Disability Benefit Program Is Going Broke (but unemployment down to 7.8%)

The Fiscal Times ^ | July 27, 2012 | JOSH BOAK

[Kenny]

For a country still gasping to recover from the Great Recession, disability payments from Social Security have evolved into a lifeline and an economic trap for millions of unemployed Americans threatening the program with insolvency in just four short years.

Created decades ago to help those unable to work because of severe health problems, the $128 billion program stops many from sliding into total poverty and inflicting further damage on the economy. More Americans qualified for disability than found jobs over the past three months, and since 2000, the number of beneficiaries rose by 73 percent, even though the workforce rose by less than 10 percent. But of the 8.7 million beneficiaries, federal officials claim the vast majority – with some estimates as high as 99 percent – will never rejoin the workforce and remain dependent on the federal government.

~snip~

Addressing the quandary in a white paper last December, the Obama administration called for extending unemployment benefits this year to reduce the ranks of the jobless applying for disability. The paper drew on preliminary research by Alan Krueger, chairman of the Council of Economic Advisers, showing that jobless Americans over the age of 50 with little savings increasingly apply for disability as their 99-weeks of unemployment runs out. SSDI continues until the beneficiary is old enough to collect Social Security.

[Kenny]

This is where many of those unemployed disappeared to. The sad thing is, most would rather work if able but can't find jobs.

[opentalk]

Obama Increased Foreign Aid 80%

Obama-- American wealth redistribution.

[4Liberty]

the money went to union bailouts, solyndra, etc.

[pnut22]

Most may have liked to work, but after a few checks for doing nothing that desire will soon pass.

[Buckeye McFrog]

The sad thing is, most would rather work if able but can't find jobs.

Not the one living around the corner from me.

Late 40's
Not physically fit, but certainly not disabled.
Union electrician
Wife full-time employed
Kids pretty close to out of the house

SSI has allowed him to live out his life-long dream of sitting around the house drinking beer and watching porn all day.

[fella]

What;s going to happen to the able bodied who are getting disability when the powers that be finally decide to look into disability fraud?

[Saltmeat]

Disability payments is not the only way that Obama has attempted to buy as many votes as he can in. He is also directing the Veterans Administration to qualify as many as possible for agent orange exposure compensation. I know a vet that qualified but only spent five days in Saigon in an air conditioned hotel while he waited to be transferred to his ship off the coast of Vietnam. He now draws $3000 per month tax free and after he dies his widow will be eligible to draw half of what he is getting for the rest of her life. The amount increases annually as does SS payments. Do we have a great country or what?

[count-your-change]

A fifty-five year old white male who has worked at the same place for the last 15 to 20 years and is at the top of his pay scale is not likely to find any but the most menial job if that, when given the boot.

But no one just “goes on disability”. A physician has to certify their disability and that is subject to challenge by the SS Administration.

[nascarnation]

If you watch “Maury” or “Springer” there are about as many adverts for SSDI lawyers as there are for accident lawyers.
It’s becoming a booming part of legal practice.

[<1/1,000,000th%]

52 weeks unemployment in Illinois.

[Fraxinus]

But no one just “goes on disability”. A physician has to certify their disability and that is subject to challenge by the SS Administration.

I might think this was an obstacle if I did not remember reading an article where the "judges" who reviewed these claims were told not to look for the claimants public facebook pages. Also I remember a readers digest article from ~2000 where they described people making false workmans comp claims. I consider it likely that many of the same people making false workmans comp claims are also making false disability claims.

[Chickensoup]

If I see one more 22 year old drug addict with a “bad back” collecting full boat disability and popping out babies left and right and getting everything full-boat and PROUD OF IT, I am going to get sick.

[Chickensoup]

LOL

Had a union electrician living in an apartment I own. Every little issue between him and other tenants he brought to me. I finally realized that he thought of me as kind of a shop steward.

He and I had a long talk, at the end of his lease, he left.

[Chickensoup]

When you collect disability you get back paid to the first time you put in a claim, even if rejected.

So you put in and it takes three to six times and you get a lawyer, and then all of a sudden four years later, you qualify and get a real “chunk.” The lawyer gets his share of the chunk and you get high for the next year, or do it all up at once and OD.

[nascarnation]

The advertising is designed to assuage any guilt.

“You’ve paid into the system your entire working life - now get the benefits you deserve!”

[Chickensoup]

Really? I dont have a television so dont watch.

There are ill people who need and deserve SSDI. The truly physically and mentally disabled and handicapped. But the drug addict alcoholic, party crowd, forget it.

[nascarnation]

The numbers are skyrocketing and the scum lawyer crowd have jumped on this new growth industry in the Era of Baraq.

[count-your-change]

I’d rather watch a garbage truck off load than watch Maury or Springer.
Yep, I see the adverts for the lawyers trolling for business. The only thing they’re going to do is take somebodies money for what the person could do themselves.

[count-your-change]

I know. Where money is involved fraud follows.