What’s the difference between workers’ comp and Social Security disability? Workers’ compensation is a program that provides disability and medical benefits to people with a work-related injury. Social Security disability is another program that provides long-term disability benefits regardless of where you were injured or how you became disabled, provided you qualify. There are two programs with different eligibility requirements, so understanding the difference between workers’ compensation vs social security disability can help you determine which benefits you may qualify for or whether you could receive both.
What Is Workers’ Compensation?
According to the Minnesota Department of Labor and Industry, workers’ compensation is a no-fault program that:
- Provides benefits for employees injured at work
- Limits employer liability
- Removes the need for the employee to prove negligence by the employer
If you’re injured on the job, you can file for workers’ comp without proving that your employer caused your injury. You can receive benefits even if you caused the accident yourself. Workers’ comp will cover your medical expenses, vocational rehabilitation, and lost wages. Your lost wages are covered through wage replacement benefits. These payments can be for partial or total disability.
Initially, you will receive temporary disability benefits from the state workers’ compensation system. After you’re injured at work, you’ll see a doctor who will assign you an impairment rating. The doctor will also tell you if you have any return-to-work restrictions. Suppose you can never go back to work. In that case, workers’ comp will pay you permanent disability benefits—but it’s essential to understand the difference between workers’ comp and disability to know which program fits your situation and what benefits you’re entitled to.
What Is Social Security Disability Insurance (SSDI)?
Social Security Disability Insurance is a program that pays federal benefits to people who cannot work due to a disability. Eligibility for SSDI depends on:
- Blindness or some other disability
- Sufficient work history to qualify
SSDI can provide you with:
- A monthly benefit payment based on your work history before becoming disabled
- Medicare health coverage
If you want to try going back to work, you may be able to complete a trial work period of up to nine months without losing your SSDI benefits.
It is more complicated to qualify for SSDI benefits than workers’ compensation benefits. Qualifying for SSDI requires extensive medical documentation to prove that you cannot work. Many people are initially denied SSDI benefits, although they sometimes qualify for SSDI on appeal. Although it is more difficult to qualify for SSDI, you can qualify even if your disability has nothing to do with your job. This isn’t true of workers’ comp benefits.
Key Differences Between Workers’ Comp and SSDI
According to the Social Security Administration, workers’ compensation and SSDI are the two most extensive disability benefits programs in the USA. Workers’ compensation is a state program, while SSDI is a federal program.
Key differences between workers’ compensation and SSDI include:
- You must suffer an injury or illness to be eligible for workers’ comp. For SSDI, you must have a disability that prevents substantial gainful activity for at least a year or is expected to be terminal. You must also meet work history requirements.
- Workers’ comp benefits include lost wage replacement, medical expenses, and vocational rehab. SSDI benefits include monthly payments and Medicare coverage.
- Workers’ compensation benefits are temporary at first, but can become permanent if you don’t recover. SSDI benefits last until you recover, die, or reach retirement age. If you reach retirement age, your SSDI benefits become retirement benefits.
- Insurance plans maintained by the employer fund workers’ compensation benefits. Social Security taxes fund SSDI.
- The waiting period for workers’ comp is three days. The waiting period for SSDI is five months.
Can You Receive Both Workers’ Comp and SSDI?
Yes, you can receive both workers’ comp disability benefits and SSDI. However, your benefits cannot exceed 80% of your average weekly earnings before your disability. According to the SSA, your SSDI benefits could be offset if your total is too high. The disability benefits offset will bring your benefits back below this figure. Other types of benefits may or may not affect your SSDI benefit. Talk to your lawyer to determine how workers’ comp will affect your SSDI payments.
Contact a Minneapolis Workers’ Comp Lawyer Today
Robert Wilson & Associates is one of Minnesota’s largest workers’ compensation law firms. Contact us today for help with your workers’ compensation case.
Our team’s goal in every case is to treat each client as a family member. We will sit down with you and help you to make an accurate and honest assessment of what your case is worth. Then we will get to work, doing whatever needs to be done to bring you the benefits you deserve. If you are suffering from an injury or an illness because of your work, call Robert Wilson & Associates at (612) 334-3444 today.
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