Being self-employed and getting SSDI?

MangaReader

MangaReader

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Hi,

I am on SSDI like some deaf people are. I have been earning some income through surveys online. I do not own a business so I didn't think I was self employed but just found out that it is what it is called. I don't get any w-2 forms or anything.

Just wondered if that affects SSD? Am I supposed to report it to SSD? I know the limit is around $1,000 per month before they cut you off. I don't make anywhere close to that so I'm not worried but just the question of must I report it to SSD even though it's way below SGA levels. (Substantial Gainful Activity)

I don't mind reporting it except I have been doing it for a year and am trying to find any info on it. All this time I didn't think it mattered but now I'm scared and want to do the right thing. I hear you can get into trouble for not reporting it. I don't know what.

BTW I do pay taxes on that income so I am reporting it to the IRS at least.

Anyone who has experience on "self-employment" and being on SSD would be helpful. Thanks!
 
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I have been employed part time and self-employed while receiving SSDI.

So I can tell you that you can continues to get the SSDI (I am not sure about SSI as I never got it) as long as you don't go above the SGA limit.

Social Security Agency will mail you paperworks every year asking you how much you earn. If one month I went over the SGA limit, but next month it is under the limit. That's okay. Divide your total earnings by 12 months, as along as the average is under SGA limit, you are okay.

If you incorporate (S corp or LLC) instead of being sole proprietor, there is way to use income to pay yourself certain amount and put rest of income back into your "company" so it dont get counted as earnings. This part--you need to consult with tax or lawyer first to make sure.

Hope that helps.
 
Oh, as for W-2 forms and such. It isn't always required if you are sole proprietor or freelancing, unless you are hired as contractor so whoever hire you has to give you W-9.

You can elect to file Schedule SE (self-employed)if you wanted. If you incorporate, that will requires different forms, and it get complicated from here and on.
 
Visit your local SS office and discuss with them. They have better answer for you than anyone from us. Because none of us know your case and how SS sees it. I learned the hard lesson, no two SS cases are the same! My SS case are very unique, thanks to one of kind SS reps caught my case and asked me questions, then he told me that I would need to make an appointment to change my case to specific program which ended up more $ for us. He said I was in wrong kind of benefit program. I wish I know it long time ago but nothing I can do about past. Move on. Also, I found out more clear though one of SS reps who are Deaf, and chatted with that person though VP. That person at first thought it was not right when I got bigger check. That person did check on my case and it was ohhhh, ahhhh that... Explained to me that its unusual program not many are aware of this, really does not matter since most of them are not qualified for this program anyway so no point of them knowing it.

You can request SS for accommodation needs, like VRI, Live terp, Ubi communication system, etc. I asked VRI as first choice. I prefer VRI over Live terp, why? VRI terp usually better quality than live terp. It is all about availability and money. This is better than calling the SS office, because usually they don't look at your case completely and give you wrong answer. That Deaf SS reps knew it and couldn't do anything. That person don't have the power to change that. Sad! I did ask that reps why every time I called SS hotline with same question and got conflicting answers. UNREAL!
 
Stargazer:
Thanks for your post. Makes me feel bit better knowing your situation. I'm not worried about going over SGA at all. (I have SSDI) I'm not incorporated or anything. I don't own a business. I just answer surveys at home.

My question now is: How do you prove what you earned, how do you show them how much you made? Do you mean they mail you paperwork and you repprt it for yearly and not every month? Do they ask you how many hours you work? (and if so, how do you prove that anyway) I read somewhere that hours are a factor in determining whether you are eligible to continue receiving benefits.

I guess the next thing I'd have to do is report it. Might look bad now because I have been doing this since October.



diehardbiker:
I agree with not calling the SS office because they don't know what they are doing. I learned that the hard way too long time ago when I called to ask if I had 9 months trial period when I started a job. They told me yes I have 9 months trial period, I can make any amount I want for 9 months then benefits would stop. Turns out I didn't have any 9 months trial period because I had already used it up prior to that job and they cut me off completely because I was over SGA which is right. But I was under the impression that I had 9 months to go over SGA and still get benefits. They cut me off and said I owed them thousands of dollars!! I only worked 8 months full time. Learned not to call SS ever again and not rely on their words.
 
That one did happened to me, and I was pissed off. I have no way to prove that I was misinformed by SS reps!


MangaReader said:
diehardbiker:
I agree with not calling the SS office because they don't know what they are doing. I learned that the hard way too long time ago when I called to ask if I had 9 months trial period when I started a job. They told me yes I have 9 months trial period, I can make any amount I want for 9 months then benefits would stop. Turns out I didn't have any 9 months trial period because I had already used it up prior to that job and they cut me off completely because I was over SGA which is right. But I was under the impression that I had 9 months to go over SGA and still get benefits. They cut me off and said I owed them thousands of dollars!! I only worked 8 months full time. Learned not to call SS ever again and not rely on their words.
Click to expand...
 
diehardbiker said:
That one did happened to me, and I was pissed off. I have no way to prove that I was misinformed by SS reps!
Click to expand...

When calling them, don't you keep the chat logs? I always keep all my calls to relay or TTY calls with anyone. To me that's proof enough. They claim they record their calls for quality purposes, well I 'record' my calls too.

I saw on a site somewhere that when you call SS to report your earnings, they give you a receipt for reporting earnings. This must be new because last time I called to report earnings was over 15 years ago and there was no receipt at the time.

I don't have a TDD or any other advanced technology (such as VRI (whatever that is) and Videophones) to communicate so I'll have to call via relay using AIM.
 
here in NZ, Blind people piss me off, they are the only one of anyone disabled, who can have a job, trial or not, and receive benefit and keep all of it, no cuts, no percentage cuts. Only blind, bit cheeky, there's worse disability out there too. i have a pet theory on that, but also i know the real reason for it, too, its historical as one of the MP (senator for you) had a wife whos blind, so they passed the bill, that was 1930's and it stuck there ever-since...weird but true
 
Stargazer Lilies said:
I have been employed part time and self-employed while receiving SSDI.

So I can tell you that you can continues to get the SSDI (I am not sure about SSI as I never got it) as long as you don't go above the SGA limit.

Social Security Agency will mail you paperworks every year asking you how much you earn. If one month I went over the SGA limit, but next month it is under the limit. That's okay. Divide your total earnings by 12 months, as along as the average is under SGA limit, you are okay.

If you incorporate (S corp or LLC) instead of being sole proprietor, there is way to use income to pay yourself certain amount and put rest of income back into your "company" so it dont get counted as earnings. This part--you need to consult with tax or lawyer first to make sure.

Hope that helps.
Click to expand...


This was a good post..
 
I agree. I'm trying to find out more information from this user regarding self-employment.

UPDATE: I filed my 2012 taxes using that income as 'other' at the time because I didn't know what to classify it as. Then I thought well, maybe I should classify it as self-employment and file it under Section C which means I would have to Amend my tax return since I already sent it in before the deadline. I went into my form to amend and I decided to talk to a tax professional to ask what my income is classified as. He suggested I use 'other' because I only did it for 3 months in 2012. If your work is sporadic (not regular), it isn't self-employment. So confusing. So I'm left wondering if I should go ahead amend it or leave it alone as 'other'. For 2013, for sure I will file it under self-employment since I would be doing it more months.

I need to go to SSA office to report it and find out what THEY think my income is.
 
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