Social Security and IMRF Disability

How Social Security disability reduces your IMRF disability payments

IMRF disability benefits are reduced by the amount of Social Security disability benefits to which you may be entitled, even if you do not apply.

Social Security begins paying disability benefits after five months or later from the onset of the disability. Therefore, if it is possible your disability will last more than five months, it is essential that you apply for Social Security disability to make sure you keep receiving disability income.

When your IMRF benefit is reduced

Whenever an IMRF disability benefit is reduced, the amount of your monthly benefit will be at least $10.

With this payment:

• You still earn IMRF service credit
• Your other IMRF benefits continue to apply. Read more here. 

How the reduction is calculated

IMRF disability benefits are reduced dollar for dollar by your Social Security disability benefits.

IMRF will adjust your disability benefits retroactively if:

• The Social Security entitlement date is different from the date originally estimated by IMRF.
• Social Security awards less than the amount of reduction.
• Social Security denies benefits and/or the appeal process has been exhausted.
• You receive additional earnings in a year (whether due to a Social Security adjustment or new earnings).
  Note: Social Security payments to your spouse or dependents will not be included by IMRF when the reduction is made. This also includes cost of living increases.

If you receive workers’ compensation benefits, or if you are on Medicaid or Medicare, Social Security will reduce its disability benefit. (Contact Social Security for more information.) However, IMRF disability benefits are reduced by the amount of Social Security disability benefits you may be entitled to receive before any reduction for workers’ compensation.

Applying for Social Security disability benefits

You can apply for Social Security disability benefits online, by phone, or in person.

• If you apply online
• Print the confirmation/receipt page titled “What You Need To Do Now.”
• Send it to IMRF as proof that you applied.
• If you apply by phone (1-800-772-1213) or in person
• You will receive a Receipt of Claim (also known as a confirmation letter).
• Send IMRF a copy of the Receipt of Claim as proof that you applied.
• Make sure to include your Member ID number on all pages of your Receipt of Claim.

When you receive notice from Social Security

If you are awarded benefits, send IMRF a copy of the award certificate.

If you are denied benefits:

• Send IMRF a copy of all pages of the denial notice.
• Send IMRF a letter telling us whether or not you intend to appeal the denial.

If your Social Security benefit is adjusted

If your Social Security disability benefit is adjusted (other than the annual increase), please send a copy of the notice from Social Security showing the new amount and the reason for the adjustment to IMRF as soon as possible.

If a final decision on your Social Security claim has not been made

If you are being paid a reduced IMRF benefit and a final decision on your Social Security claim has not been made, you may be eligible for a Disability Payment Agreement. With a Disability Payment Agreement, your IMRF disability benefit payments can be temporarily restored to the full amount. Click here to learn more.

If you participate in Social Security work incentive programs

You must inform IMRF if you participate in Social Security’s trial work period or Ticket to Work program.

Social Security Retirement Benefits

If you are receiving early Social Security retirement benefits, you still need to apply for Social Security disability benefits.

Once you are within six months of your Social Security full retirement age:

• IMRF will reduce its disability benefit by the amount you may be entitled to receive as a Social Security Retirement benefit—even if you are not receiving such a benefit.
• Social Security does not pay disability benefits any longer.

If you are not receiving Social Security retirement benefits, we require an estimate of the amount you are entitled to receive at your Social Security full retirement age.

Your IMRF disability benefits will be reduced based upon this amount, even if you do not apply for the benefit. Therefore, you may wish to apply for your Social Security retirement benefits.