Working Part Time on Disability in Wisconsin

Social Security Disability Insurance (SSDI) recipients in Wisconsin often wonder whether they can work part-time while receiving benefits. The answer is yes, but with significant restrictions and careful attention to income limits. Understanding these rules is critical to maintaining your benefits while supplementing your income through work.

The Social Security Administration (SSA) recognizes that some individuals with disabilities can perform limited work activities. The agency has established specific programs and thresholds designed to encourage beneficiaries to test their ability to work without immediately losing their benefits. However, exceeding certain earnings limits or demonstrating substantial work capacity can result in benefit reduction or termination.

Understanding Substantial Gainful Activity (SGA)

The concept of Substantial Gainful Activity (SGA) forms the cornerstone of SSDI work restrictions. SGA represents the monthly earnings threshold that the SSA considers indicative of a person's ability to engage in substantial work. For 2024, the SGA limit for non-blind individuals is $1,550 per month, while blind individuals have a higher threshold of $2,590 per month.

When a Wisconsin SSDI recipient earns more than the SGA limit, the SSA may determine that the individual is no longer disabled under Social Security rules. This determination can lead to benefit cessation, regardless of whether your underlying medical condition has improved. The SGA calculation includes wages from employment, net earnings from self-employment, and certain subsidies or special conditions.

Important considerations regarding SGA:

• The SSA counts gross wages before taxes and deductions
• Work expenses related to your disability (Impairment-Related Work Expenses) can be deducted from your earnings
• Unsuccessful work attempts lasting less than six months may not count against you
• The SSA averages earnings over time rather than focusing on individual high-earning months

The Trial Work Period: Testing Your Ability to Work

Wisconsin SSDI recipients benefit from a Trial Work Period (TWP), which allows you to test your ability to work for at least nine months without losing benefits. During this period, you can earn any amount without your benefits being affected, provided you continue to have a disabling condition and report your work activity to the SSA.

The nine months need not be consecutive. In 2024, any month in which you earn more than $1,110 or work more than 80 self-employed hours counts as a trial work month. Once you complete nine trial work months within a rolling 60-month period, your TWP ends, and your earnings become subject to SGA evaluation.

The TWP provides valuable protection for Wisconsin residents who want to explore their work capacity. During this time, you receive full SSDI benefits regardless of earnings, allowing you to determine whether you can sustain employment without the immediate risk of losing your financial support.

The Extended Period of Eligibility

After completing your Trial Work Period, you enter a 36-month Extended Period of Eligibility (EPE). During the EPE, you receive benefits for any month your earnings fall below the SGA level. If your earnings exceed SGA, your benefits are suspended but not terminated.

This period provides a critical safety net for Wisconsin SSDI recipients. If your work attempt fails due to your disability during the EPE, your benefits can resume without requiring a new application. You simply need to notify the SSA that your earnings have dropped below SGA or that you have stopped working.

After the EPE ends, if you are still working above SGA levels, your benefits terminate. However, you may be eligible for Expedited Reinstatement if you stop working within five years of benefit termination, provided your disability continues or you have developed a new qualifying disability.

Wisconsin-Specific Employment Considerations

Wisconsin offers several state-level resources that complement federal SSDI work incentives. The Wisconsin Division of Vocational Rehabilitation (DVR) provides employment services to individuals with disabilities, including job training, placement assistance, and workplace accommodations. DVR services can be particularly valuable when attempting to return to work while on SSDI.

Wisconsin employers must comply with both federal Americans with Disabilities Act (ADA) requirements and state disability discrimination laws. These protections ensure that employers provide reasonable accommodations for workers with disabilities. Such accommodations might include modified work schedules, assistive technology, or workspace modifications that enable you to perform essential job functions.

The state also participates in the Ticket to Work program, which provides SSDI beneficiaries with free employment services through approved providers. Wisconsin residents can use their Ticket to access vocational rehabilitation, training, job placement, and other support services without triggering medical reviews of their continued disability status.

Reporting Requirements and Protecting Your Benefits

SSDI recipients in Wisconsin must report work activity promptly to the SSA. Failure to report can result in overpayments that you will be required to repay, sometimes with penalties. You should report when you start or stop work, changes in work hours or duties, and changes in earnings.

Best practices for protecting your benefits while working part-time:

• Keep detailed records of all work hours, earnings, and work-related expenses
• Report work activity to the SSA within prescribed timeframes
• Document any accommodations or subsidies you receive from employers
• Maintain records of Impairment-Related Work Expenses that reduce countable income
• Request written confirmation from the SSA regarding your work activity reports
• Consult with a disability attorney before making significant employment decisions

Understanding how part-time work affects your SSDI benefits requires careful navigation of complex federal regulations. While the SSA provides work incentives designed to encourage employment attempts, exceeding earnings limits or misunderstanding reporting requirements can jeopardize your benefits. Wisconsin residents should take advantage of available resources, maintain thorough documentation, and seek professional guidance when considering employment while receiving disability benefits.

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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