Social Security has a rule called the 5-year rule which decides if a person qualifies for Social Security Disability Insurance (SSDI) when they become incapable of working. The rule signifies that a person must have been employed and paid their Social Security taxes for a minimum of 5 years within the last 10 years preceding their disability. This is termed as earning 20 work credits during the specified period. Even if a person had a long career in the past, if they have been unemployed for more than 5 years, they are ineligible for SSDI, notwithstanding their current disability status.

The 5-year rule becomes pivotal when individuals decide to retire early. Such individuals might opt for lower Social Security retirement checks at 62, but they could earn more if they apply for disability before reaching full retirement age (66 or 67). This is because SSDI benefits are usually higher than early retirement payments. Adding to the benefits, disability payments automatically switch to full retirement benefits at the retirement age, which means that there’s no penalty.

Therefore, workers nearing retirement should contemplate the repercussions of the 5-year rule. If they suffer from health issues that could force them to quit work, they should consider applying for disability before it’s too late. Comprehensive knowledge about the 5-year rule could save some individuals from financial hardship if they are forced to retire due to deteriorating health.

If you need information about how to contact SSDI for queries related to the 5-year rule, you can visit eddcaller.com. They can provide guidance on contacting various social security services, from Employment Development Department (EDD) to Paid Family Leave (PFL).