As we have mentioned before on this blog, proving that you have a legitimate need for disability benefits can be a difficult challenge. That's because, the Social Security Administration has established a series of strict guidelines for the application process that requires people to not only demonstrate that they have a disability but that they have a need for financial support as well.
In a perfect world, applying for disability benefits would be easy. A person would simply have to produce evidence of a disability in order to receive benefits. This would happen quickly and with little confusion as to how much a person will receive over time or at what time it is best to collect their benefits.
If a worker who has been paying into the Social Security disability programs through payroll taxes experiences a life-changing disability that prevents substantial work, he or she should be able to count on those benefits. After all, the Social Security Administration's disability programs are intended as an insurance policy. The programs use pooled resources from payroll tax contributions paid by workers and a matching portion from employers.
Private long-term care insurance is costly, and many workers may feel they have enough comprehensive protection provided by their health insurance and their retirement plan strategy, which may include an individual retirement account and/or a 401(k).