Gainful Activity?
Substantial Gainful Activity refers to any work that a person engages in for profit or pay, and that involves a significant level of physical or mental activity.
In simpler terms, if you are working and earning income above a certain threshold, the Social Security Administration may conclude that you are not disabled under their rules because you are able to engage in Substantial Gainful Activity.
The Social Security Administration sets a specific income limit each year that defines what counts as substantial gainful activity.
For 2024, this threshold is $1,550 per month for non-blind individuals and $2,590 per month for individuals who are blind.
For 2025, this threshold is $1,620 per month for non-blind individuals and $2,700 per month for individuals who are blind.
If your earnings exceed these amounts, the Social Security Administration typically assumes that you are capable of substantial work and, therefore, not eligible for disability benefits.
Why Is SGA Important in Arkansas Social Security Disability Claims?
Substantial Gainful Activity is a critical part of the disability evaluation process because the Social Security Administration uses it to assess your ability to work.
To qualify for benefits, you must demonstrate that your medical condition prevents you from performing any Substantial Gainful Activity.
If you are earning more than the SGA threshold, the Social Security Administration is likely to deny your application because they will assume you can support yourself through work.
There are a few key points to consider about Substantial Gainful Activity:
Initial Application
When you first apply for disability benefits, the Social Security Administration will check whether you are currently engaged in Substantial Gainful Activity. If your earnings exceed the SGA limit, your claim will be denied before they even review your medical condition.
Ongoing Eligibility
Even if you are already receiving benefits, engaging in Substantial Gainful Activity can affect your continued eligibility. Social Security Disability Insurance recipients may be subject to periodic reviews, and if it is determined that you are working and earning above the SGA level, your benefits could be terminated.
Exceptions to the Substantial Gainful Activity Rule
While Substantial Gainful Activity is a strict threshold, there are some exceptions and special rules to be aware of:
Trial Work Period
Social Security Disability Insurance recipients are allowed a trial work period, during which they can test their ability to work without losing their benefits.
During this period, you can earn more than the SGA limit for up to nine months without your benefits being affected. However, after the trial work period ends, if you continue to earn above the SGA level, your benefits may stop.
Impairment-Related Work Expenses
If you incur certain expenses related to your disability that are necessary for you to work, such as special equipment or transportation, these costs can sometimes be deducted from your earnings when determining whether you meet the SGA threshold.
Self-Employment
If you are self-employed, the SSA uses a more complex evaluation to determine if your work qualifies as SGA. They look at both your income and the amount of time and effort you spend on your business.
Substantial Gainful Activity plays a vital role in Arkansas Social Security Disability claims determinations. If your income exceeds the SGA threshold, the Social Security Administration may deny your claim, regardless of your medical condition.
Understanding how Substantial Gainful Activity works, including the exceptions and trial work period, can help you navigate the disability process more effectively.
If you have questions about how Substantial Gainful Activity might affect your claim or need assistance applying for disability benefits, contact an experienced Arkansas Social Security Disability lawyer. A knowledgeable disability lawyer can guide you through the complexities of the system and help you build a strong case for the benefits you deserve.
At The Krebs Law Firm, we fight as hard as we can to help you get the disability coverage you deserve. Call today for a free consultation at (870) 741-8100 or toll free at (800) 345-0535.
It can be daunting learning the ins and outs of Social Security Disability benefits, but it’s not a task you need to take on alone. Call on an Arkansas Disability Attorney from The Krebs Law Firm to help you every step of the way.
We offer a free book on Social Security Disability benefits to Arkansas residents. Give us a call at (870) 741-8100. We have an office in Harrison, Arkansas just a couple of doors down from the Harrison Social Security Office.
Jason Krebs is licensed in both Arkansas and Missouri. Our main office is in Springfield Missouri. Our Harrison Arkansas office is by appointment only. The address is 125 Industrial Park Road Suite E1 Harrison Arkansas 72601. Our local phone number in Harrison is (870) 741-8100. Our Toll Free phone number is (800) 345-0535. You can also send us an email to [email protected].