Being born with a medical condition or acquiring an illness later in life can make it difficult to maintain a normal life. This is because some illnesses and medical conditions are disabling, which can make it challenging to obtain and maintain a job. Such a situation can make it impossible for people with a disability meet his or her basic needs. In these matters, Social Security often becomes imperative.
Applying for and being awarded Social Security disability benefits can make a huge impact on a person’s life. These monthly payments can make it possible to pay rent, buy food and purchase clothing and other basic needs. While these benefits are helpful, they are sometimes not enough. Additionally, many recipients rely on their entire benefits check to pay their monthly costs. This makes it next to impossible to ever save money to ensure an independent life.
Even for those working barely part-time and still receiving SSD benefits, this monthly income is still just enough to get by. However, even if SSD recipients are able to save, possibly for a vehicle or a child, this could disrupt his or her ability to continue receiving SSD payments.
As of last year, a new plan was introduced to help those living with disabilities save money while receiving SSD payments. This plan is class Achieving A Better Life Experience or ABLE plan. It is a savings program based upon the Social Security Administration that is open to those with disabilities that began before the age of 26. The goal of this plan is to allow those with disabilities to set aside money for long-term savings, even allowing friends and family members to contribute to the account.
Whether you are suffering a short-term or long-term illness, it is likely that you have many questions and concerns that revolve around finances. It is important to understand how you could take steps to save money, protect your rights and plan for a better future.
Source: Themighty.com, “How People With Disabilities Can Build Savings Without Losing Social Security Benefits,” Linda Atwell, May 2, 2017