Social Security Disability Insurance (SSDI) and many private disability insurance policies offer financial support for those who cannot work due to long-term disabilities. However, qualifying for these benefits can be complicated for gig workers and freelancers, who may have irregular work patterns and income streams.
Proving disability in relation to work
Gig work can make it hard to prove to the Social Security Administration (SSA) – and other private insurance companies – that a disability prevents a person from working. This is because freelancers can often:
- Have many clients: This makes it harder to show that a disability affects all types of work they do.
- Do various kinds of work: This variety can make it difficult to prove that a disability stops them from doing all these tasks.
- Choose when they work: This flexibility might make it seem like they can work around their disability, even if their condition prevents them from working consistently.
These factors make it challenging to clearly show how a disability impacts their ability to perform their usual work duties, whether applying for SSDI or making a claim on a private disability insurance policy.
Documenting income loss and the onset date
Unlike employees with steady paychecks, gig workers often have changing incomes. This can make it difficult to show what their normal income looked like and how the disability affected it. Freelancers may need to prepare extensive documentation, including:
- Tax returns from multiple years
- Client contracts
- Invoices
- Bank statements
Finding the exact date when a disability began to affect work can also be hard. With flexible schedules and the assumed ability to work around health issues, freelancers may find it hard to say when they became disabled.
Dealing with ongoing benefits
The SSA has rules about how much money you can earn while still receiving disability benefits, which can change every year. In 2024, if you’re on disability and don’t have a visual impairment, you can earn up to $1,550 per month. If you’re blind, this limit is higher at $2,590 per month. So, if you earn more than these amounts, you might lose your SSDI benefits.
Private disability insurance policies may also have rules about ongoing work and earnings. This can be challenging to manage with an unpredictable income.
Advocate for the benefits you deserve
Finding ways to provide for yourself should not jeopardize your disability benefits. If you’re facing challenges with claiming insurance benefits, know that you have support and legal help available.
