The Social Security Disability Insurance (SSDI) payments will increase in January 2025, with the distribution of payments scheduled based on beneficiaries’ birthdays, beginning on January 8 and continuing in three rounds throughout the month.
Since its establishment in 1956 (during Dwight D. Eisenhower), SSDI has been a fundamental program providing economic security to millions of people with disabilities in the United States. This system is financed primarily through payroll taxes, contributed by both employers and employees.
Is the SSDI program at risk? Some say yes
However, experts have warned that if changes are not implemented in the system, the Social Security Administration (SSA) could have difficulty ensuring full payments to beneficiaries starting in 2034.
The increase in the number of beneficiaries, combined with a reduction in the number of active taxpayers, puts the United States Congress in a critical position to act to ensure that there are no reductions in beneficiary payments.
As the general population ages, the number of people who can apply for disability benefits increases, putting greater pressure on the program. Rising healthcare costs also contribute to higher SSDI expenses.
A low birth rate means fewer workers contributing to the Social Security system, and successive economic crises, such as those of the 2000s, and the coronavirus pandemic, have caused a decline in funding for the Social Security program.
SSDI benefits growth and projections
In January 2025, the maximum monthly SSDI benefit is expected to be approximately $4,018, thanks to a 2.5% cost of living adjustment (COLA) applied to the previous fiscal year’s figures.
The average monthly payment will be close to $1,580. These increases are vital to maintaining the purchasing power of beneficiaries, who often face economic challenges due to their condition.
Now, payments for January 2025 will be scheduled for three different dates. Beneficiaries born between the 1st and 10th of each month will receive their regular payments on January 8, 2025. The SSA organizes the delivery of these payments in three cycles, depending on the date of birth of each beneficiary, which helps ensure a fluid and orderly process.
The payment dates for the other beneficiary groups are as follows:
- Beneficiaries born between the 11th and the 20th of each month: payments will be sent on the third Wednesday of the month, that is, January 15.
- Beneficiaries born between the 21st and 31st of each month: their payments will arrive on the fourth Wednesday, January 22.
The benefits SSDI recipients receive depend on several factors, including the length of their work history and the total contributions made over their career.
Income and benefit limits for blind applicants
To maximize benefits, applicants must have worked for a considerable amount of time and have accumulated sufficient work credits. Starting in 2025, income limits will allow blind individuals to receive up to $2,700 per month without affecting their benefits, while blind individuals can earn up to $1,620 per month without it interfering with their payments.
The SSA also provides an online calculator that allows beneficiaries to estimate the amount they can expect to receive each month, taking into account their work history and contributions made.
Keep in mind that the monthly SSDI payments are different from other benefits administered by the SSA, such as Supplemental Security Income (SSI). SSDI payments are intended for people with disabilities that limit their ability to work and are distributed monthly at the beginning of each month, ensuring that recipients maintain their financial stability.