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How much can I receive in Social Security disability payments?

Your medical condition progressively grew worse, leading to crippling disability. Clearly, you are no longer able to work for at least a year or potentially longer. Since you are completely unable to work, you qualify for Social Security disability (SSD) benefits. But you wonder just how much you will receive in this monthly government benefit.

Similar to retired workers, Social Security-taxed earnings determine the amount of your SSD benefits. The general rule of thumb is that the monthly amount you receive is a bit less than what you would have received if you worked until your full retirement age. Why? Because, typically, workers achieve higher earnings in their later career years, so a worker who becomes disabled before those peak earning years will receive lower monthly benefits.

How a bankruptcy attorney helps you overcome financial challenges

A triangulation of unexpected events pushed you to a financial brink. A life-threatening health event, a job loss and a pending divorce created a whirlwind personal storm in a matter of six months. For most people, this is a one-two-three knockout blow. But you are not so easy to give up. Even so, you need help getting back on your feet.

That help arrives with rest and physical therapy for your health, a counselor/therapist for your soul and an attorney to help put your financial life back together. With the sudden avalanche of challenges, you understand that filing for personal bankruptcy is an option, and a skilled bankruptcy attorney has the know-how to guide you.

Why guilt should not stop you from filing bankruptcy

There is no shame, no stigma and no scarlet letter in filing for bankruptcy. Ignore the voice in your head telling you otherwise. And ignore that know-it-all friend or judgmental father-in-law. With bankruptcy, you are taking control of your financial life. While you may have gotten a late start, you have made the decision and are firmly in charge. Bankruptcy is an effective financial tool for people with major debt problems.

Whether you are overcome by credit card debt, addicted to excessive spending habits or faced with sudden and untimely medical bills, you understand that you have a problem, and bankruptcy provides a solution. Now, you can carry on with a fresh outlook about money and spending.

Types of ailments that may qualify you for SSD benefits

Many types of injuries and illnesses can prevent you from working, leading you to seek Social Security disability (SSD) benefits. For example, if you suffer from maladies such as arthritis, back pain, bronchitis, OR kidney disease, you just may qualify for SSD benefits.  Psychological disorders, including intellectual disabilities, autism or mental retardation can qualify you for benefits

More than 2 million people apply for SSD benefits annually, but only about 37% of first-time applicants receive approval from the Social Security Administration (SSA). That said, SSA staff and investigators cannot possibly understand the excruciating pain and/or psychological distress you are experiencing.

Can bankruptcy halt foreclosure proceedings?

Struggling with debt is stressful enough without having to worry about losing your home. However, if you fail to make your mortgage payments, you can expect your lender to begin foreclosure proceedings. Fortunately, you may be able to seek debt relief through bankruptcy protections. Filing for bankruptcy may even give you the time you need to catch up on past due payments, enabling you to keep your home.

Reasons applications for Social Security Disability are denied

Your physical ailments and/or psychological condition cause nearly unbearable pain, and difficulty maintaining focus and concentration resulting in your inability to work. There are bad days and very bad days. You simply cannot effectively perform your job anymore, and now the worries have started to mount. How will you pay your bills? How will you support your family?

You really have no choice other than to pursue Social Security Disability (SSD) benefits. But you must understand that the journey to obtain them is time-consuming and wrought with rejection. The Social Security Administration (SSA) denies nearly two-thirds of all first-time applications for disability benefits. Do not let this dishearten you; your next step is to appeal the government’s decision, and many appeals are approved.

Key steps for financial recovery after filing bankruptcy

The bankruptcy experience is now behind you, but the lessons you learned from it are not. Your hesitancy to file for bankruptcy was understandable and typical for many people like yourself. But in relying on it, you organized your finances, determined financial priorities and received a chance to move on. Well, now what?

Recovering from bankruptcy awaits you. This may require a number of steps. It will lead you in a new direction that ideally helps you avoid making any additional financial missteps. Bankruptcy helped you, but now it is time to make important changes to your financial lifestyle and thinking to get back on track to boosting your credit score. So long, financial worries; hello, a new beginning.

Understand complex Social Security Disability appeals

Social Security Disability income is the only way that some disabled individuals can support themselves. Filing for the benefits doesn't mean that you will automatically get it, however. Instead, there is a good chance that you will receive a denial of benefits the first time that you apply.

This means that it is important to understand your right to appeal if your claim isn't approved.

Extending the automatic stay

Bankruptcy affects entities large and small. While individuals filing for bankruptcy is far more common, major cities around the state of Illinois have had to cut essential services to pay for pensions and other vital services. 

Individuals filing for bankruptcy have various protections when the court approves the motion. Debtors have the power of the automatic stay once they file for bankruptcy, which automatically halts all debt collection proceedings. This includes all lawsuits filed by the creditor. It provides the debtor with some breathing room to get his or her financial affairs in order. However, there may be situations where you need to file for an extension on the automatic stay, so it lasts longer. 

Chapter 13 bankruptcy has debt limits

Some people know a Chapter 13 as the "wage-earner's bankruptcy." This is because it is reserved for individuals who can afford to make regular payments to the bankruptcy trustee. The money goes toward paying off creditors, and the payments continue for three to five years.

A person's income determines the length of the repayment plan. If a person's monthly income is less than the state median, they will repay over three years. If it is greater, the plan lasts five years. While there are some exceptions to these, no bankruptcy repayment plan can last longer than five years.