Dear Penny: SSDI Benefits Aren’t Cutting It — How Can I Cut Costs and Earn Extra Money?

Q: How much can I earn without losing SSDI benefits?

The Social Security Administration sets Substantial Gainful Activity (SGA) limits. For 2024 the monthly SGA amount is $1,550 for non-blind individuals and $2,590 for statutorily blind individuals. Earning above these amounts in a month can affect SSDI eligibility.

Q: What is the trial work period and how does it help?

The trial work period lets SSDI recipients test employment without immediately losing benefits. In 2024, you can earn up to $1,110 from employment in any month that counts as a trial work month; nine such months within a rolling five-year period are allowed.

Q: Can I deduct work-related expenses as a rideshare driver?

Yes. As a rideshare driver you can subtract allowable business expenses like fuel, maintenance, and other job-related costs when calculating earnings that could affect SSDI determinations.

Q: What cost-cutting steps should I prioritize on SSDI?

Start by tracking spending and targeting largest obligations like housing, utilities, and medical costs. If big changes aren’t feasible, cut discretionary spending, use thrift or pantry resources, consider SNAP if eligible, and refinance debt where possible.

Q: Where can I find official SSDI earnings limits?

Official SGA and trial work period amounts are published by the Social Security Administration. Check SSA resources or contact them directly to confirm current thresholds and how they apply to your situation.

Published by

Clara

Apr 4

Cut Costs On Social Security: Practical Ways

I am currently receiving Social Security Disability Insurance (SSDI) from the government. With all the increases in the cost of living, do you have any ideas on how I can cut some of my basic cost of living expenses? Also, because of this, I have been considering driving for Uber. I know, though, that I can only make a certain amount of money without affecting my disability payments. How/where do I find out what this amount is?

Thank you,

Want to Work

Dear Want to Work,

First, you can find the allowable earnings amount through the Social Security Administration. For 2024, the monthly income threshold is $2,590 for statutorily blind individuals and $1,550 for non-blind individuals. If you bring in more than that amount in a given month, you’re considered to be engaging in substantial gainful activity (SGA), which would make you ineligible to continue receiving SSDI benefits.

You also have access to a trial work period, which allows you to work and earn money without immediately losing your benefits — so if you discover you can’t continue working, you won’t automatically be returned to square one. During the trial work period, you can earn up to $1,110 from employment in any nine months within a rolling five-year span without jeopardizing your benefits.

Keep in mind these income thresholds take into account work-related expenses, so as a rideshare driver you’ll be able to subtract costs like fuel, vehicle upkeep, and other job-related expenditures.

Second, to address rising living costs, start by tracking how you spend. List your largest monthly obligations first: rent or mortgage, utilities, medical costs, transportation, and so on. Adjusting the biggest expenses usually yields the most significant savings if those changes are practical — though they can require big moves, such as relocating or switching health-care providers.

If those larger shifts aren’t suitable right now, examine other areas where money flows out.

Could you refinance any debt to reduce monthly payments? Would it be reasonable to temporarily lower retirement or emergency-savings contributions to free up cash each month?

If you’ve made all the realistic changes in these areas and still feel stretched, scrutinize discretionary spending. If groceries are a major line item, do you have access to a neighborhood food pantry or might you qualify for SNAP benefits (people on SSDI are exempt from SNAP work requirements)? If clothing purchases are frequent, consider swaps or thrift-store shopping. If you often eat out or order takeout, could you switch to frozen dinners or a simple meal-prep plan (for example, Dinnerly offers meals starting under $5 each)?

Stephanie Carter is a Certified Educator in Personal Finance® and author of YOU DON’T NEED A BUDGET. She writes for Healthy Rich, a newsletter exploring how capitalism shapes the ways we think, teach and discuss money.