Michael J. Astrue, Commissioner of Social Security, announced that benefit checks are being delivered to some Atlantic coast residents on Thursday, September 2nd, before the arrival of Hurricane Earl and ahead of the regular September 3rd payment date. About 737,000 beneficiaries in South Carolina, North Carolina, Virginia, Maryland, Delaware, Pennsylvania, New Jersey, New York, Rhode Island, Massachusetts, and Washington, D.C. are affected by this early check delivery.

“Delivering checks early to these residents eliminates one concern beneficiaries might have as they prepare for the storm,” Commissioner Astrue said. “As beneficiaries take steps to ensure their own safety, this is one step we can take to help them. They should also be aware that Direct Deposit is a more secure and convenient way to receive payments, particularly when natural disasters strike.”

Social Security worked closely with the U.S. Postal Service and the Department of the Treasury to make the early delivery of checks possible.

A little-known strategy that allows Social Security recipients to boost their income by repaying retirement benefits received in earlier years and then claiming a bigger monthly retirement check based on their greater age may soon disappear. The Social Security Administration (SSA) is moving to eliminate the do-over strategy. If the agency gets its way, the rule could take effect within months. If you or someone you know might benefit from the payback strategy, now is the time to consider it and come to a decision. Putting it off could mean letting the government make the decision for you — by eliminating the opportunity. Retirees can collect Social Security benefits as early as age 62, but monthly payments are reduced by 25 percent compared with what they would be if claimed at full retirement age, which is 66 for those who claim benefits this year. Those who are willing to wait past age 66 can boost their benefits by 8 percent for every year they delay, up to age 70, increasing annual benefits to 132 percent of their base amount. In 2007, about 500 people — out of more than 37 million retirees and their dependents receiving benefits — took advantage of the payback option. By 2009, the number had nearly doubled as more retirees learned how they could repay their benefits, interest- and penalty-free, and restart them at a higher level. As a bonus, those who repay benefits can claim a tax credit or a tax deduction — whichever results in a bigger tax break — for any income taxes paid on the benefits as they received them.

Source: Washington Post (August 29, 2010)

The Social Security Board of Trustees just released its annual report on the financial health of the Social Security Trust Funds and the long-range outlook remains unchanged. The combined assets of the Old-Age and Survivors Insurance, and Disability Insurance (OASDI) Trust Funds will be exhausted in 2037, the same as projected last year. The Trustees also project that program costs will exceed tax revenues in 2010 and 2011, be less than tax revenues in 2012 through 2014, and then permanently exceed tax revenues beginning 2015, one year earlier than estimated in last year’s report. The worsening of the short-range outlook for the Social Security Trust Funds is due in large part to the recent economic downturn.

“The impact of the current economic downturn continues to be felt by the Social Security Trust Funds,” said Michael J. Astrue, Commissioner of Social Security. “The fact that the costs for the program will likely exceed tax revenue this year is not a cause for panic but it does send a strong message that it’s time for us to make the tough choices that we know we need to make. I applaud President Obama for his creation of the Deficit Commission so we can start the national discussion needed to ensure that Social Security remains a foundation of economic security for our children and grandchildren.”

The Board of Trustees is comprised of six members. Four serve by virtue of their positions with the federal government: Timothy F. Geithner, Secretary of the Treasury and Managing Trustee; Michael J. Astrue, Commissioner of Social Security; Kathleen Sebelius, Secretary of Health and Human Services; and Hilda L. Solis, Secretary of Labor. The two public trustee positions are currently vacant. President Obama nominated two individuals to serve as public trustees, and the Senate Finance Committee held hearings on July 29 for both trustee nominees. Their confirmations are pending.

The 2010 Trustees Report is available here

Michael J. Astrue, Commissioner of Social Security, announced that the agency is submitting legislation to Congress that would prohibit states, without the Commissioner’s prior authorization, from reducing the number of state personnel who make disability determinations for Social Security or the hours they work below the amount the agency authorizes.

“It is long past time that states end these unconscionable furloughs and hiring freezes that needlessly harm citizens with disabilities,” Commissioner Astrue said. “States realize no fiscal savings whatsoever from these actions and this legislation would prevent needless delays in the disability determination process. I am grateful for the President’s support and urge Congress to move quickly to help us make this provision the law of the land.”

More than a dozen states have implemented furloughs and hiring freezes that affect the federally paid state workers who make disability determinations for Social Security. The state agencies that employ these workers in their disability determination service (DDS) components receive 100 percent of their funding from the Federal government. Accordingly, states do not save any money by imposing furloughs and hiring freezes on federally funded employees. Rather, they slow benefits to some of the most vulnerable citizens – for example, furloughs in California in fiscal year 2010 delayed payment of over $11 million in benefits to more than 40,000 citizens with disabilities. State-imposed furloughs and hiring freezes also reduce state income tax revenue and increase unemployment in the state.

“The members of Local 1000 have always believed that furloughing federally funded positions doesn’t make economic sense and that has been proven in California during these past 18 months that Governor Schwarzenegger has imposed furloughs on state employees,” Yvonne Walker, President of Service Employees International Union Local 1000 said. “I applaud Social Security for initiating legislation that would prevent further bad economic policy from going forward. This provision will not only help DDS workers, but the claimants who rely on the services our members provide.”

“We commend the Commissioner for his forceful and dedicated leadership in taking this bold action,” said Susan X. Smith, President of the National Association of Disability Examiners (NADE). “Our members are witness to the impact the current economic recession has had for disabled citizens and we are working hard to meet the dramatic increase in claims for benefits. These furloughs further compound the problems faced by disabled citizens by creating unnecessary delays in the processing of their claims. NADE urges quick action with regards to this legislative proposal.”

