The most important part when filing for Social Security starts with the date of application. An applicant can receive benefits back to their date of application and potentially receive retroactive benefits during the year prior to their application date. The second most important factor is the onset date of disability, or when the disability began. This date is called the alleged onset date of disability (AOD). Everyone approved for benefits is given an established onset date (EOD). This date is determined by Social Security and is considered to be the date for when a claimant’s disability actually began. The EOD is based on medical records/documentation and work history.
However, the rules under Supplemental Security Income (SSI) are slightly different from the information provided above. For SSI, the date of disability is the date of the application and recipients are not awarded any additional backpay benefits. The date of disability is often before the application date, but Social Security will not set an EOD before the date of application. The SSI recipient can only start receiving benefits from the date of the application to the present time of award.
If you are approved for Social Security or SSI disability, the Social Security Administration (SSA) will likely owe you hundreds of dollars in backpay, due to the time it takes the SSA to process disability claims. When you receive the payments depends on whether you’ve been approved for Social Security Disability (DIB) or Supplemental Security Income (SSI).
Social Security Disability benefit (DIB) recipients, will receive backpay and possibly retroactive benefits (payments from the disability of application date) in one lump sum installment. Backpay are past due benefits, the benefits Social Security would have started to pay you. Retroactive benefits can be paid for the months you were disabled and unable to work before you applied for DIB. To be paid for retroactive benefits you must prove you were disabled prior to the application submitted to Social Security and that you were disabled at least 5 months before the initial application date.
If you are approved for Supplemental Security Income (SSI) benefits, you will receive backpay generally in three payments within 6 month intervals. The first two payments never exceed 3 times the maximum monthly benefit, generally payments 1 and 2 are $2,000.00. The remainder of the backpay is paid in the third installment and does not have a cap on the amount paid to the claimant. However, because SSI is a needs based program, the first and second payments have the potential to be increased if you have necessary medical needs or debts related to housing, food, or clothing. You may also receive backpay in one lump sum if you are expected to die within 12 months or if you become ineligible for SSI.
