SGA: SUBSTANTIAL GAINFUL ACTIVITY

If you apply for Social Security Disability Insurance (SSDI) benefits, you will hear the term "Substantial Gainful Activity" or SGA kicked around. What is it? How is it used by Social Security?

Basically, SGA is what Social Security calls work. But not ALL work is considered SGA. It depends on how much work you are doing and how much you earn for it.

Generally, a person may not get Social Security Disability benefits if he/she works. SSDI is for persons who are disabled and unable to work. So if you are working it can mean that you are not disabled and can't get a benefit.

However, if you work only part-time and earn a small amount of wages you may not be engaged in Substantial Gainful Activity (SGA). The issue is not the money you earn itself, rather the amount of work you can do. If a claimant is working regularly and earning at least $1,450 per month in 2023, he/she is engaged in SGA and is not eligible for a disability benefit. However, an individual who works but earns less than $1,450 (gross) per month may still qualify. The gross earnings for a blind individual must be lower than $2,460 per month (gross).

Social Security also uses SGA another way. They use to determine whether you can still perform any of your past work. But they only consider past work where you earned Substantial Gainful Activity (SGA), and only work performed during the past 15 year period.

So, if a claimant worked part-time for 15 hours per week and earned a very small monthly income, that work may not count as SGA. That job is not considered SGA; therefore, it doesn't matter whether the claimant can perform that work or not. SGA refers to what Social Security considers full time work. "Full time work," however, does not have to be 40 hours per week.

Issues of SGA are complicated and are best handled by a skilled disability attorney or advocate. This is just one of the complex issues you may run into during a Social Security disability claim.

I recently had a claimant at a hearing who is still working part-time. When the judge researched the amount the claimant earned each month, it was about $1,110. I pointed out that that amount is not SGA level and does not disqualify the claimant for an SSDI benefit. The claim was paid.

In another case, my client had previously worked as an office assistant. That was sedentary work and was within the 15 year look-back period. And my client could still perform sedentary work. If that job was found to be SGA, the case would be lost. Upon closer examination, however, I found that my client had only worked at that job for about 10 weeks and was fired because of emotional instability. I argued that the job was a "trial work period." My client did not work as an office assistant long enough for it to be considered "Substantial Gainful Activity." The judge paid the claim.

Working while trying to get Social Security disability (SSDI) is a major obstacle. Some work does not disqualify you for SSDI, other work does.

If you are disabled, getting approved for SSDI can take a year or longer. If you are denied and must appeal, it can take 2 years or longer. That's a long time to be without income. You may have to work to provide essential income just to survive. Get the advice of a competent attorney/advocate early. He or she can advise you whether your job will hinder getting SSDI benefits. This assistance can be invaluable as you navigate the shark infested waters of Social Security disability.

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Charles Forsythe is a founding partner of The Forsythe Firm in Huntsville, AL. He has represented over a thousand disability claimants. Get a free consultation by calling (256) 7990-0297.