Determining whether drug or alcohol abuse will affect a claimant’s eligibility for Social Security Disability benefits depends on materiality. If drug or alcohol abuse is found to be material to your disability you will not be able to win a case for Social Security Disability benefits. For example, if you were to apply for Social Security Disability benefits based on liver dysfunction and hepatitis, but you also have a history of alcohol abuse, some of it recent. If your liver damage is so pronounced that ceasing alcohol use completely would make no difference to your medical condition, then your alcohol abuse would be immaterial to your condition and you would probably win your case for Social Security Disability benefits. Conversely, if ceasing alcohol use would result in medical improvement, then it is material to your disability and your claim for Social Security Disability would likely be denied. Simply put, Social Security will not pay Social Security Disability benefits to claimants whose disabling conditions are exacerbated by drug and alcohol abuse.

Claimants who have a history of drug or alcohol abuse but are currently not using these substances should carefully review their medical records. Doctors will often indicate “possible use” in their treatment notes. Such indications, proven or not, can have a damaging effect on your Social Security Disability case. Claimants who suffer from a mental disability should especially be careful, as mental disability cases are more likely to be denied when substance abuse is involved.

While each case is unique, it is true an applicant has a better chance of obtaining Social Security Disability benefits if they are sober and remain sober.

The Center for Disease Control Estimates that 3.9 million (1.8%) Americans are infected with the Hepatitis C virus (HCV), and of those infected, 2.7 million are chronically infected. Hepatitis C is a blood borne illness that causes liver disease and causes a host of symptoms that can prevent someone from working. Common symptoms of the Hepatitis C virus (HVC) include jaundice, dark urine, abdominal pain, loss of appetite, nausea, and fatigue.

The two approved drugs for treating Hepatitis C are interferon and ribavirin. The current treatment of choice for Hepatitis C is a combination therapy using pegylated interferon and ribavirin. This combination therapy can eliminate the Hepatitis C virus (HVC) in 50% and 80% of patients. However, side effects can be debilitating and include fatigue, arthritis and joint pain, vision problems, and cognitive problems.

The Social Security Administration (SSA) lists Hepatitis C under Digestive System – Chronic Liver Disease, on the list of impairments eligible for Social Security Disability benefits. In addition Social Security must consider the effects of medications used to treat Hepatitis C when making a determination as to Social Security Disability benefits. However, just being diagnosed with Hepatitis C or suffering from side effects from medication does not automatically qualify an infected person for Social Security Disability benefits.

Virginia Attorney Sheri Abrams, of the law firm of Needham Mitnick & Pollack PLC, has effectively assisted numerous clients in pursuing successful Social Security Disability claims related to Hepatitis C.

If you or someone you know suffers from liver disease brought on by Hepatitis C and you cannot work, please contact Attorney Sheri Abrams. She can be reached by phone at (703) 536-7778.

Attorney Sheri Abrams is honored to have received accreditation by the Department of Veterans Affairs (“VA”) to prepare, present and prosecute claims for veterans before the VA.

Accreditation refers to the authority granted by the VA to those attorneys who meet the standards established by the VA. VA’s stated purpose in requiring attorney accreditation is to ensure that claimants for VA benefits receive “qualified assistance in preparing and presenting their claims.”

To receive accreditation, federal law requires an attorney to complete continuing legal education covering, at a minimum, the following topics: VA representation, disability compensation, dependency and indemnity compensation and pension benefits, claim procedures, eligibility requirements, and appeal rights. An attorney must also establish that he or she is of good character and reputation.

The privilege of accreditation carries with it the responsibility to maintain specified standards of conduct and comply with the laws that govern VA representations, as set forth in the United States Code and the Code of Federal Regulations.

According to federal law, attorneys who do not receive VA accreditation are prohibited from assisting claimants in the preparation, presentation and prosecution of VA claims, regardless of whether or not the attorney charges legal fees for those services. Unaccredited attorneys may only provide limited services to veterans, such as providing general information about VA benefits, and may not assist veterans in the preparation, presentation, and prosecution of their claims.

The VA accreditation system is designed to ensure that lawyers who represent VA claimants have a thorough understanding of the VA health and benefit systems, so that they may provide quality assistance in the preparation, presentation and prosecution of those claims.

This accreditation allows Ms. Abrams to provide veterans and their families with advice on complex areas of law concerning long-term care planning, including VA pension benefits and the related issue of Medicaid benefits.

Ms. Abrams is proud to join fellow Needham Mitnick & Pollack Attorney Edward Zetlin in being one of the few attorneys in Virginia accredited by the Department of Veteran Affairs to assist veterans who have served our country obtain the benefits they deserve.

I have received a question regarding whether or not a person is entitled to retirement benefits on their ex-spouse’s Social Security record. The law on this is as follows:

An unmarried divorced spouse is entitled to benefits starting at age 62 if they had been married for at least 10 years and there ex- husband or ex wife is at least 62 years old (retired and receiving benefits or not) or are receiving Social Security Disability benefits.

A divorced spouse cannot receive this benefit if they have remarried unless the marriage is to a person already receiving benefits as a widow, widower, parent, or disabled adult child.

If the ex-spouse is 62 but not retired, then the divorce must have occurred at least two years before the divorced spouse can receive the benefits. If the divorced spouse was entitled before the divorce to benefits, there is no waiting period.

As for the amount of benefits that can be received:

A divorced spouse at full retirement age is entitled to 50% of their ex-spouse’s retirement benefit.

At age 62 the divorced spouse is entitled to between 32 1/2 % and 35 5/6 % of their ex-spouse’s retirement benefit depending on the divorced spouse’s full retirement age.

If the divorced spouse is also insured for their own retirement benefit, she/he would only receive whatever amount from their ex-spouse that is necessary to make up the difference.

The Congressional Budget Office determined it will pay out more in Social Security benefits in 2010 than it will receive in taxes. Social Security benefits are paid to senior citizens that are retired and those with disabilities funded by a federal deducted tax from payroll. This has never happened before, and was predicted to not happen until 2016. The Social Security administration blames the current recession as the main cause for this deficit taking place. More than 15 million Americans are out of jobs. With less people working, there are less paychecks being taxed, and therefore, less revenue for the Social Security Administration. However, the administration says this will not affect benefits for 2010.

