Social Security Disability Recipients Could Face Drastic Benefits Cut
July 11th, 2012
The trustees of Social Security and Medicare announced that people who benefit from their programs will face a cut in benefit of up to 25 percent by the year 2033 if Congress does not step in. Unfortunately, it is speculated that Social Security Disability beneficiaries will see their checks reduce by 21 percent within the next four years because of the drastic increase in Social Security Disability claims.
Nearly one million disability claims have been filed in the last three years and this is attributable to a number of factors, including:
- Social Security Administration broadening the definition of disability
- Unemployment benefits expiring, and
- The recessions impact on the job market.
The program has expanded in the past few decades and now covers workers under the age of fifty, disabled spouses of deceased workers and disabled children who were never able to work. It has also broadened the spectrum to include mental impairments rather than just physical ones.
At this point in time, one out of every eight working-age, nonretired individual receives disability payments. Mental disorders claims have more than tripled from 10 percent in 1982 to 32.8 percent in 2012, most of which are attributed to mood disorders such as depression or anxiety. The most common type of claims for middle-aged people is back or neck problems that have increased 31 percent. Less than one half of people who receive disability benefits ever return to work.
The Organization for Economic Cooperation and Development found a correlation between the unemployment rate and the increase in claims filed for disability. They state that every time the unemployment rate increased by one percent, the number of disability applications filed increased by ten percent.
At Pulgini & Norton, we represent clients in the Boston area and through the Eastern Massachusetts counties of Norfolk, Bristol, Middlesex and Worcester. We help them to successfully negotiate the process of applying for social security disability benefits by providing a range of services including:
Filing the initial claim Gathering the required medical documentation Reconsideration hearings Administrative appeals
With nearly 40 years of combined experience with SSDI claims, we have a thorough understanding of the law, as well as the technical and procedural aspects that can affect the outcome of your case. For more information regarding your Social Security Disability claim please contact us at (781) 843-2200 or 781-843-2200, or email us.Cited Sources:
Social Security Disability Recipients to Take 21-percent Cut , The New American, June 26, 2012
Social Security Finances Significantly Worse, Says 2012 Trustees Report , The Heritage Foundation, April 23, 2012