Purple
Menu
Purple
Purple··3 min read

What Happens If You Get a Job While on Disability?

You can work while receiving disability benefits—and work incentives help protect your benefits during the transition. Here's how it works.

In this article, we'll cover:

  1. Working with SSI
  2. Working with SSDI
  3. Work incentives
  4. Protecting your benefits

1. Working with SSI

How earnings affect SSI:

  • First $65 not counted
  • Plus $20 general exclusion
  • Then half of remaining counted
  • Reduces SSI payment

Example:

  • Earn $500/month
  • -$65 (work exclusion)
  • -$20 (general exclusion)
  • = $415 counted
  • ÷ 2 = $207.50 reduction

You still come out ahead:

  • Total income increases
  • Never lose dollar for dollar
  • Working always pays
  • Gradual reduction

When SSI stops:

  • When countable income too high
  • But 1619(b) protects Medicaid
  • Can return to SSI easily
  • Safety net remains

Important: On SSI, you always keep more money by working than by not working. The system is designed to make work pay.

2. Working with SSDI

Trial Work Period (TWP):

  • 9 months (not consecutive)
  • Earn any amount
  • Keep full SSDI
  • Test your ability

2026 TWP month:

  • Any month you earn over $1,160
  • Counts toward 9 months
  • Within 60-month window
  • Full benefits continue

After TWP:

  • Extended Period of Eligibility (EPE)
  • 36 months
  • SGA limit applies ($1,620)
  • Benefits stop if over SGA

Expedited reinstatement:

  • If benefits stopped
  • Work doesn't work out
  • Can restart within 5 years
  • Quick reinstatement

3. Work Incentives

For SSI:

  • Student Earned Income Exclusion
  • PASS (Plan to Achieve Self-Support)
  • IRWE (Impairment-Related Work Expenses)
  • Blind Work Expenses

For SSDI:

  • Trial Work Period
  • Extended Period of Eligibility
  • Expedited Reinstatement
  • IRWE deductions
  • Subsidy and special conditions

For both:

  • Ticket to Work program
  • Continued Medicaid/Medicare
  • Vocational Rehabilitation
  • WIPA counselors (free help)

Getting help:

  • WIPA (Work Incentives Planning)
  • Free benefit counseling
  • Understand your situation
  • Plan before starting

4. Protecting Your Benefits

Before starting work:

  • Talk to WIPA counselor
  • Understand impact
  • Plan for changes
  • Know the rules

While working:

  • Report earnings promptly
  • Keep pay stubs
  • Track work incentive months
  • Monitor benefits

Common concerns:

  • "Will I lose Medicaid?" (Usually no)
  • "Will I lose all benefits?" (Gradual)
  • "Can I go back?" (Yes)
  • "Is it worth it?" (Often yes)

Safety nets:

  • 1619(b) for SSI Medicaid
  • EPE for SSDI
  • Expedited reinstatement
  • System supports transition

Making Work Work

Starting slowly:

  • Part-time often best
  • Build up gradually
  • Test your capacity
  • Use trial work period

Tracking everything:

  • Hours worked
  • Earnings each month
  • Work expenses
  • Accommodations used

Planning ahead:

  • What if health changes?
  • What if job ends?
  • Build savings (ABLE)
  • Know return path

Resources:

  • Vocational Rehabilitation
  • Ticket to Work
  • Job accommodations
  • WIPA counselors

How Purple Helps

Purple supports your work journey:

  • Track earnings alongside benefits
  • See total income picture
  • Monitor SSI balance
  • Easy record keeping
  • Manage transition

Built by people who manage disability benefits for their families

Join thousands of families who trust Purple to protect their benefits

Purple is a financial technology company, not a bank. Banking services are provided by OMB Bank, Member FDIC.