Since the 1980s, analysts have been trying to predict when the social security system would go into deficit. Most predicted it would take place somewhere between 2016 and 2020. Now we know it is happening now.

Social Security has unveiled its newest online service – an application for Medicare benefits.

This new online application, which takes less than 10 minutes to complete, is for people reaching the Medicare eligibility age of 65 who want to delay filing for Social Security retirement benefits.

Currently about a half million Americans enroll in Medicare each year without applying for monthly benefits.

“Social Security’s online services are the best in all of government and exceed the top private sector companies in customer satisfaction,” said Michael J. Astrue, commissioner of Social Security.

“The new Medicare application is a welcome addition to our suite of online services and will make it easier than ever to sign up for Medicare.”

To apply online for Medicare, go to www.socialsecurity.gov and choose Retirement/Medicare under the header, “Click Below To Apply For.”

You will be asked a brief series of questions. If you have a question or need additional information, there are convenient “more info” links. When you’re done, just click the “Sign Now” button to submit the application. There are no paper forms to sign, and usually no additional documents are required.

If more information is needed, Social Security will contact you by phone or letter.

For a variety of reasons, more and more Americans are choosing to delay receiving Social Security retirement benefits past the Medicare eligibility age of 65.

Although the age to collect full retirement benefits used to be age 65, it is now age 66 for individuals just becoming eligible for retirement benefits and will eventually become age 67. Benefits can be increased by up to 32 percent if someone delays receiving them until age 70.

Yes! If you want to apply for Social Security Disability Benefits, the easiest way to do so is online. Save yourself the time and gas money driving to and from your local social security office. Applying for your Social Security Disability benefits online can take a little as 15 minutes, as opposed to the possible hours of being at an actual office, as social security offices are often very busybusy. Plus, some social security offices require an appointment to be made, and online there is no such delay.

If you are not sure whether or not you are ready to apply, please call my law firm, Needham Mitnick & Pollack, PLC for a free evaluation of your case.

Pending Cases Drop Below 700,000; Processing Time Down 72 Days

Michael J. Astrue, Commissioner of Social Security, announced that the number of disability hearings pending stands at 697,437 cases — the lowest level since June 2005 and down more than 71,000 cases since December 2008, when the trend of month-by-month reductions began. In addition, the average processing time for hearing decisions has decreased to 442 days, down from a high of 514 days at the end of 2008.

“We have decreased the number of hearings pending by almost 10 percent over the last 14 months and cut the time it takes to make a decision by nearly two and a half months. This remarkable progress shows our backlog reduction plan is working,” Commissioner Astrue said. “With ongoing support from the President and Congress as well as the efforts of our hardworking employees, I am confident the hearings backlog will continue to diminish.”

Social Security has actively addressed the hearings backlog and increased the capacity to hold more hearings. The agency hired 147 Administrative Law Judges (ALJs) and over 1,000 support staff in 2009, and has plans to hire an additional 226 ALJs this year. The agency now has four National Hearing Centers to help process hearings by video conference for the most hard-hit areas of the country. The agency also has aggressive plans to open 14 new hearing offices and three satellite offices by the end of the year. The first of these offices was opened in Anchorage, Alaska on February 19, 2010.

Virginia Attorney Sheri R. Abrams along with Attorney Benjamin W. Glass has published a new guide for anyone filing for Social Security Disability benefits. This comprehensive legal book explains the process of filing for Social Security Disability benefits in easy-to-understand language, describes how an experienced attorney can guide a claimant through the maze of administrative work involved, and answers frequently-asked questions about the process.

The clear organization and down-to-earth approach makes this book a valuable reference tool for a layperson who seeks to understand how and when to apply for Social Security Disability benefits-and when to hire an attorney to help.

Sheri Abrams practices Social Security Disability law in Virginia, Maryland, and the District of Columbia. Sheri is “of counsel” to the law firm of Needham Mitnick & Pollack. Virginia attorney Benjamin Glass has authored six previous legal books.

This book is available for purchase at Amazon.com and through Word Association Publishers.

You can also download a free copy at www.sheriabrams.com.

Taxpayers with disabilities may qualify for a number of IRS tax credits and benefits. Parents of children with disabilities may also qualify. These seven tax credits and other benefits are available if you or someone else listed on your federal tax return is disabled:

1. Standard Deduction

Taxpayers who are legally blind may be entitled to a higher standard deduction on their tax return.

2. Gross Income

Certain disability-related payments, Veterans Administration disability benefits, and Supplemental Security Income are excluded from gross income.

3. Impairment-Related Work Expenses

Employees, who have a physical or mental disability limiting their employment, may be able to claim business expenses in connection with their workplace. The expenses must be necessary for the taxpayer to work.

4. Credit for the Elderly or Disabled

This credit is generally available to certain taxpayers who are 65 and older as well as to certain disabled taxpayers who are younger than 65 and are retired on permanent and total disability.

5. Medical Expenses

If you itemize your deductions using Form 1040 Schedule A, you may be able to deduct medical expenses. See IRS Publication 502, Medical and Dental Expenses.

6. Earned Income Tax Credit

Earned Income Tax Credit (EITC) is available to disabled taxpayers as well as to the parents of a child with a disability. If you retired on disability, taxable benefits you receive under your employer’s disability retirement plan are considered earned income until you reach minimum retirement age. The Earned Income Tax Credit is a tax credit that not only reduces a taxpayer’s tax liability but may also result in a refund. Many working individuals with a disability who have no qualifying children, but are older than 25 and younger than 65 do — in fact — qualify for EITC. Additionally, if the taxpayer’s child is disabled, the age limitation for the EITC is waived. The EITC has no effect on certain public benefits. Any refund you receive because of the EITC will not be considered income when determining whether you are eligible for benefit programs such as Supplemental Security Income and Medicaid.

