I Won My Case. Where’s My Back Pay?

Qualifying for Social Security Disability benefits can take a frustratingly long time.

On average, from the initial application through the hearing stage (where you have the best chance of winning benefits), settling your case can take well over a year.

But you may need even more patience, because that’s not the end of waiting for the compensation you have earned.

After winning your case, the timing of your payments may depend on the type of benefit for which you qualify.

There are two disability programs: Social Security Disability Insurance which is known as SSDI and Supplemental Security Income—commonly referred to as SSI.

SSDI pays benefits to you and certain members of your family if you have a disability, and you worked long enough and paid Social Security taxes. SSI is based on financial need. The Social Security Administration says, “It is designed to help aged, blind, and disabled people, who have little, or no income.”

As a general rule, it takes one to two months for benefits to start in SSDI cases after approval. For SSI cases, it can take considerably longer—60 to 90 days is common­—for payments to start.

One of the causes of delays in SSI cases is the “PERC” interview, which happens once you receive SSI benefits approval. PERC stands for “pre-effectuation review conference” and is basically a financial interview to determine the amount of benefits you should receive.

In certain situations, it’s possible to qualify for both SSDI and SSI at the same time, although you will receive the higher of the two amounts, not both. In these concurrent cases, it can also be 60 days or more before benefits arrive, as different Social Security Administration (SSA) offices must communicate with each other to coordinate payments.

The SSA has no set time frame for when it must pay you, and it is a huge bureaucracy with miles of red tape. There is a concern that recent drastic personnel cuts at the Social Security Administration may further hinder  customer service and add to back pay delays. We’ll all have to wait and see how this plays out.

Due to the length of the disability process, many disability recipients are owed back pay in addition to their monthly benefits. Back pay is what it sounds like—a lump sum of money you receive to cover a period in which you were medically qualified for disability benefits but had not yet won approval to collect them.

As you would expect, back pay amounts can vary widely depending on when Social Security says you officially had a qualifying disability (this is your established onset date or EOD), when you submitted your initial application for benefits, and the date your disability is approved by the Social Security Administration.

Back pay can amount to thousands of dollars. For more on this subject, read our blog post: “How Much Back Pay Will I Receive if My Disability Case Is Approved?”

SSI and SSDI have different rules for distributing back pay. SSI usually sends back pay in three equal installments spaced six months apart. For SSDI, back pay typically comes as a lump sum and can include benefits dating back to five full months after the established onset date of your disability, up to 12 months before your application.

While there is little that you or your Social Security Disability attorney can do to speed up the payment process, some moves on your part can help to prevent further delays. Submitting a complete and correct application can help. Providing correct bank account information also helps prevent more delays.

If a person who has been awarded disability benefits cannot manage his or her benefits, the SSA will appoint a representative payee to receive their benefits, which takes time and can delay back payments.

Additionally, the SSA may withhold monthly payments and/or back pay due to receipt of workers’ compensation benefits or to cover some outstanding debts such as back taxes, alimony, or child support.

Once Social Security sets your payments, you will receive a Notice of Award, which will detail your payment amounts, back pay, and when your first check should arrive. Oftentimes, you may receive benefits before the notice arrives.

If you haven’t received your payments or back pay within a few months of approval, contact the SSA directly to inquire about the delay.

And you can keep up to date on your application status by regularly checking your “My Social Security” account online. If you don’t have a “My Social Security” account, create one by going to ssa.gov/myaccount click “Create an Account,” and choose to create an account with either Login.gov or ID.me.

Suffice it to say that when it comes to the Social Security Disability process, there are complex issues that require the expertise of people who understand the mechanics of SSA’s often log-jammed system, and the people involved.

For expert guidance and vigorous legal representation, turn to the experienced Chicago Social Security Disability lawyers and staff at Nash Disability Law. Contact us for a free evaluation of your specific situation.