Social Security Disability Benefits Claims Process - Bureaucracy at it Worst

You're disabled. You know it, your family knows it, your employer knows it, your doctors know it. Everybody agrees that you are disabled. So why does it take an average of three years to get approval for disability benefits from the Social Security Administration?

The criteria for obtaining disability benefits is very strict. According to the Social Security Administration you qualify for Social Security Disability benefits when your disability is permanent and prevents you from performing any gainful activity. It's that second part of the equation, performing other gainful activity, which is the most problematic. This second test means that even if you cannot perform your regular duties, you are not considered disabled if you can do some other work. There are many sub-variables that are evaluated in determining your ability to work, such as your age, your education and your work experience. Consequently, most claims for disability benefits are denied on the first application and you are forced into the appeals process, as often, these denials are reversed. The first level of review after the initial, inevitable denial is referred to as reconsideration. This is essentially a paperwork review and nothing more. You have sixty days from the date of the initial denial in which to request a reconsideration. After the reconsideration process and, likely, another denial, the next level or review is a hearing before an administrative law judge. This level offers the best chance of reversing the denial because you will be able to appear in person to present evidence. there are five levels to this process of obtaining disability benefits. It's a long, drawn out process and made intentionally hard in order to limit the number of claims that are approved. It's the federal government after all.

I must emphasize the need for you to secure a competent attorney who handles such disability claims. Those who do will accept your case on a contingency basis. If your attorney prevails they are entitled to either 25% of the past-due benefits or $6,000, whichever is less. Any fee arrangement must be approved by the agency. You can find a qualified representative through the National Organization of Social Security Claimants' Representatives (800-431-2804); web site is: nosscr.org or at the National Association of Disability Representatives (800-747-6131); web site is nadr.org or from Allsup; web site is: allsup.com (non-attorney representatives).

Tom is a Certified Public Accountant, a Certified Financial Planner, CLTC (Certified Long-Term Care) and President of Cerefice & Company, the largest CPA firm in Rahway, New Jersey. Tom works with clients helping them manage their money, retirement planning, college savings, life insurance needs, IRAs and qualified plan rollovers with an eye towards maximizing tax benefits and minimizing taxes. Tom is founder of the Rich Habits Institute and author of "Rich Habits".