7. Child or Dependent Care Credit

Taxpayers who pay someone to come to their home and care for their dependent or spouse may be entitled to claim this credit. There is no age limit if the taxpayer’s spouse or dependent is unable to care for themselves.

For more information on tax credits and benefits available to disabled taxpayers, see Publication 3966, Living and Working with Disabilities or Publication 907, Tax Highlights for Persons with Disabilities available on IRS.gov or by calling 800-TAX-FORM (800-829-3676).

Michael J. Astrue, Commissioner of Social Security, announced that Starting March 1, 2010, Social Security is adding 38 more conditions to its list of Compassionate Allowances. This is the first expansion since the original list of 50 conditions – 25 rare diseases and 25 cancers – was announced in October 2008. The new conditions range from adult brain disorders, such as early-onset Alzheimer’s disease, and rare diseases that primarily affect children. The complete list of the new Compassionate Allowance conditions is available if you click here.

“The addition of these new conditions expands the scope of Compassionate Allowances to a broader subgroup of conditions like early-onset Alzheimer’s disease,” Commissioner Astrue said. “The expansion we are announcing today means tens of thousands of Americans with devastating disabilities will now get approved for benefits in a matter of days rather than months and years.”

Compassionate Allowances are a way of quickly identifying diseases and other medical conditions that clearly qualify for Social Security and Supplemental Security Income disability benefits. It allows Social Security to electronically target and make speedy decisions for the most obviously disabled individuals. In developing the expanded list of conditions, Social Security held public hearings and worked closely with the National Institutes of Health, the Alzheimer’s Association, the National Organization for Rare Disorders, and other groups.

“The diagnosis of Alzheimer’s indicates significant cognitive impairment that interferes with daily living activities, including the ability to work,” said Harry Johns, President and CEO of the Alzheimer’s Association. “Now, individuals who are dealing with the enormous challenges of Alzheimer’s won’t also have to endure the financial and emotional toll of a long disability decision process.”

“We will continue to hold hearings and look for other diseases and conditions that can be added to our list of Compassionate Allowances,” Commissioner Astrue said. “There can be no higher priority than getting disability benefits quickly to those Americans with these severe and life-threatening conditions.”

Michael J. Astrue, Commissioner of Social Security, announced on February 1, 2010 that 15 healthcare providers and networks have received $17.4 million in contract awards to provide electronic medical records to the Social Security Administration (SSA). These electronic medical records, which will be sent through the Nationwide Health Information Network (NHIN), will hopefully shorten the time it takes Social Security to make a disability decision and will improve the speed, accuracy, and efficiency of the disability program.

“Using health information technology will improve our disability programs and provide better service to the public,” Commissioner Astrue said. “We’ve seen a significant increase in disability applications. To process them, the agency sends more than 15 million requests annually for medical records to healthcare providers. This largely paper-bound workload is generally the most time-consuming part of the disability decision process. The use of health IT will dramatically improve the speed, accuracy, and efficiency of this process, reducing the cost of making a disability decision for both the medical community and the American taxpayer.”

The contract awards are funded through the American Recovery and Reinvestment Act (Stimulus). They will require awardees, with a patient’s authorization, to send Social Security electronic medical records through the NHIN. The NHIN, a safe and secure method for receiving access to electronic medical records over the Internet, is an initiative of the Department of Health and Human Services supported by multiple government agencies and private sector entities.

For the last year, Social Security has been successfully testing health IT to obtain electronic medical records. Disability applications processed with electronic medical records from the test sites have significantly reduced processing times. Some decisions are now made in days, instead of weeks or months. Social Security expects to receive more than 3.3 million applications in fiscal year (FY) 2010, a 27 percent increase over FY 2008.

Data from the U.S. Census is used to assign congressional seats to states, and it directly affects how more than $400 billion per year in federal funding is distributed to state, local and tribal governments. Accurate counts impact several important programs and services that are critical to the disabled community.

Here is what the census means for people with a disability:

* Helps state and county agencies plan for eligible recipients under the Medicare, Medicaid,and Supplemental Security Income (SSI) programs.

* Distributes funds and develops programs for people with disabilities and the elderly under the Rehabilitation Act.

* Distributes funds for housing for people with disabilities under the Housing and Urban Development Act.

* Allocates funds for mass transit systems to provide facilities for people with disabilities under the Federal Transit Act.

* Awards federal grants, under the Older Americans Act, based on the number of elderly people with physical and mental disabilities.

* Allocates funds to states and local areas for employment and job training programs for veterans and disabled veterans under the Job Training Partnership Act, Disabled Veterans Outreach Program.

* Ensures that comparable public transportation services are available for all segments of the population under the Americans with Disabilities Act.

Michael J. Astrue, Commissioner of Social Security, and Chubby Checker, Grammy Award winner and rock and roll legend, have launched a new campaign to inform millions of Americans about a new “twist” in the law that makes it easier to qualify for extra help with Medicare prescription drug costs. The extra help program currently provides assistance to more than nine million older adults and people with disabilities — saving them an average of almost $4,000 a year on their Medicare prescription drug plan costs. To apply for extra help, there is an easy-to-use online application available at www.socialsecurity.gov.

To qualify for extra help, people must meet certain resource and income limits. The new Medicare law eases those requirements in two ways. First, it eliminates the cash value of life insurance from counting as a resource. Second, it eliminates the assistance people receive from others to pay for household expenses, such as food, rent, mortgage or utilities, from counting as income. There also is another important “twist” in the law. The application for extra help can now start the application process for Medicare Savings Programs — state programs that provide help with other Medicare costs. These programs help pay Medicare Part B (medical insurance) premiums. For some people, the Medicare Savings Programs also pay Medicare Part A (hospital insurance) premiums, if any, and Part A and B deductibles and co-payments.

