Working While on SSDI in Tennessee

Receiving Social Security Disability Insurance (SSDI) does not automatically mean you can never work again. The Social Security Administration (SSA) has established specific rules that allow beneficiaries to test their ability to work without immediately losing their benefits. Understanding these rules is essential for any Tennessee SSDI recipient considering a return to work — the consequences of getting it wrong can be severe.

The Trial Work Period: Your Protected Window

The SSA provides every SSDI beneficiary with 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 benefits. In 2024, a month counts as a TWP month if your gross earnings exceed $1,110.

These nine months do not need to be consecutive. You might work three months, stop for a period, then resume. Each month you earn above the threshold counts toward your nine. Once you exhaust all nine trial months, the SSA evaluates whether your work constitutes Substantial Gainful Activity (SGA).

For Tennessee residents, this period is particularly valuable for those re-entering industries like healthcare, manufacturing, or logistics — sectors with varying work schedules that may allow gradual reintegration. Keeping meticulous pay stubs and work records during this window is critical.

Substantial Gainful Activity: The Earnings Threshold That Matters

After your Trial Work Period ends, the SSA applies the SGA standard. For 2024, SGA is defined as earning more than $1,550 per month for non-blind individuals, and $2,590 per month for blind beneficiaries. If your earnings consistently exceed the SGA threshold, the SSA will consider you capable of working and may terminate your SSDI benefits.

However, the calculation is not always straightforward. The SSA can deduct certain work-related expenses from your gross earnings before applying the SGA test. These are called Impairment-Related Work Expenses (IRWEs) and may include:

• Prescription medications directly related to your disability
• Medical devices or adaptive equipment needed to perform your job
• Transportation costs if your condition requires special transport
• Attendant care services while at work

Tennessee beneficiaries working part-time in service industries or remote positions should carefully document all such expenses. Proper documentation can mean the difference between crossing the SGA threshold and remaining eligible.

The Extended Period of Eligibility

After your Trial Work Period concludes, you enter a 36-month Extended Period of Eligibility (EPE). During this phase, you retain the right to receive SSDI benefits for any month in which your earnings fall below the SGA level — without having to file a new application.

This is a critical safety net. If you attempt to work and your condition worsens, or your employer reduces your hours, or the work simply proves too demanding, you can resume receiving benefits quickly. You will not be penalized for trying.

Once the 36-month EPE expires, however, any month you earn above SGA will trigger a formal termination of benefits. At that point, reinstating your SSDI would require either filing a new application or using Expedited Reinstatement (EXR) — a process available within five years of termination if you become unable to work again due to the same or related condition.

Reporting Work Activity: A Legal Obligation

One of the most common — and costly — mistakes SSDI recipients make is failing to report work activity to the SSA promptly. Reporting is not optional. If you begin working, you are legally required to notify the SSA, even during the Trial Work Period.

Failing to report can result in an overpayment determination, where the SSA demands repayment of benefits paid during months you were ineligible. Overpayment debts can be collected by reducing future benefits, garnishing tax refunds, or withholding other federal payments. In Tennessee, as in all states, these debts do not disappear easily and can follow a beneficiary for years.

To report work activity, you can:

• Contact your local SSA field office — Tennessee has offices in Nashville, Memphis, Knoxville, Chattanooga, and other cities
• Call the national SSA line at 1-800-772-1213
• Use your my Social Security online account
• Submit written notification directly to your local field office

Always keep a copy of any written correspondence and request a receipt or confirmation number for phone reports.

Ticket to Work and Tennessee Vocational Rehabilitation

The SSA's Ticket to Work program provides SSDI beneficiaries with a free resource to access employment support without triggering a Continuing Disability Review. Assigning your Ticket to an approved Employment Network or to a state Vocational Rehabilitation agency suspends the SSA's routine disability reviews while you pursue work goals.

In Tennessee, the Tennessee Division of Rehabilitation Services (DRS) operates as both a Vocational Rehabilitation provider and a Ticket to Work partner. DRS can assist with job training, assistive technology, resume development, and job placement — all at no cost to eligible SSDI recipients. For Tennesseans in rural counties where employment options are limited, DRS services can be especially valuable in identifying remote or flexible work arrangements compatible with ongoing disabilities.

Participating in Ticket to Work also provides an important benefit: while your Ticket is assigned and you are making timely progress toward your employment goal, the SSA will not conduct a Continuing Disability Review. This protects your ongoing eligibility while you test your ability to work.

Working while on SSDI is possible, but the rules demand careful navigation. Exceeding the SGA threshold unexpectedly, failing to report earnings, or misunderstanding when the Trial Work Period ends can each lead to benefit termination or overpayment liability. Tennessee beneficiaries considering a return to work should fully understand each phase of the process before their first paycheck clears.

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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