SGA – Substantial Gainful Activity- Presumptive Amounts

At Step One of the Five Step Sequential Analysis , Social Security determines if you are engaged in Substantial Gainful Activity (SGA). When you work for someone else and are not self-employed, SSA usually uses a “rule of thumb” to determine if someone is engaged in SGA. According to this “rule of thumb” if you earn a certain dollar amount or less, you are usually not considered to be engaged in Substantial Gainful Activity. In 2008, for non-blind individuals, the amount is $940. For blind individuals, the 2008 amount is $1,570.  Here are the monthly amounts for the last several years:

Year                 Non-Blind                    Blind

2000                       $700                     $1,170

2001                       $740                     $1,240

2002                       $780                     $1,300

2003                       $800                     $1,330

2004                       $810                     $1,350

2005                       $830                     $1,380

2006                       $860                     $1,450

2007                       $900                     $1,500

2008                       $940                     $1,570

If you are self employed, the rules are much more complicated. These will be covered in a latter post.

If you are disabled and you have certain Impairment Related Work Expenses that cause you to be able to work,  you may be able to reduce the amount you earn each month by Impairment Related Work Expenses. In order for the expense to be an Impairment Related Work Expense (IRWE), the  expense must not be reimbursed, and must be related to your disability(ies) and needed in order for you to work.You may deduct your out-of-pocket expenses for items such as medicine, medical supplies, medical devices, service animals, and disposable items such as bandages and syringes when figuring the amount of your earned income.

You  may also be able to deduct your out-of-pocket expenses for medical services such as doctors visits and some attendant care services charged for preparing you for work, attending to you while you are at work, or getting you to and from work. You may also deduct certain out-of-pocket expenses for transportation and modifications to your home, car, or van to allow you to work.

There are other rules governing Substantial Gainful Activity that will be covered in latter posts. As with all things regarding Social Security Disability, you need to know all the facts and all of the rules before you can decide if you are engaged in Substantial Gainful Activity.