Q. A friend of mine was recently was unable to work due to an injury. What are the public programs that offer financial assistance?
A. With the bad economy, more and more people are looking to see if they qualify for social security benefits or electing early retirement. Your friend may be eligible for benefits such as food stamps, veterans benefits (including medical benefits), welfare and unemployment. To be eligible for unemployment benefits one must be willing and able to work. Also, your friend's employer (or past employer) may have a disability plan which provides benefits to disabled workers.
The next place to apply for public benefits is your local Social Security office. Social Security has two programs which provide income for people who are disabled and unable to work. Social Security Disability Insurance (SSDI) pays disability benefits of $1,000 a month or more depending upon how much the recipient has contributed to the Social Security fund during the time he or she has been employed.
How much your Social Security benefits will be depends on your earnings history. Generally, higher earnings translate into higher Social Security benefits. You can find out how much you will get by contacting Social Security and asking for an estimate of your benefits. Ask for form SSA 7004, "Request for Statement of Earnings." Within six weeks after you submit the completed form you should receive a computer printout of your Social Security earnings for your entire career and an estimate of your benefits.
It's important that you verify that your earnings have been properly recorded because any missing or unreported wages could lower your Social Security benefits or even prevent you from qualifying for disability benefits.
The second program is Supplemental Security Income (SSI) which provides a small income for disabled people with virtually no money or assets provided they are sufficiently "needy." SSI provides benefits to low income persons who are aged, blind or disabled, regardless of their employment history.
People on SSI must have limited assets. Generally, individuals with assets under $2000 can qualify for SSI. However, when they figure your assets, they don't count such items as your home, your car (unless it's an expensive one), and most of your personal belongings. SSI does not automatically go to anyone who can demonstrate financial need but rather only to those needy persons who are disabled.