Goodbye Social Security Benefits – Retirees Losing Checks Each Year

The Social Security Administration (SSA) provides monthly benefits to over 70 million beneficiaries. These benefits are essential for many, but they could be at risk due to several factors that recipients might be unaware of. As of 2025, while you may receive an income increase to offset inflation, these benefits are not guaranteed.

According to a June 8 NPR article, an average of 70,000 Social Security beneficiaries experience reduced benefits each year. If you qualify for Social Security benefits, it’s crucial to know how you could potentially lose these monthly benefits and what steps you can take to avoid this.

Reasons

Whether you receive Social Security, Social Security Disability Insurance (SSDI), or Supplemental Security Income (SSI), you may lose your monthly payments due to certain occurrences. Some of these are beyond your control, while others might be influenced by personal decisions. In some cases, like increased income, it may be beneficial to forego benefits to earn more money. The type of benefits you receive is very important, as different rules apply to each.

Income

Your monthly Social Security payment amount may change if you change jobs while receiving benefits. Here is how it could affect beneficiaries from the SSI and SSDI programs:

SSI Benefits

The Social Security Administration states that job hunting can potentially end SSI benefits for individuals who earn $1,971 or more monthly. If income exceeds this threshold, benefits are cut off. For working individuals, payments are reduced by $1 for every $2 earned over the limit. In 2024, the maximum monthly benefit is $943 for individuals or $1,415 for couples.

SSDI Benefits

SSDI beneficiaries can return to work for up to nine months without losing benefits during the SSA’s nine-month trial work period. If earnings exceed $1,550 per month, benefits are suspended for the months exceeding the substantial amount during the 36-month eligibility period after the trial work period ends. Benefits may be reinstated if earnings fall below a substantial amount during the 36-month eligibility period, but are terminated if earnings exceed a substantial amount after this period.

Incarceration

For more than 30 days, incarceration may result in the suspension of your Social Security and SSI benefits. Additionally, you do not regain automatic eligibility for your benefits after being released from prison. Here’s how it works for retirement and disability benefits:

SSDI Benefits

Social Security benefits suspended due to a prison or jail sentence may be reinstated in the month following your release, such as June for a May release. Benefits for spouses or children will continue as long as they remain eligible.

SSI Benefits

SSI benefits are suspended while you are in prison but may resume the following month. The payment is partial, depending on the date of release. If the jail or prison term is longer than 12 months, SSI benefits are terminated. To reapply for benefits, contact the SSA at 800-772-1213 after your release.

Divorce

Divorce can affect your ability to collect your ex-spouse’s Social Security benefits. Here are the key rules:

Duration of Marriage

You must have been married to your ex-spouse for at least 10 years to be eligible for their benefits.

Marital Status

If you remarry, you cannot collect your former spouse’s benefits. However, this could change if your current marriage ends due to annulment, divorce, or death.

Personal Entitlement

If you are entitled to benefits on your own, and your benefit amount is higher than your ex-spouse’s benefit amount, you will receive your benefits instead of your ex-spouse’s.

Navigating the complexities of Social Security benefits can be challenging, but knowing the factors that could affect your benefits is crucial. By being aware of how increased income, incarceration, and divorce can impact your Social Security, SSDI, or SSI benefits, you can take steps to protect your financial stability. Whether it’s consulting a financial advisor, monitoring your earnings, or knowing eligibility requirements, staying informed is key to ensuring you continue to receive the benefits you rely on.

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