Jan 11, 2017

Number Drawing Disability Benefits Declines 1.13% In 2016

     The final numbers for calendar year 2016 are in. By the end of 2016 there were 1.13% fewer people receiving Social Security disability benefits than at the end of 2015. That's 100,694 people. This is happening at a time when the aging of the baby boom generation should still be causing increasing numbers of people receiving disability benefits.
     There are three main reasons this is happening. It's harder to get approved for disability benefits. It takes longer to get approved. Because it's harder to get approved and because it takes longer, many people are discouraged from filing claims in the first place.

9 comments:

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Anonymous said...

I think Dr. Abalaka is the real cause of the decline in disability numbers.

Anonymous said...

Actually the decrease is because the BABY BOOMERS are drawing retirement benefits instead of disability benefits or converting from disability to retirement. It will continue for another 8-10 years...

Anonymous said...

A recovering economy, DIB moving to RIB, lots of CDRs coming back as no longer disabled, all seem to contribute. When the economy tanks in the next 18 month under the great orange fluff ball you will see a spike in applications, if the program is still there...

Anonymous said...

@10:21 I think you are dead on.

Anonymous said...

Yes, please continue for the great orange fluff ball to fail so your own stock will fall. Are you all really nuts? The depression Obama inherited was due to the fact that Bush's last 2 years were with a Democrat Senate and House.

Anonymous said...

@11:02

You might have a point if you could cite regulations which passed through the senate and house, especially if they were over Bush's veto, but since you did not I can't judge the validity of your statement. I do, however, think it is unfair to blame a global recession on Bush alone, only disputing the entirely unfair suggestion that the cause was Obama.

Anonymous said...

The number of disability applicants has dropped 12% since the Affordable Care Act (and Medicaid expansion) became effective. A sizeable minority of people apply for disability just to get the free medical care for their chronic conditions, so access to health care lowers disability applications. (See http://blog.nolo.com/blog/2017/01/13/how-a-repeal-of-obamacare-could-affect-persons-with-disabilities/ .)
If the Republican repeal of ACA affects the ability of disabled people to get health care, and it appears it will, at least eventually, with Ryan's underfunded plan to shift those with pre-existing conditions to high-risk pools, disability applications will no doubt go up again, as well as the number of beneficiaries, to a lesser extent.

Tim said...

4:14 PM. I doubt that the Unaffordable care act had any REAL impact on application rates. SSI applicants would have already qualified for medicare before ACA. SSDI applicants become eligible once their income falls below the threshold. Many of them had insurance, until they were no longer able to work.

I think it's far more likely that longer waits and lower approval rates along with fewer people nearing the 50, 55, magic number dates together explain the reduced application rates.