facebook pixel

SSA to Extend Workers’ Compensation Offset

By Advocator February 4, 2016

The Social Security Administration (SSA) has issued a Notice of Proposed Rulemaking (NPRM) in the Federal Register, whereby they propose to extend the Workers’ Compensation Offset from age 65 to the Full Retirement Age. In most states, Social Security applies a reduction (offset) of Social Security Disability (SSDI) benefits received by an individual in Workers’ Compensation benefits. Under current regulations, this offset ends when an SSDI recipient reaches age 65. Section 201(a) of The Achieving a Better Life Experience Act (ABLE Act) passed by Congress in 2014 amended the Social Security Act in part by replacing “age 65” with “retirement age” where it appears in the context of Workers’ Compensation offsets.

In order to change this in the Social Security’s regulations, the Administrative Procedures Act requires SSA to publish notice of the change in the Federal Register and allow the public to comment on the proposed change before it becomes final. However, because the ABLE Act amended the Social Security Act, this change is all but certain to become final. The regulation applies to any SSDI beneficiary who reaches the age 65 on December 15, 2015 or later.

An individual’s full retirement age for purposes of Social Security benefits is based on their year of birth as outlined below:

Year of Birth
1937 or earlier
65 and 2 months
65 and 4 months
65 and 6 months
65 and 8 months
65 and 10 months
66 and 2 months
66 and 4 months
66 and 6 months
66 and 8 months
66 and 10 months
1960 and later
Nothing in this post is intended as advice or a suggestion to elect or not elect to claim benefits of any kind, including Social Security benefits, nor is it intended as financial advice in any way.  The decision to claim benefits is a personal one that is contingent upon each individual’s unique circumstances.

Need help applying for SSDI?

Brown & Brown can help you better understand and take advantage of the many benefits of Social Security Disability, to help maximize your financial well-being during your period of disability.

Get a Free Evaluation