Facts on Representative Payees

As of 2019, more than 8 million people were receiving disability benefits through the Social Security Administration (SSA). Out of those recipients, more than 828,000 of them used a representative payee to receive their disability benefits. Minors, individuals who do not have the abilities to manage their own money and who are legally considered incompetent to handle their own finances, or claimants in long-term care may use a representative payee to oversee their disability payments.

Disability benefits provide essential support when you're unable to work due to a serious medical condition. These benefits continue as long as you meet all eligibility requirements. When your condition begins to improve, your continued eligibility may be in question, but there are programs in place to help disability recipients transition back into the workforce.

Reporting Responsibilities

Disability application and review processes can take months, and in some cases, even longer. Once approved though, you’ll have disability payments coming your way every month without constantly worrying you’ll lose your support.

Although you never have to reapply once approved for disability, periodic re-evaluations of eligibility are conducted as a standard part of the Social Security Administration’s (SSA’s) disability regulations.

States and Disability Benefits

Disability benefits are a federally run program through the Social Security Administration (SSA) to provide financial assistance to people who are disabled and unable to work.

These disability benefits can help cover the costs of any medical expenses and every cost of living. Some types of benefits are the same across all states, while others may slightly, or largely differ state to state.

How Disability Benefits are Paid

If you are unable to work due to a medical condition or disability, you can apply for disability benefits through the Social Security Administration (SSA) to help cover the costs of your medical and everyday living expenses. Once your disability has been approved and your amount of benefits has been determined, the SSA will give you your disability benefit payment once a month.

Taxes and Social Security Benefits

Disability benefits are offered through the Social Security Administration (SSA) to those who are unable to work due to a disability or medical condition. These benefits can provide assistance for everyday living expenses and medical bills. Although disability benefits are usually not counted as taxable income, there could be some cases in which you will end up having to pay taxes on these payments.

If a beneficiary dies, can I get their benefits?

If you are the spouse or child of a Social Security Disability (SSD) benefits recipient and they have passed away, there are some options available to you for financial support.

Death Before Approval

If your spouse or parent had been the primary earner of income, and had recently become disabled before passing away, you may be able to open a claim for Social Security disability benefits or continue a claim that he or she had started.

Supplemental Security Income, or SSI, is a federal benefit program managed by the Social Security Administration (SSA). In most states, there is an additional or supplemental benefit program for disabled children.

Currently, only Arizona, North Dakota, Mississippi, and West Virginia lack a state supplement to SSI for children. In all other states, and the District of Columbia, there is some form of state supplement, though not all state benefits are managed and administered in the same way.

A “disability freeze” is a period during which the Social Security Administration (SSA) puts a person’s work and earnings history record on pause.

Whether you receive benefits through Social Security Disability Insurance (SSDI), Supplemental Security Income (SSI), or both programs, you may receive an overpayment at some point. If you do, it is important to understand what happens next, including how you should proceed.

Avoiding Overpayments