To learn more about the extra help program and to view the new TV spot featuring Chubby Checker, go to www.socialsecurity.gov/extrahelp.

Supplemental Security Income (SSI) is a federal program that helps people with disabilities and very low incomes pay for food, clothing and shelter. SSI is often confused with Social Security Disability Insurance (SSDI). One of the main differences between the two programs is that SSDI is available to people with disabilities no matter how much money they earn or have, while SSI places very strict limits on a recipient’s income and assets. However, in most states, an SSI beneficiary who receives even $1 from the program also qualifies for Medicaid health coverage, which can be far more valuable than SSI’s benefit itself.

How to Qualify for SSI:

This first requirement is often the hardest for SSI applicants to meet, in large part because the federal government’s definition of “disabled” is so narrow. In essence, adult SSI applicants who are seeking benefits based on a disability must show that they are almost completely unable to work at any job whatsoever. The applicant must have a physical or mental impairment that makes it impossible for him to engage in any “substantial gainful activity,” and this impairment must be expected to last for longer than one year or to result in death. If an applicant is able to engage in substantial gainful activity, then he will typically not be eligible for SSI. A child applicant must have a physical or mental impairment that results in marked and severe functional limitations and can be expected to last for longer than one year or result in death.

An SSI Beneficiary Must Have Very Limited Resources:

Once an SSI applicant has shown that she is disabled, she must also prove that she has less than $2,000 to her name. If the applicant can use or liquidate an asset to pay for food or shelter, the asset will probably count as a “resource” against this limit. A resource would include any funds held in the applicant’s bank accounts, retirement accounts, or in cash. If the applicant has set up a trust that does not meet specific requirements, the trust funds are also counted against the $2,000 limit. The applicant’s own home will not be considered an available resource, and her car is also exempt. The $2,000 resource limit does not disappear once a person qualifies for SSI. If an SSI beneficiary ends a month with more than $2,000 in her name, she will lose her benefits in the following month.

Income Is Key:

SSI recipients get only a modest monthly benefit, and this sum is reduced by any income they may have. In 2009, the maximum federal SSI benefit was $674 a month, although many states add a small supplement to this. In addition, SSI benefits are reduced by $1 for each dollar of unearned income a beneficiary receives (such as interest or dividends), and by $0.50 for each dollar of earned income (such as wages). SSI benefits are also reduced if an adult beneficiary lives in someone else’s home without paying rent, or if he receives free meals. Finally, the income of the people living with the beneficiary can count against the beneficiary. If the beneficiary’s combined income reduces his SSI benefit to zero, he loses SSI, along with any Medicaid benefits that may come with it.

Supplemental Needs Trusts Can Help:

Although SSI’s income and asset rules are highly restrictive, several types of trusts, called “Special Needs” or “Supplemental Needs” trusts, can protect an SSI beneficiary’s assets while allowing her to maintain SSI eligibility. Relatives and friends of the SSI recipient can also set up a trust for the recipient and fund it with their own money. If properly structured, these trusts also will allow an SSI recipient to continue receiving benefits. Unfortunately, a poorly drafted special needs trust can destroy any hopes an applicant has of ever qualifying for SSI.

Quality Advice Is Necessary:

SSI is a very complicated program with rules that most attorneys who do not focus on this practice area have trouble understanding. Therefore, it is essential to seek out a qualified special needs planner, such as the Attorneys at the Law Firm of Needham Mitnick & Pollack, who can guide you or your family through the complicated process of obtaining and maintaining SSI benefits.

It is my pleasure to announce that starting this January 2010 I will be joining the law firm of Needham Mitnick & Pollack, as “Of Counsel.”

After being a solo practitioner for the last 15 years I did not enter into this position lightly. However, I feel that this relationship with the wonderful people of this firm will be a benefit to both myself and my clients.

At Needham Mitnick & Pollack I will continue practicing Social Security Disability Law and Special Needs Planning as well as some additional areas in the future.

I will be available to see clients at Needham Mitnick & Pollack’s offices in Falls Church as well as my present office in Fairfax.

Needham Mitnick & Pollack is a well established Elder Law, Estate, Disability & Special Needs Planning law firm that can assist clients with Wills, Trusts, Probate, Trust Administration, Powers of Attorney, Advance Medical Directives, Guardianships, Long Term Care Planning, Disability Planning, Medicaid Eligibility, Veterans Benefits and Special Needs Trusts.

For more information on the law firm of Needham Mitnick & Pollack, please click here.

Attorney Sheri Abrams will be the speaker at the january 16, 2010 Springfield Multiple Sclerosis Support Group Meeting.

She will speak on the topic of how to receive Social Security Disability benefits.

The support group meets from 10:00 AM to Noon at:

Sunrise Assisted Living
6541 Franconia Road
Springfield, VA 22150

third floor

The woman at the front desk will direct you to the right elevator

All are welcome and this event is free.

The Social Security Administration earlier this month mailed notices that contained incorrect January 2010 payment dates. These erroneous notices went to about 6 million beneficiaries who receive their payments on either the second, third, or fourth Wednesday of each month, and are part of the annual benefit notices that go to 52 million Social Security beneficiaries. In the notice the payment date is incorrectly shown as one week before what the actual date of payment will be. The other information in the notice, including the payment amount, is correct. Social Security is sending a letter explaining the error to beneficiaries who received the incorrect one as soon as possible.

“We apologize for the inconvenience and confusion these incorrect notices will cause,” said Michael J. Astrue, Commissioner of Social Security. “The problem was caused by an unfortunate human error. We are correcting the misinformation as quickly as possible, and we are reviewing our processes closely to prevent this type of mistake from happening in the future. People receiving Social Security benefits in January 2010 should know that their payment will arrive on the same payment day that it has arrived in the past.”

