Ask Larry

Why Isn't My Son's Benefit Amount Higher?

I receive SSDI $969. My 6 year old son only receives $260 for auxiliary benefit. Why does he not receive 50% up to 80%. If I send an appeal for an increase will I get approved?

Hi,

There is a special family maximum benefit (FMB) formula that applies to benefits payable on the record of a person who receives Social Security disability (SSDI) benefits. Basically, the FMB on SSDI cases is limited to the lower of a) 150% of the worker's primary insurance amount (PIA), or b) 85% of the disabled worker's Averaged Indexed Monthly Earnings (AIME). AIME is basically the worker's average monthly earnings during the years used to calculate their benefit rate, after wage-indexing is applied.

When the applicable FMB is 150% of the worker's PIA, both the worker and one auxiliary (e.g. spouse, child) can be paid their full benefit amounts. The disabled worker is paid 100% of his or her PIA, and the auxiliary is paid 50% of the worker's PIA. However, when the FMB is based on 85% of the worker's AIME, if the AIME is a relatively low amount the FMB can end up being as low as 100% of the disabled worker's PIA. When that happens, the disabled worker is still paid 100% of their PIA, but that leaves no benefits available to be paid to auxiliaries.

The bottom line is that depending on the disabled worker's earnings history, family members who are eligible for auxiliary benefits on the worker's record can be due as little as $0 per month, or as much as their full 50% of the worker's PIA. I can't tell you for sure whether or not your son's benefit rate is correct based on the limited information in your question, but it's certainly possible if not likely that the amount he's being paid is correct.

Best, Jerry

Posted: 
Sep 23 2020 - 9:31am
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