Major Differences Between SSI and SSDI

Social security provides numerous benefits to people which includes Disability, Medicare, Retirement and Survivors benefits. For financially supporting weaker sections of society and providing benefits to people who have contributed to these programs while they were works these programs are employed.  

Disability program is the major one which includes two parts: SSI and SSDI. Supplemental Security Income (SSI) and Social Security Disability Insurance (SSDI) are both federal programs that provide financial support in the form of cash payments to the people who meet the SSA’s guidelines. This is the only similarity between the two programs. 

Now let's discuss the three main differences between them. 

 * SSI Is a Basic Program for anyone, SSDI Is an Entitlement Program  Provided by the Social Security Administration these both differ vastly from each other. Financial requirements are different in both the programs. SSI is designed to meet the basic needs of elderly, blind and weaker sections of society which finds hard to find shelter and food.  SSI is not so easy to get as t seems as it have strict financial requirements for approval which makes it “means tested” program. 

 SSDI, by contrast, is an entitlement program which is available to any person who have contributed towards social security while working. Duration for this period might at least ten years, regardless of current income and assets.  (Younger beneficiaries and disabled adult children of retired or deceased workers needs to meet different requirements.)  In theory, all qualified workers who have paid payroll taxes are potential SSDI recipients, even high-income earners. 

For earning any of the mentioned program you must make social security card application which will make this process even easier to you. 

* Work Credits: 

A person applying for SSI needs not to have any work credits but in case you are applying for SSDI work credits are mandatory. 

 * SSI and Medicaid, SSDI and Medicare  In general, a person who receives SSI immediately qualifies for Medicaid benefits. Medicaid is a joint state and federal health care program that normally provides very comprehensive coverage for its beneficiaries, many people may apply for SSI primarily because of the health care that comes with it.    On the other hand, SSDI candidates are eligible to receive Medicare. They will start receiving the benefits two years after they are deemed eligible for SSDI benefits.  Medicare is a federal health insurance program that covers routine hospital services, inpatient care under skilled nursing care and most but not all primary medical care.  

 * The Financial Benefits In The Programs

Finally, SSI and SSDI benefits vary widely when it comes to the financial payments. In 2015, the federal SSI payment standard was $733 per month for an individual, while the average SSDI payment will be $1,165 a month.  Since SSDI totally rely on the annual earnings of the beneficiary's earnings record, some SSDI recipients can receive much more than this. 

 In addition, SSI benefits significantly reduced by any other income received by an SSI beneficiary, so many SSI recipients will receive less than the $733 payment standard.  In most cases, if a person receives an SSDI benefit whose value is higher then maximum SSI payment, he/she won't be eligible for SSI at all.