From the Associated Press: A Canadian woman on long-term sick leave for depression says she lost her benefits because her insurance agent found photos of her on Facebook in which she appeared to be having fun.

Nathalie Blanchard has been on leave from her job at IBM in Bromont, Quebec, for the last year.

The Canadian Broadcasting Corp. reported Saturday she was diagnosed with major depression and was receiving monthly sick-leave benefits from insurance giant Manulife.

But the payments dried up this fall and when Blanchard called Manulife, she says she was told she was available to work because of Facebook.

She said her insurance agent described several pictures Blanchard posted on Facebook, including ones showing her having a good time at a Chippendales bar show, at her birthday party and on a sun holiday.

Blanchard said Manulife told her it’s evidence she is no longer depressed. She’s fighting to get her benefits reinstated and says her lawyer is exploring what the next step should be.

Blanchard told the CBC that on her doctor’s advice, she tried to have fun, including nights out at her local bar with friends and short getaways to sun destinations, as a way to forget her problems.

Manulife wouldn’t comment on Blanchard’s case, but did say they would not deny or terminate a claim solely based on information published on Web sites such as Facebook.

Michael J. Astrue, Commissioner of Social Security, today hosted the agency’s fifth public hearing on Compassionate Allowances. Commissioner Astrue was joined by Philip Wang, M.D., Dr. P.H., National Institute of Mental Health, National Institutes of Health, and Social Security executives. They heard testimony from some of the nation’s leading experts on schizophrenia about possible methods of identifying and implementing Compassionate Allowances for young adults with schizophrenia.

“Schizophrenia is a devastating disease that affects more than two million Americans, primarily individuals in their teens and twenties,” said Commissioner Astrue. “The onset of schizophrenia has life-changing consequences, which can include unemployment and homelessness. This hearing will help us to potentially identify the most severe cases and consider bringing them under our Compassionate Allowances umbrella.”

In October 2008, Social Security launched Compassionate Allowances to expedite the processing of disability claims for applicants with medical conditions so severe that their conditions by definition meet Social Security’s standards. “Our Compassionate Allowances and Quick Disability Determination processes are making a real difference by ensuring that Americans with devastating disabilities quickly receive the benefits they need,” Commissioner Astrue said. “This fiscal year, we expect to fast-track about 150,000 cases and we plan to add more diseases and impairments to these expedited processes in the coming months.”

The Circle of Support Conference is a conference for families of children with special needs and the professionals who work with them. The conference is sponsored by the ARC of Prince William County.

The conference is taking place on Saturday, November 7, 2009 from 8:30 AM until 3:30 PM.

The conference is taking place at: Hylton High School, 14051 Spriggs Road, Woodbridge, VA 22193.

For info about this conference please see this website: http://arcgpw.org/

Ms. Abrams will be speaking on The In’s and Out’s of Qualifying for Social Security Disability & SSI Benefits –

In this workshop, Sheri Abrams will discuss what social security disability and SSI benefits are, who qualifies for them (with emphasis on families of children with special needs), how the application and appeal process work, what to do if denied benefits, and when to hire an attorney and the costs involved. Sheri R. Abrams is an attorney specializing in Social Security Disability law and the preparation of wills, special needs trusts, living wills, financial powers of attorney, and health care powers of attorney. She is a sole practitioner in Fairfax, VA.

Good News: If you are – or know someone — applying for Social Security disability benefits, the waiting time for a decision is likely to be shorter rather than longer.

Since 1999, the number of people waiting for a decision on disability benefits swelled — and the waiting times became longer and longer. The results were often tragic – people lost their homes, families broke apart, people did not get badly needed medical care. Sad to say, nearly every year some people died while waiting for a decision.

Now – for the first time in a decade – the Social Security Administration has reduced both the number of people waiting for decisions on their disability applications and the waiting time to get a decision. SSA Commissioner Michael Astrue made the announcement in a recent press release.

We’ve been fighting for this for many years. The problem is that for many years, the Social Security Administration’s work load went up but its budget went down. The strains on the Social Security Administration became worse as the Baby Boomers began to retire. Finally, there was a small budget increase in 2008 and a more substantial increase in 2009.

Bad News: The recession threatens to overwhelm the recent improvements – and may make the waiting times pop right back up. The number of people applying for both disability and retirement benefits is rising dramatically. In a recession, people with disabilities and seniors who lose their jobs and cannot find another apply for Social Security retirement and disability benefits.

Stephen C. Goss, a top Social Security official, recently said that normally about 2.5 million people apply for disability benefits each year. By contrast, as of September 30, 2009, the annual applications were expected to be 3 million – with even higher numbers yet to come. “When there’s a bad recession and we lose 6 million jobs, people of all types are going to be part of that,” Goss said.

Associated Press – The Social Security Administration makes it official Thursday: There will be no cost of living increase for Social Security recipients next year, the first year without one since automatic adjustments were adopted in 1975.

The announcement comes as President Barack Obama and key members of Congress call for a second round of $250 payments to more than 50 million seniors, veterans, retired railroad workers and people with disabilities.

The payments would be equal to about a 2 percent increase for the average Social Security recipient. The cost: $13 billion.

Obama called on Congress Wednesday to approve the payments, and several key members of Congress said they would.

“This additional assistance will be especially important in the coming months, as countless seniors and others have seen their retirement accounts and home values decline as a result of this economic crisis,” Obama said in a statement.

Blame falling consumer prices for no automatic increase next year. By law, Social Security’s cost-of-living adjustment, or COLA, is pegged to inflation, which was negative this year, due largely to falling energy costs.

The $250 payments would go to Social Security recipients as well as those receiving veterans benefits or disability benefits, railroad retirees and retired public employees who don’t receive Social Security. Recipients would be limited to one payment, even if they qualified for more.

Obama said he would not allow the payments to come out of the Social Security trust funds and further erode the finances of the retirement program. Social Security already is projected to pay out more in benefits than it collects in taxes in each of the next two years.

