If you are trying to decide whether to file for Social Security disability benefits, you should consider the following advantages of obtaining such benefits:

  1. One of the biggest benefits is it helps you keep your Social Security benefits at the level you earned while you were working. If you are awarded disability benefits, your earnings record will be affected so that you are entitled to a greater amount of retirement benefits than if you have "zero" years of earnings on your Social Security record.
  2. As soon as you have been entitled to Social Security Disability Insurance benefits for 24 months, you automatically become entitled to Medicare hospital insurance without charge and you may choose additional coverage for a small monthly premium.
  3. If your disability insurance benefits (DIB) are coordinated with your long-term disability insurance policy, you usually will be able to keep the Social Security cost of living increases that generally occur every year. Most insurance companies do not offset cost of living increases.
  4. Depending upon how payment was handled for your long term disability insurance premiums, it may be possible that there will be income tax advantages for you due to the fact that only certain percentages of Social Security benefits are taxable and then only if the individual's adjusted gross income exceeds certain base amounts.
  5. You should also apply because the following family members may be eligible to receive Social Security benefits as soon as you become eligible:
    • unmarried children under age 18 (or age 19, if in high school full time)
    • unmarried children age 18 and over who become disabled before age 22
    • a spouse who is caring for a child who is under 16, or who is disabled
    • a spouse age 62 or older
  6. Finally, if you are nearing retirement age, there may be another reason to apply. If you are between the ages of 62 and full retirement age, you are eligible for either reduced retirement benefits or disability benefits. Disability benefits are higher. If you are still receiving Social Security disability benefits at retirement age, your benefits will continue at the higher rate.