Postal and Federal Disability Retirement: The SSDI Filing Requirement

As part of the filing for Federal Disability Retirement from the U.S. Office of Personnel Management, the Federal or Postal employee who is under FERS (CSRS is exempted from this procedural requirement) must file for Social Security Disability Insurance (SSDI) benefits.

How aggressively should one file for SSDI, and when should it be filed?  The latter question will be taken up first: as a practical matter, the U.S. Office of Personnel Management does not need to see a receipt showing that one has filed for SSDI until the date of an approval of a Federal Disability Retirement application.

However, most agencies are under the mis-impression that, procedurally, it must be accomplished prior to submission of a Federal Disability Retirement application, and some agencies actually misinform Federal and Postal employees by insisting that one must receive a “decision” from the Social Security Administration prior to submitting a Federal Disability Retirement application under FERS, with OPM.  That is simply untrue.  All that OPM requires is a mere receipt showing that you filed.  This can be completed and a receipt printed out, by filing online.

As for the extent of one’s efforts in filing for SSDI?  In order to answer that, multiple questions should be asked of one’s self:  Will I be working at another job in the private sector while on FERS disability annuity?  Do I plan to make more than the low threshold ceiling of allowable earned income which Social Security allows for?  How likely will it be to qualify for the higher standard of being unable to engage in “substantial gainful activity” under SSDI rules?

These are all questions which should be asked in the course of filing for SSDI under the FERS program of applying for Federal Disability Retirement benefits.  Remember, it is the question which narrowly focuses the answer; without the former, it is unlikely that one will arrive with accuracy unto the latter.

Sincerely,

Robert R. McGill, Esquire

OPM Disability Retirement: SSDI and the Pursuance Thereof

How aggressively one should pursue SSDI concurrently as one is preparing, formulating and filing for Federal Disability Retirement benefits from the U.S. Office of Personnel Management, is a question which one is often confronted with during the process of filing for Federal Disability Retirement benefits.

If one is under CSRS, then the question is a moot point, because CSRS employees do not have a requirement of filing for SSDI benefits.

For FERS employees, however, who make up the vast majority of Federal and Postal employees who file for Federal Disability Retirement benefits from the U.S. Office of Personnel Management, there is a requirement of filing concurrently for Social Security Disability Insurance (SSDI) benefits.  For purposes of satisfying the requirement of OPM, one needs to only show a receipt that one has filed.  Further, while many Human Resources personnel offices, both for Federal agencies and the U.S. Postal Service (the latter being comprised of the central office known as the H.R. Shared Services Center located in Greensboro, N.C.), misinform and misinterpret the statutory requirement of filing for SSDI, by telling people either that one must file and get a decision from the Social Security Administration prior to filing for FERS Disability Retirement benefits (wrong), or that you cannot file for FERS Disability Retirement unless and until you file for SSDI (also wrong) — the fact is, the only time OPM requires a showing of having filed for SSDI is at the time of an approval of a FERS Disability Retirement application.

As for how actively or aggressively one should pursue SSDI?  That depends, in most cases, on whether you will be attempting to work in a private sector job while on Federal Disability Retirement.  Because SSDI has stringent limits on what you can make in earned income, while OPM Disability Retirement allows for you to make up to 80% of what your former position currently pays, on top of the disability retirement annuity one receives, it becomes a pragmatic calculation.

Pragmatism is the guiding light to determine one’s self-interest, and that which is in the best interest of one’s future.

Sincerely,

Robert R. McGill, Esquire