However, Obama did not offer any alternatives to finance the payments. A senior administration official said Obama was open to borrowing the money, increasing the federal budget deficit. The official, who requested anonymity, was not authorized to speak on the record.

The $250 payments would match the ones issued to seniors earlier this year as part of the massive economic recovery package enacted in February. Those, too, were financed with borrowed money.

Senate Majority Leader Harry Reid, D-Nev., said he supports sending out another round of payments, as did Rep. Charles Rangel, D-N.Y., chairman of the Ways and Means Committee, which has jurisdiction over Social Security in the House.

Other lawmakers said Social Security recipients shouldn’t get the extra payments because the formula doesn’t call for it.

“I think it would be inappropriate,” said Sen. Judd Gregg, R-N.H. “The reason we set up this process was to have the Social Security reimbursement reflect the cost of living.”

Social Security payments increased by 5.8 percent in January, the largest increase since 1982. The big increase was largely because of a spike in energy costs in 2008.

Inflation has been negative this year as gasoline prices have dropped 30 percent and overall energy costs have dropped 23 percent, according to the Bureau of Labor Statistics.

Social Security payments, however, cannot go down. The average monthly Social Security payment for all Social Security recipients is $1,094.

Productivity and Processing Times Also Improve

Michael J. Astrue, Commissioner of Social Security, today announced that for the first time since 1999, the agency has ended the year with fewer disability hearings pending than in the prior year. Social Security ended fiscal year (FY) 2009 with 722,822 hearings pending compared to 760,813 hearings pending at the start of the year, a reduction of more than 37,000 cases. Over the same period, the average processing time for these cases improved from 514 days in FY 2008 to 491 in FY 2009.

“Our backlog reduction plan is working, and progress is accelerating,” Commissioner Astrue said. “Even in the face of a significant increase in our workloads as a result of the worst recession since the Great Depression, we have reduced the hearings backlog for nine consecutive months. Thanks to the efforts of thousands of hardworking Social Security employees and the additional funding we received from President Obama and the Congress, we have exceeded our backlog reduction goal for this year.”

To achieve its backlog reduction goals, the agency has embarked on the largest expansion in decades of its capacity to hear disability appeals. This year, the agency hired 147 new Administrative Law Judges (ALJs) and 850 support staff and plans to hire 226 additional ALJs plus support staff in FY 2010. To provide flexibility to assist the most backlogged hearing offices, the agency opened three new National Hearing Centers (NHCs) in Albuquerque, New Mexico; Baltimore, Maryland; and Chicago, Illinois. The agency also has aggressive plans to open 14 new hearing offices and 4 satellite offices by the end of next year with the first of those new offices opening in Anchorage, Alaska in the next few months.

In addition to reducing the number of cases awaiting a hearing decision, the agency again targeted the oldest and most difficult cases for processing. Beginning in FY 2007 with 65,000 cases that were 1,000 days old or older, the agency has continually attacked its “aged” cases. This year, the agency targeted 166,838 cases that were 850 days or older and virtually eliminated this entire universe of cases. The goal in FY 2010 has been reset again to eliminate cases over 825 days old.

Social Security’s ALJs also continue to increase their productivity. The agency averaged 570 dispositions (2.28 per day) per available ALJ in FY 2009, an upward trend that has continued for the last three years.

A U.S. district court has approved a settlement agreement between the Social Security Administration (SSA) and a group of individuals who had their benefits automatically withheld because of outstanding arrest warrants against them. The SSA has agreed to repay more than $500 million in benefits that were withheld since Jan. 1, 2007.

The settlement resolves a class action lawsuit that challenged the implementation of a law that sought to prevent people from using government resources to flee from arrest. Instead of figuring out which Social Security recipients were actually fleeing prosecution, the SSA suspended benefits by using a computer matching system to match names in warrant databases to those at the SSA. However, many of the matches involved false or unproven allegations, minor infractions, or long-dormant arrest warrants.

Under the agreement, the SSA stopped suspending or denying benefits solely on the basis of an outstanding warrant as of April 1, 2009. Benefits will still be withheld if the warrant was issued in a criminal proceeding on a charge such as flight or escape. According to the National Senior Citizens Law Center, more than 200,000 people may see their benefits reinstated or receive back payments due to the settlement.

Although the typical Social Security Disability Insurance (SSDI) recipient has worked for a fairly long time before the onset of his/her disabling condition, an adult who became disabled before turning 22 can also qualify for SSDI if she/he has a parent who meets certain qualifications.

SSDI is a federal program primarily designed to aid people who have become disabled after having worked for a certain amount of time. Unlike Supplemental Security Income (SSI), SSDI is not a needs-based program, which means that there are no income and asset restrictions. Instead, a beneficiary typically has to have paid into the Social Security system for at least 10 years prior to his disability. An SSDI benefit depends on the beneficiary’s income before he/she became disabled, the size of his/her family, and the amount he/she paid into the Social Security system. Finally, SSDI recipients can receive Medicare two years after qualifying for SSDI.

Most people who have a serious disability before turning 22 are not able to assemble the necessary work record to qualify for SSDI on their own. But people in this situation may instead be able to qualify for SSDI on their parents’ work record, in certain situations.

First, the “adult disabled child” (the Social Security Administration’s (SSA) term for a person with a disability that manifested itself before age 22) must be completely disabled according to the SSA’s adult disability standards. Second, the disability must have occurred before the potential beneficiary turned 22. Third, the potential beneficiary’s parent must have paid into the Social Security system for the required number of quarters. Finally, and most importantly, the potential beneficiary’s parent must be either dead, permanently disabled, or receiving Social Security retirement benefits.

