Can You Work While Receiving SSDI in Iowa?

Many Social Security Disability Insurance recipients in Iowa worry that any work activity will immediately end their benefits. The reality is more nuanced. The Social Security Administration has built specific programs and protections into the system that allow SSDI recipients to test their ability to work without automatically losing their monthly payments. Understanding these rules is essential before you accept even a single shift.

The Trial Work Period: Your Protected Window

The SSA grants every SSDI recipient a Trial Work Period (TWP) — nine months within a rolling 60-month window during which you can work and earn any amount without affecting your benefit payments. In 2025, a month counts as a TWP month if you earn more than $1,110 in wages or work more than 80 hours in self-employment.

These nine months do not have to be consecutive. You could use three months one year and six the next. During this entire period, your full SSDI payment continues regardless of how much you earn. The TWP exists specifically to encourage beneficiaries to test their capacity for work without financial penalty.

Iowa residents should be aware that state-level programs, including Iowa Vocational Rehabilitation Services, can assist you in returning to work during the TWP without jeopardizing your federal benefits. Coordinating with vocational rehabilitation before beginning any work is a smart protective step.

Substantial Gainful Activity: The Number That Matters Most

Once your Trial Work Period is exhausted, the SSA evaluates whether your earnings constitute Substantial Gainful Activity (SGA). For 2025, SGA is defined as earning more than $1,550 per month for non-blind individuals and $2,590 per month for blind individuals.

If your monthly earnings exceed the SGA threshold after your TWP ends, the SSA will determine that you are no longer disabled and move to terminate your benefits. However, this does not happen overnight. After your TWP concludes, you enter a 36-month Extended Period of Eligibility (EPE). During the EPE, your benefits are reinstated automatically for any month your earnings fall below the SGA limit — no new application required.

Not all income counts the same way toward SGA. The SSA allows deductions for Impairment-Related Work Expenses (IRWEs) — costs directly related to your disability that you pay in order to work. These can include:

• Prescription medications required to perform work duties
• Medical devices such as wheelchairs or hearing aids
• Transportation costs if your disability prevents use of public transit
• Attendant care services needed at the workplace
• Modifications to a vehicle or workspace

Properly documenting and claiming IRWEs can bring your countable earnings below the SGA threshold even when your gross pay exceeds it.

Ticket to Work and Iowa-Specific Resources

The SSA's Ticket to Work program provides SSDI recipients with a valuable protection: as long as you are actively participating in an approved employment network or state vocational rehabilitation program, the SSA generally will not conduct a Continuing Disability Review to evaluate whether you remain medically disabled.

Iowa Vocational Rehabilitation Services (Iowa VR) is an approved Ticket to Work provider. They offer job training, assistive technology, placement assistance, and counseling at no cost to eligible Iowans with disabilities. Partnering with Iowa VR creates both practical support and legal protection for your benefits while you explore employment.

Additionally, Iowa has Benefits Planners available through the Iowa ABLE program and community partner organizations who can model exactly how a specific job offer would affect your SSDI, Medicare, and any state benefits you receive. Before accepting employment, speaking with a Benefits Planner is one of the most effective steps you can take to protect your financial security.

Medicare Protection While You Work

One concern that often stops Iowa SSDI recipients from attempting work is fear of losing Medicare coverage. The law addresses this directly. Even if your SSDI cash payments stop because your earnings exceed SGA after the EPE, your Medicare coverage continues for at least 93 months — nearly eight years — from the end of your TWP.

This extended Medicare protection, sometimes called the Medicare Continuation Period, means you can work and earn above SGA for years while retaining your health insurance. If you lose your job or your earnings drop below SGA during this period, your SSDI cash benefits can be reinstated without a new application through a process called Expedited Reinstatement.

Expedited Reinstatement allows a former recipient up to five years after termination to request immediate provisional benefit restoration while the SSA determines whether reinstatement is warranted. This is a critical safety net for Iowans who attempt work and find themselves unable to sustain it.

Reporting Requirements and Common Mistakes to Avoid

Every dollar you earn while receiving SSDI must be reported to the Social Security Administration promptly. Failure to report work activity is one of the most common causes of overpayment notices, which can require repayment of thousands of dollars in benefits. Iowa recipients should report wages by the 10th of the month following the month in which the wages were earned.

You can report work to the SSA through the my Social Security online portal, by calling the SSA national number, or by visiting your local Iowa SSA field office. Keep copies of every pay stub and every report you submit. If the SSA claims you were overpaid, documentation of timely reporting is your primary defense.

Several errors routinely cause problems for working SSDI recipients in Iowa:

• Failing to report the start of work immediately, even during the Trial Work Period
• Not claiming Impairment-Related Work Expenses that would reduce countable income
• Assuming part-time work is automatically below SGA without calculating the actual monthly amount
• Missing the Expedited Reinstatement window after a benefits termination
• Counting gross wages rather than net earnings when estimating SGA exposure

Self-employment adds additional complexity. The SSA evaluates self-employment income differently than wages, using a three-part test that considers countable income, time spent in the business, and whether the services provided have significant value to the business. Iowa residents operating small businesses or farms while receiving SSDI should consult with a disability attorney before reporting income, because the calculation errors in self-employment cases frequently result in significant overpayments.

The path back to work while protecting SSDI benefits requires careful planning, consistent reporting, and a clear understanding of the rules at every stage. The programs exist to help you succeed — but only if you navigate them correctly.

Need Help? If you have questions about your case, call or text 833-657-4812 for a free consultation with an experienced attorney.

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