material for distribution (fwd)

From: David Andrews (dandrews@visi.com)
Date: Fri Oct 18 1996 - 20:27:06 PDT


---------- Forwarded message ----------
Date: Fri, 18 Oct 1996 21:38:39 -0400 (EDT)
From: Jim Gashel <jgashel@blazie.com>
To: Dave Andrews <dandrews@visi.com>
Subject: material for distribution

For more information contact:

James Gashel

Director of Governmental Affairs

 

 

               IMPORTANT NOTICE ON SGA FOR BLIND PERSONS

 

 

     The Social Security Administration has just announced the earnings
guideline for blind

persons to be used in determining Substantial Gainful Activity (SGA)
during 1997. The SGA

earnings guideline applies to eligibility decisions in the Social Security
Disability Insurance

(SSDI) program. It does not apply in any respect whatsoever to
determinations of eligibility

or payment amounts in the Supplemental Security Income (SSI) program.

 

     Beginning in January, 1997, average monthly earnings for a blind
person which are

less than $1,000 will not count as SGA. The comparable amount for 1996 is
$960. The

change in the SGA exempt amount for blind people is the result of an
automatic adjustment

made annually.

 

     From January, 1978, until March, 1996, the SGA exempt amount for
blind persons

was identical to the exempt amount for persons who retire at age 65.
However, the earnings

exemption for seniors was raised above the automatic adjustment level in
March, 1996, and

will increase further in six mandated steps to reach an annual exempt
amount of $30,000

beginning in 2002.

 

     Although the SGA exempt amount for blind people was specifically
excluded from the

mandated adjustments, it will still be raised gradually and automatically
year by year. By the

year 2002, when the exempt amount for seniors reaches $30,000, the SGA
guideline for

blind people is expected to be $14,400.

 

     It is important to provide correct and complete information to blind
people who may be

affected by the annual changes in SGA. This is particularly so
now--beginning with the 1997

change--since the exempt amounts for blind people and for seniors are
different. Because

more than thirty-five million seniors receive retirement benefits, and
fewer than one hundred

thousand blind people receive SSDI checks, the wrong information about the
exempt

earnings standard may be given in response to some inquiries. This was
less likely to occur

when the exemptions were linked.

 

     In view of the change in earnings exemptions, the Social Security
Administration is

aware of the possibility that confusing and incorrect information may be
given. Therefore, a

reminder notice is being circulated to personnel in Social Security
offices and to specialists

who answer calls in the teleservice system. The text of the notice from
the Social Security

Administration follows:

 

 

 

 

 

                    SOCIAL SECURITY ADMINISTRATION

 

      INFORMATION ON GUIDELINES FOR SUBSTANTIAL GAINFUL ACTIVITY

 

                    1997 SGA Amount for the Blind

 

     

     Effective January 1, 1997, the monthly substantial gainful activity
(SGA) amount for

persons receiving Social Security disability benefits based on blindness
will be $1,000. This

represents an increase over the amount in 1996, which was $960 per month.
The non-blind

SGA amount remains at $500 per month.

 

     It is important to remember that beginning in 1997, the blind SGA
amount is no longer

tied to the over age-65 retirement earnings test. That amount will rise
significantly over the

next five years based on legislation signed in March, 1996, until it
reaches $30,000 per year

in 2002.

 

     Although de-coupled from the retirement earnings test, the blind SGA
amount

continues by law to be adjusted annually based on the national average
wage index.



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