Step 1: Calculate Your Average Indexed Earnings

The SSA calculates your benefit based on:

• Your total lifetime taxable earnings adjusted for inflation.
• The number of years worked earning Social Security taxes.
• Your average monthly earnings during those years.

Step 2: Apply the SSDI Benefit Formula

Using your earnings, the SSA:

• Indexes your past income to current wage levels.
• Calculates your primary insurance amount (PIA), which determines monthly benefits.
• Ensures the benefit amount meets the minimum thresholds required for payment.

Step 3: Consider State-Specific Factors

For Colorado SSDI recipients, be aware that:

• Colorado does not add extra SSDI payments beyond federal benefits.
• Cost-of-living adjustments (COLA) from the SSA can increase your payments annually.
• Your living expenses in Colorado might impact your budgeting but not your benefit amount.

Step 4: Understand Payment Timing and Amounts

Your SSDI payments:

• Are issued on a monthly basis by the SSA.
• May start after a waiting period of approximately five months of disability.
• The first payment may be retroactive if your claim processing was delayed.

Common Factors Affecting Your Benefit

Some elements that can change your SSDI payment include:

• Work credits earned through Social Security taxes influence eligibility and benefit size.
• Previous earnings history directly affect the monthly benefit.
• Other disability benefits or income may offset your SSDI amount.
• Family benefits sometimes increase total payments if dependents qualify.