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What Is Substantial Gainful Activity (SGA)?

If you receive SSDI and want to work, you need to understand Substantial Gainful Activity (SGA). This limit determines how much you can earn before it affects your disability benefits.

In this article, we'll cover:

  1. What SGA means
  2. The 2026 SGA limits
  3. How SGA affects your SSDI
  4. Special rules and exceptions

1. What SGA Means

Definition: Substantial Gainful Activity (SGA) is work that involves doing significant physical or mental activities for pay or profit.

Breaking it down:

  • Substantial: Work that involves significant duties
  • Gainful: Done for pay or profit (or typically done for pay)
  • Activity: Physical or mental work

Why it matters:

  • SGA is used to determine initial SSDI eligibility
  • Also used during continuing disability reviews
  • Affects whether you can keep benefits while working

The key point: If you can perform SGA, SSA may determine you're no longer disabled.

2. The 2026 SGA Limits

Non-blind individuals:

  • $1,550 per month (2026)
  • Gross earnings before taxes
  • Adjusted annually for inflation

Blind individuals:

  • $2,590 per month (2026)
  • Higher limit recognizes unique challenges
  • Also adjusted annually

How earnings are counted:

  • Gross pay (before taxes)
  • Net self-employment income
  • After certain deductions (see below)

3. How SGA Affects Your SSDI

Initial application:

  • If you're earning over SGA, generally can't qualify
  • Shows you can still do substantial work
  • Some exceptions apply

After you're approved:

  • Trial Work Period protects you first
  • Then Extended Period of Eligibility
  • Consistently earning over SGA eventually ends benefits

Trial Work Period (TWP):

  • 9 months where you can work and keep full SSDI
  • No matter how much you earn
  • TWP month threshold: $1,110 (2026)
  • Months don't have to be consecutive

Extended Period of Eligibility (EPE):

  • 36 months after TWP
  • Benefits paid months you're under SGA
  • Suspended months you're over SGA
  • After EPE, benefits can terminate

Important: During the TWP, you keep full benefits regardless of earnings. SGA limits only apply after the TWP ends.

4. Special Rules and Exceptions

Impairment-Related Work Expenses (IRWE):

  • Disability-related costs deducted from earnings
  • Reduces your countable income
  • Examples: medication, transportation, attendant care
  • Can keep you under SGA even with higher earnings

Subsidies and special conditions:

  • If employer pays more than your work is worth
  • Or provides extra support/supervision
  • SSA may reduce countable earnings
  • Document these arrangements

Unsuccessful work attempt:

  • Work stopped or reduced due to disability
  • Within 6 months of starting
  • May not count against you
  • Shows inability to sustain work

Averaging earnings:

  • SSA may average earnings over time
  • Smooths out fluctuations
  • One high month doesn't necessarily mean SGA

Self-employment:

  • Different SGA rules apply
  • Based on net income
  • Three tests: significant services, comparability, worth of work
  • More complex than employee earnings

Tracking Your Earnings

What to track:

  • Monthly gross earnings
  • Any IRWE expenses
  • Special accommodations from employer
  • Hours worked

Why tracking matters:

  • Stay aware of SGA threshold
  • Document deductible expenses
  • Be ready for SSA reviews
  • Make informed work decisions

How Purple Helps

  • See income from all sources
  • Monitor monthly totals
  • Keep clear records
  • Easy access for SSA reporting
  • Stay informed about your work

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