Supplemental Security Income (SSI), Social Security Disability Income (SSDI) and Old Age, Survivors & Disability Insurance (OASDI) are not the same programs offered by the Social Security Administration (SSA).
- SSI – For low income elderly and individuals with disabilities after age 18 who cannot work like everyone else.
Before age 18, children with disabilities can become eligible for SSI if their household/parent income is low enough for the benefit. - SSDI – For individuals with disabilities that have previously WORKED and put into the system through the FICA tax
- OASDI – For retirees who have worked and put into the SSA system, some surviving family members, and disabled adult children (DAC) of those who worked
For many youth with disabilities (age 18+), financial support for housing, food, & clothing can be provided by the Social Security Administration IF the individual in unable to work at substantial gainful activity (the dollar amount changes every year) or work just like everyone else. In addition, when a youth gains SSI, they will automatically qualify for Medicaid health insurance. While many families may have private insurance, Medicaid becomes a secondary insurance to your private insurance. Some families may not want Medicaid. In the end, your child may need health insurance when you are no longer here or the private insurance is stopped.
Application Process
Families are advised to submit an application in the month AFTER the child turns 18. It takes approximately 1 year for SSI approval, unless you have a presumptive disability (mention this in the application). It is important to ONLY select the SSI application, NOT the Disability application.
It is imperative BEFORE you submit an application for your son or daughter that you do the following things:
- If your child is a male age 18-25, they MUST apply for selective service (even if your child has a significant disability)
- Set up a bank account BEFORE age 18 so that you as a can access it as a parent.
- Create a MYSSA account for your child using their email and your cell phone number (for multifactor authentication purposes).
- Ensure your son or daughter does NOT have more than $2000 in assets/resources.
- If you receive child support, make sure the divorce decree is sending the child support to a special needs trust or ABLE account (if total yearly amount is less than the yearly gift amount $20,000 in 2026). Otherwise it is included as income for your child by SSA.
- Research the adult disability descriptions and make sure you understand how SSA will evaluate your child’s disability. Just because your child has “autism” or an “intellectual disability” isn’t how they become eligible for SSI. Their disability must keep them from working like everyone else. Create a disability description using the same language the SSA uses in the Paragraph A & Paragraph B of each listing. Refer to it whenever you speak to a SSA agent.
- Collect former evaluations from doctors, psychiatrists, therapists, psychologists stating when the diagnosis started. Also find current evaluations that show how your child cannot work. Do not send generic evaluations or extra paperwork that do not support the requirements in the adult disability descriptions.
How SSA determines eligibility for disability
The local SSA office will review your application and call with additional questions or documentation needed. Once they receive it, your application is sent to Disability Determination Services (DDS). DDS will review your application, along with the supporting documentation, to determine if your child has a disability. Sometimes they will require your child to visit an SSA doctor for a separate evaluation. They use a sequential evaluation process to determine eligibility.
Work and SSI
Your child can work and keep SSI. The SSA will deduct $1 of every $2 of income your child earns from the Federal Benefit Rate owed (currently $994 in 2026). There are work incentives that allow your child to reduce the amount of earned income, thereby keeping more of their benefit. Those work incentives are called:
- Student Earned Income Exclusion for ages 18-22 for students regularly attending school, college, university, or vocational or technical training course.
- Impairment Related Work Expenses (IRWEs) – expenses that a person with a disability pays for in order to work
- Blind Work Expenses – expenses that a person with a visual disability pays for in order to work
- Plan for Achieving Self Support (PASS Plan) – Set aside income to meet expenses for reaching a work goal.
It is very important that ANY income is reported monthly. The easiest way to do this is to Call SSA at 1-800-772-1213 and provide the employer’s name and tax ID and that the information be added to your mySSA account so that you can report wages monthly. Reporting wages by the 10th of the month through the mySSA account is the most reliable and fastest way to do this. You can also fax your paystubs in each month to the local office (may not be accurately or timely reported) or send them by certified mail to a specific person in your local office. You will know if your wages have been reflected in your account when you receive a notice (either by mail or within your mySSA account) that wages for the month have been reported.
Once your child has worked long enough to earn the required work credits (based on age & when they started work), they will become eligible for SSDI. There will be a separate application and another work review by Disability Determination Services. After 24 months of receiving SSDI, your child will become eligible for Medicare. If they are also eligible for Medicaid, they may also be eligible for the Medicare Savings Program and Extra Help for Prescriptions.
Disabled Adult Child Benefits
When a parent retires (RSDI) or dies, an adult child with a disability can become eligible for Disabled Adult Child (50% at retirement/75% at death) benefits (DAC). When the parent applied for their benefit, they will tell SSA that they have a child with a disability that receives SSI.
If your child has ever earned income at Substantial Gainful Activity level, they will not be eligible for DAC benefits.
Usually DAC benefits will automatically reduce the SSI benefit to $0, which will also mean a loss of Medicaid. Your child will keep Medicaid automatically for two months after receiving RSDI DAC benefits. In order to keep Medicaid eligibility, it is important to apply for Medicaid again through with form H1200 (Texas HHSC). Per rules, the new DAC benefit amount should be excluded from income when determining Medicaid eligibility. If your child has a Medicaid waiver through a local authority, speak with your Service Coordinator about faxing the H1200 application in with their cover sheet. Write on the top of the application in red letters = “__Named__ Waiver, DAC”.
If you would like a consultation regarding SSI, SSDI, RSDI or work incentives – Book an appointment online.