You cannot draw both Social Security retirement and disability at the same time, but you may be able to draw one and then switch to the other.
The Social Security Administration treats retirement and disability as two separate benefit programs. You have a single Social Security account, and you receive payment from one program or the other — not both. However, your situation may change over time, and the rules allow you to move between them under specific circumstances.
The choice between retirement and disability is often not yours to make alone. If you are under your full retirement age and you have a medical condition that prevents you from working, you may only draw disability. If you are at or past your full retirement age, you can draw retirement instead. The amount you receive differs between the two programs, and when you start affects how much you get for the rest of your life.
Key Takeaways
- You draw from either the retirement program or the disability program, never both at the same time, because they share one Social Security account.
- If you are under full retirement age and unable to work due to a medical condition, you can only draw disability, not retirement.
- At your full retirement age, you can switch from disability to retirement, and your payment amount may increase.
- Family members may draw on your Social Security record whether you are receiving retirement or disability, but the total paid to your family has a limit.
- If you return to work while on disability, you must report your earnings, and your benefits may stop or reduce depending on how much you earn.
How the two programs work differently
Social Security retirement is based on your age and your work history. You can start drawing at age 62, but your monthly payment is smaller than if you wait. At your full retirement age — which ranges from 66 to 67 depending on your birth year — you receive your full benefit amount. If you delay past your full retirement age, your payment grows by about 8 percent per year until age 70.
Social Security disability is based on a medical condition that prevents you from working, not on your age. You must have worked long enough and recently enough to have earned enough work credits — typically 40 credits, with 20 earned in the 10 years before you became disabled. The Social Security Administration reviews your medical records and decides whether your condition meets their definition of disability. If you are approved, your payment is calculated the same way as retirement, but it does not increase if you wait.
The key difference for your decision: if you are 62 and unable to work, you might draw disability now and switch to retirement at your full retirement age. Or you might draw retirement at 62 and never draw disability. The path you choose affects your lifetime income.
When you can switch from disability to retirement
You automatically convert from disability to retirement at your full retirement age. The Social Security Administration does this without you asking. Your payment amount stays the same — it does not increase or decrease at the moment of conversion. However, if you delayed starting benefits until your full retirement age, your retirement payment would have been higher than your disability payment, so the switch may feel like a loss even though nothing changed.
You cannot switch from retirement to disability. Once you start drawing retirement, you are locked into the retirement program for life. This is why the decision to start retirement before your full retirement age is permanent and important.
If you are drawing disability and you return to work and earn above a certain amount, your benefits stop. This is called the trial work period and extended may be able to access period. During the trial work period, you can earn up to a monthly limit (which changes each year) without losing benefits. After nine months of trial work, you enter the extended may be able to access period, during which you lose one dollar of benefits for every two dollars you earn above a monthly limit. Once you earn enough to lose all your benefits, you exit the disability program entirely.
What happens to family members who draw on your record
Your spouse, ex-spouse, and children may draw benefits based on your Social Security record, whether you are receiving retirement or disability. The Social Security Administration calls this auxiliary benefits. Your spouse can draw at your full retirement age, and your children can draw until age 19 (or 19 if still in high school, or indefinitely if disabled before age 22).
The total amount paid to your entire family — you plus all family members drawing on your record — has a limit called the family maximum. This is usually 150 to 180 percent of your benefit amount. If your family members' combined benefits exceed this limit, each person's payment is reduced proportionally. The family maximum applies whether you are drawing retirement or disability.
If you switch from disability to retirement at your full retirement age, the family maximum stays the same. Your payment does not change, and neither do theirs.
How your payment amount is calculated
Both retirement and disability payments are based on your Primary Insurance Amount, or PIA. This is calculated from your 35 highest-earning years of work. The Social Security Administration adjusts older earnings for inflation and applies a formula that gives you a larger percentage of your early earnings and a smaller percentage of your later earnings.
The age at which you start drawing affects your retirement payment but not your disability payment. If you start retirement at 62, you receive about 70 percent of your full benefit amount. At your full retirement age, you receive 100 percent. At 70, you receive about 124 percent. Disability always pays your full benefit amount, regardless of your age.
If you are drawing disability and you switch to retirement at your full retirement age, your payment does not change because you are already receiving your full benefit amount. However, if you had started retirement early (at 62) instead of drawing disability, your retirement payment would have been permanently reduced, and you would receive less for life.
Deciding between retirement and disability before full retirement age
If you are under your full retirement age and you cannot work due to a medical condition, you have only one real choice: you must draw disability if you want any Social Security income. You cannot draw retirement before your full retirement age unless you are at least 62. The Social Security Administration will not let you draw retirement early and then switch to disability later.
If you are 62 or older and unable to work, you can choose to draw retirement instead of disability. This is rare, because disability usually pays more or the same amount. However, some people choose retirement because the medical review for disability takes months or longer, and retirement is faster. Others choose retirement because they do not want to go through the medical review process.
Before you decide, contact the Social Security Administration and ask them to estimate your retirement payment at 62, at your full retirement age, and at 70. Ask them separately what your disability payment would be if you were approved. Compare the numbers. Remember that disability can end if you return to work and earn above the limit, while retirement continues as long as you live.
What to ask your Social Security representative
When you contact Social Security, have your Social Security number ready and ask these questions in this order:
- What is my full retirement age?
- What would my retirement payment be if I started at 62? At my full retirement age? At 70?
- If I were approved for disability today, what would my disability payment be?
- If I draw disability now and switch to retirement at my full retirement age, will my payment increase?
- If I have a spouse or ex-spouse, what would they receive based on my record, and how would that change if I drew disability instead of retirement?
- If I return to work while on disability, what is the monthly earnings limit for the trial work period?
Write down the numbers the representative gives you. Ask them to mail you a statement showing your estimated benefits. Do not make a decision on the phone. Take the information home and review it, or share it with a family member or financial advisor.
Frequently Asked Questions
Can I draw retirement and then switch to disability later?
No. Once you start drawing retirement, you are locked into the retirement program. You cannot switch to disability afterward, even if you become unable to work. This is why the decision to start retirement is permanent and should not be rushed.
What if I am drawing disability and I get a job?
You must report your earnings to Social Security. During the trial work period (nine months), you can earn up to a monthly limit without losing benefits. After that, you lose one dollar of benefits for every two dollars you earn above a higher monthly limit. Once your earnings are high enough, your disability benefits stop entirely.
Will my family members lose their benefits if I switch from disability to retirement?
No. Your family members' benefits are based on your record and the family maximum, which do not change when you switch from disability to retirement at your full retirement age. Their payments stay the same.
If I am denied for disability, can I draw retirement instead?
Yes, if you are at least 62. You can draw retirement at any time after 62, regardless of whether you were approved for disability. However, starting retirement early means a permanently reduced payment for life.
How long does it take to be approved for disability?
The initial decision usually takes three to five months. If you are denied and you appeal, the process can take one to two years or longer. This is why some people choose to draw retirement at 62 while waiting for a disability decision — they receive income when ready rather than waiting.