Social Security can stop disability benefits like SSDI for several reasons. One reason why the Administration will no longer send SSDI but you should not worry about is the fact that you reach full retirement age.
If this is the case, you will start collecting the same amount of money as you did for disability benefits. The only thing that will change is the name. So, SSDI will turn automatically into retirement benefits, but the amount remains the same.
Another reason to lose SSDI disability benefits is the fact that your disability disappears. That is, you no longer meet the strict definition Social Security has set to be eligible. Report any health improvements as soon as possible.
Can I lose Social Security Disability Insurance benefits (SSDI) if I go back to work?
If you take part in the Ticket to Work Program from Social Security, you may be able to cash SSDI and your salary for some time. Bear in mind that you must always inform SSA of any work you do and your earnings.
SSA states that you can request withholding to avoid overpayments. That is particularly important if you earn money over substantial gainful activity or SGA. Talk to the Administration to avoid losing your benefits or having to pay money back.
But what about if you are on retirement benefits? In this case, it will depend on the situation. For example, if you go to prison, SSA may stop sending checks after some time there. Those who are incarcerated for over 30 days and have a sentence for criminal conviction, will not continue cashing Social Security.
It does not matter if they are retirement or SSDI benefits. The month after you leave prison, you may get them back. Dependents as well as spouses can collect benefits on your record if you are in jail.
Another way to reduce your retirement benefits is by working or having additional sources of income. Once you exceed your combined income, SSA will reduce your benefits until you reach full retirement age. Any reductions will then be added to your future payments to calculate the new amount though.
Filing early for retirement is the easiest way to lose money from Social Security. Do not forget that you are saying no to 30% of your benefits in retirement. Late filing at 70 can provide you with a reward of about 24% extra per month.