SSDI Payments: How does the IRS determine how much disability you get?


For those of you who qualify for the federal Social Security Disability Insurance (SSDI) scheme, the payments you will receive are determined through a certain formula that takes into accounts various factors concerning your age, income and work experience.

The Social Security Administration (SSA) offers you the opportunity to see a detailed calculation of the benefits you are eligible to receive.

Detailed retirement and disability calculator

In order to get the most precise estimate of your retirement and disability benefits, the SSA has released a detailed calculator which can be downloaded and installed on your computer through this link.

“The Social Security Administration now has a calculator that lets you estimate your retirement benefit by accessing your actual earnings record through a secure interface,” reads the SSA website.

“If you are estimating a normal retirement benefit, then you may want to try using the Retirement Estimator first, because it is easier to use than the Detailed Calculator and does not require you to enter your earnings record.

“Note that the Retirement Estimator does not have all of the features of the Detailed Calculator, and does not provide estimates for everyone. In particular, if you are receiving a benefit based on your own earnings record, the Retirement Estimator will not give you an estimate. You also have to be permanently insured to get an estimate from the Retirement Estimator.”

It has to be noted that the latest version of the detailed calculator was released on November 29, 2021, and that the SSDI benefits could be subject to tax depending on your income.

For those who can’t complete their tax return because of their disability, the IRS offers assistance through their Volunteer Income Tax Assistance (VITA) and Tax Counseling for the Elderly (TCE) schemes.