TN 1 (05-11)

DI 10105.095 Suspension of Disability Insurance Benefit (DIB) Payments Due to Work Activity or Prisoner Suspension

Disability Insurance Benefits (DIB) are not subject to work deductions. However, if the beneficiary performs any work, you must evaluate the work and earnings to determine if the beneficiary performs substantial gainful activity (SGA) and, if DIB payments continue or cease. In addition, Social Security law prohibits DIB payments for beneficiaries confined to a correctional institution or committed to a mental institution because of a court order.

There are several provisions of the Social Security Act (Act) that affect DIB payments. For more information about the field office’s (FO) role in developing and evaluating work activity and work incentives, see DI 13010.001.

NOTE: Beneficiaries may request a voluntary suspension of benefits to avoid or reduce a possible overpayment if they meet the conditions in DI 13010.160C.

A. Extended period of eligibility (EPE) provision

The EPE is a re-entitlement period for title II beneficiaries who complete their TWP. For the first 36 months of the EPE, cash benefits are payable for any month that a beneficiary does not perform SGA. After the 36-month re-entitlement period, the EPE can continue if the beneficiary does not perform SGA.

  • The 15-month re-entitlement period under the EPE provision became effective December 1980.

  • The 36-month re-entitlement period under the EPE provision became effective January 1988.

For information about the TWP provision, see DI 13010.035.

For information about the policy, definitions, application, and effects of the EPE, see DI 13010.210 and DI 13010.215.

B. SGA suspension for statutory blind number holders (NH) age 55 or over

Statutory blind individuals age 55 and over may be entitled to disability if they are engaging in non-comparable SGA, but cash benefits are suspended. The program service center (PSC) has jurisdiction of these cases. See DI 41001.020, Work Comparability Provisions for Blind DIB, CDB, and DWB Claimants, Age 55 and Older.

C. Title II prisoner suspension provisions

For definitions and policies for Title II prisoner and other inmate suspension provisions, see GN 02607.001.

Suspend cash benefits for beneficiaries convicted of a criminal offense and confined to a correctional institution. Title II prisoner suspension provisions are described in GN 02607.001 through GN 02607.350.

For Title II purposes, suspend cash benefits for beneficiaries who commit a criminal offense, but are not guilty by reason of insanity (NGRI), or other mental condition and are court ordered to confinement in a mental institution. Prisoner suspension provisions for NGRI are described in GN 02607.310 throu