If an adult disabled child and her parent meets all of these qualifications, then the “child” should be able to receive a substantial benefit, often greater than an SSI award. On top of the monetary gain, the child does not have to worry about her/his own unearned income or assets, since SSDI does not take these into account. However, if a child earns enough income through employment, the SSA may determine that she is no longer disabled and cancel her SSDI benefits. The parent’s own retirement benefits are not affected by their child’s receipt of SSDI, and the child can still qualify for SSI benefits if her SSDI payments, which count as unearned income for SSI purposes, do not disqualify her/him.

Parents who have not begun to receive their own Social Security income but who think that their child may qualify for SSDI in the future may want to have their child screened by the Social Security system for his disability before he reaches age 22. If this is not possible, it pays to have the child’s physician clearly document all of the information surrounding the child’s disability from as early an age as possible. This way, when the parent does retire, the child has a long record showing the presence of the disabling condition before he/she turned 22, making the SSDI application easier.

Attorney Sheri Abrams can explain the rules for applying for SSDI and can give your family guidance if you think your child may qualify in the future.

As the economy worsens, incidences of financial abuse on the disabled are reportedly on the rise. The disabled are particularly vulnerable to scams or to financial abuse by family members in need of money. A recent study found that up to one million disabled Americans may be targeted yearly.  Family members and caregivers are the culprits in 55 percent of cases, although financial losses are higher with investment fraud scams.

While it is impossible to guarantee that an disabled loved one is not the victim of financial abuse, there are some steps you can take to reduce the chances.  One option is to have more than one family member involved in caring for the loved one.  You can also encourage the disabled person to get involved in community activities to ensure he or she has a wide range of support. Using direct deposit as much as possible is also helpful, especially of their Social Security Disability benefits. And of course you should always screen caregivers carefully and verify references.

Financial abuse can be very difficult to detect. The following are some signs that a loved one may be the victim of this kind of abuse:

The disappearance of valuable objects;
Withdrawals of large amounts of money, checks made out to cash, or low bank balances;
A new “best friend” and isolation from other friends and family;
Large credit card transactions;
Signatures on checks look different;
A name added to a bank account or newly formed joint accounts; and
Indications of fear of caregivers.

If you suspect someone of being financially abused, there are several actions you can take:

Report the crime by calling your local Adult Protective Services and state attorney general’s office.

File a police report.
Explore options at your local court. The court can intervene if someone in the family is misusing a power of attorney or their role as guardian or conservator.

Contact advocacy organizations.

State laws vary, but some may be available to get restitution for breach of fiduciary duties.
Try to get a temporary restraining order from a court while building your case.

Social Security Announces Nationwide Launch of Compassionate Allowances

Process Will Fast Track Applications For People with Cancers and Rare Diseases

Michael J. Astrue, Commissioner of Social Security, on October 27, 2008 announced the national rollout of the agency’s Compassionate Allowances initiative, a way to expedite the processing of disability claims for applicants whose medical conditions are so severe that their conditions obviously meet Social Security’s standards.

Getting benefits quickly to people with the most severe medical conditions is both the right and the compassionate thing to do, Commissioner Astrue said.  This initiative will allow us to make decisions on these cases in a matter of days, rather than months or years.

Social Security is launching this expedited decision process with a total of 50 conditions. Over time, more diseases and conditions will be added. A list of the first 50 impairments — 25 rare diseases and 25 cancers — can be found at www.socialsecurity.gov/compassionateallowances.

Before announcing this initiative, Social Security held public hearings to receive information from experts on rare diseases and cancers. The agency also enlisted the assistance of the National Institutes of Health.

Compassionate Allowances is the second piece of the agency’s two-track, fast-track system for certain disability claims. When combined with the agency’s Quick Disability Determination process, and once fully implemented, this two-track system could result in six to nine percent of disability claims, the cases for as much as a quarter million people, being decided in an average of six to eight days.

“This is an outstanding achievement for the Social Security Administration,” said Peter Saltonstall, President of the National Organization for Rare Disorders. “It has taken Social Security less than a year to develop this much-needed program that will benefit those whose claims merit expedited consideration based on the nature of their disease. Disability backlogs cause a hardship for patients and their families. Commissioner Astrue and his staff deserve our thanks for a job well done.

Unfortunately, many hardworking people with cancer may not only face intensive treatment to save their lives, but they may also find themselves truly unable to perform their daily work-related activities and as result, may face serious financial concerns, such as the loss of income and the cost of treatment, said Daniel E. Smith, president of the American Cancer Society Cancer Action Network.  The Social Security Administration’s Compassionate Allowances program will help streamline the disability benefits application process so that benefits are quickly provided to those who need them most.

This is America, and it simply is not acceptable for people to wait years for a final decision on a disability claim, Commissioner Astrue said.  I am committed to a process that is as fair and speedy as possible. The launch of Compassionate Allowances is another step to ensuring Americans with disabilities, especially those with certain cancers and rare diseases, get the benefits they need quickly.

Social Security benefits for 50 million people will go up 5.8% next year, the largest increase in more than a quarter century. The increase, which will start in January, was announced October 16, 2008 by the Social Security Administration.

It’s the largest increase since a 7.4% jump in 1982 and is more than double the 2.3% rise that people getting Social Security got in their monthly checks this year.

The 5.8% rise in the cost of living adjustment is a sharp departure from recent years. The COLA increases have been below 3 percent for all but three of the past 15 years.

The biggest cost of living benefit on record was a 14.3% increase in 1980. Social Security benefits have been adjusted every year since 1975.

In more good news, the cost of living increase will not be eaten up by higher monthly premiums for the part of Medicare that pays for physician services. Because of gains in the Medicare Part B trust fund, that premium will hold steady at $96.40 a month, although higher-income people including couples making more than $170,000 annually will see their premiums increase.

The average retired couple, both getting Social Security benefits, will see their monthly check go up by $103 a month to $1,876.

The standard Supplemental Security Income payment for a couple will go from $956 per month to $1,011. The SSI payment for an individual will go from $637 per month to $674 per month.

The average monthly check for a disabled worker will go from $1,006 to $1,064.