The 3 Types of Disability Benefits Explained
Three main programs provide financial compensation to individuals who are unable to work due to physical or mental impairments:
Social Security Disability (SSDI & SSI)
Social Security Disability Insurance (SSDI): A federal program funded through FICA payroll taxes deducted from your wages. It is designed for workers who have accumulated enough work credits over their employment history.
Supplemental Security Income (SSI): A needs-based federal program funded by general tax revenues. It provides monthly support to low-income individuals who are disabled, regardless of their work history.
Private Short and Long-Term Disability Insurance
Operated by private insurance carriers (such as Unum, Liberty Mutual, or Hartford), these policies are usually offered as employer-sponsored benefits or purchased independently.
Payouts: Typically replace around 60% of your pre-disability gross wages.
Key Condition: Private policies usually require your treating doctor to re-certify your impairment every few months.
The SSDI Offset: Most private policies require you to apply for SSDI. If approved, the insurance company will deduct your SSDI amount from your private benefit and require repayment for any retroactive SSDI back pay awarded.
Department of Veterans Affairs (VA) Disability Benefits
Administered by the federal government, VA disability compensates military veterans for injuries, illnesses, or mental health conditions (such as PTSD or TBI) linked to their active service.
No Total Disability Required: Unlike Social Security, you do not need to be completely unable to work. You can receive monthly tax-free compensation for disability ratings ranging from 10% to 100%.
Eligibility: Requires a discharge status other than dishonorable and formal proof of a service-connected impairment.
Do I Qualify for Social Security Disability?
To qualify for Social Security disability benefits (SSDI or SSI), you must satisfy a strict sequence of legal and medical requirements set by the SSA.
Step 1: Earning Below the Substantial Gainful Activity (SGA) Limit
The SSA first looks at whether you are working and how much you earn. If your gross monthly earnings exceed the Substantial Gainful Activity (SGA) limit, you are automatically considered not disabled, regardless of your medical state.
2026 SGA Threshold: $1,690 per month for non-blind applicants.
Part-Time Work: You can work part-time while applying as long as your income stays below the SGA limit. However, working substantial part-time hours may make it harder to prove that you are completely incapable of full-time employment.
Step 2: Proving a Qualifying Medical Condition
You must demonstrate that a medically determinable physical or mental condition is preventing you from working.
Duration Requirement: The impairment must have lasted, or be expected to last, for at least 12 continuous months, or be expected to result in death.
Temporary Injuries Do Not Qualify: Short-term conditions like simple fractures, sprains, or acute infections rarely meet the threshold. Chronic back conditions, treatment-resistant mental health disorders, neurological issues, or failed surgeries are more likely to qualify.
Step 3: Physical and Mental Residual Functional Capacity (RFC)
The SSA evaluates your medical records, treating physician reports, and personal statements to establish your Residual Functional Capacity (RFC)—the maximum level of work activity you can still perform despite your limitations.
Physical RFC: Categorized by exertional levels:
Sedentary: Primarily sitting, lifting no more than 10 lbs.
Light: Standing/walking most of the day, lifting up to 20 lbs.
Medium / Heavy / Very Heavy: Demanding physical labor.
Mental RFC: Evaluates your psychological capability to hold down a job, measuring your ability to maintain concentration, follow instructions, interact with coworkers/supervisors, and adapt to workplace stress or hazards.
Step 4: Previous Work History & The Age 50+ Factor
Once your RFC is established, the SSA reviews your work history over the past 15 years to see if you can still do your past work. If you cannot, they evaluate whether you can adjust to other jobs in the national economy.
Applicants Under 50: Presumed more adaptable to retraining or lighter work environments, making initial approvals more challenging.
Applicants Aged 50 and Older: Evaluated under specialized “grid rules.” The SSA recognizes that adapting to new lines of work becomes significantly harder as you age, leading to statistically higher approval rates for older workers with sedentary or light RFC limits.
Comparing the Programs: SSDI vs. SSI vs. VA vs. Private Insurance
| Program | Primary Qualification Criteria | Monthly Benefit Amount | Total Disability Required? |
|---|---|---|---|
| SSDI | Adequate work history + FICA tax contributions | Based on lifetime earnings (2026 Max: $4,152/mo; Avg: ~$1,630/mo) | Yes (100% unable to engage in SGA) |
| SSI | Low income (<$1,000/mo) & strict asset limits (<$2,000) | Federal base amount (2026 Max: $994/mo for individuals) | Yes (100% unable to engage in SGA) |
| VA Disability | Service-connected condition + non-dishonorable discharge | Varies by rating percentage (10% to 100% rating scale) | No (Compensates for partial disability) |
| Private Insurance | Active policy + physician certification | Typically ~60% of pre-disability salary | Varies (Per policy terms; usually total) |
Can You Qualify for More Than One Program Simultaneously?
Yes. While rare, it is possible to qualify for multiple programs at the same time depending on your work background, financial situation, and veteran status:
SSDI + VA Disability: A disabled veteran who has worked enough years in the civilian or military workforce can collect both tax-free VA compensation and monthly SSDI payments without one reducing the other.
SSDI + SSI (Concurrent Benefits): If your SSDI benefit calculation is very low (below the monthly SSI limit) and you have minimal assets, you may qualify for SSI to bring your monthly benefit up to the maximum allowable threshold.
Private Disability + SSDI: You can receive private disability payments while applying for SSDI. However, once SSDI is approved, your private insurer will offset its monthly payment by the SSDI amount and require reimbursement for back pay.
Get Help Evaluating Your Disability Claim
There is nothing more satisfying than helping North Carolinians with disabilities get the benefits they need and deserve.
Gene Riddle
Founder & Managing Partner
Determining eligibility and building a claim supported by thorough medical evidence can be complicated. The North Carolina disability attorneys at Riddle & Riddle Injury Lawyers are here to review your medical records, evaluate your RFC, and help you secure the benefits you deserve.
We offer free, no-obligation case evaluations, and you pay no attorney fees unless we successfully win your Social Security Disability or VA Disability claim.
Call us today or contact our team online to discuss your case. Justice Counts for all North Carolinians with disabilities.
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