You need to take immediate action if your employment is terminated in order to replace as much income as possible. The more days that pass without you earning money, the greater the risk of running into money problems for you and those you rely on for assistance. A bad choice of income replacement program can waste your precious time.
3 Programs That Replace Primary Income
Income replacement programs fall into three general categories:
- Insurance Benefits for the Unemployment
Financial assistance is provided by this program when you lose your job, permanently or temporarily, without fault of your own.
- Compensation for Workers
You will likely be provided with replacement income as soon as possible through this program if you can not work due to an occupational injury or illness. In addition, workers may be paid for medical bills related to workplace injuries or illnesses; compensated for permanent injuries, such as amputations; and provided with death benefits to the survivors of workers who die on the job.
- Disability Insurance Under Social Security
The program is designed to provide income to adults who are unable to work for at least twelve months due to injuries or illnesses. You do not need to prove that your disability was caused by a workplace accident or illness to receive benefits under the program.
Disabled Workers Receive Dual Payments
Employees with disabilities can receive workers’ compensation benefits as well as Social Security disability benefits. As long as both claims are legitimate, collecting from both at the same time is not illegal.
When a disabled individual receives benefits from both programs, the total benefits cannot exceed 80% of the average earnings before the disability.
Disability workers are also permitted to collect workers’ compensation benefits and unemployment benefits simultaneously in some states. As a rule of thumb, claim truthfully for any program for which you might be eligible, and let the system decide whether you qualify for benefits under either one or both.
Additional Income Replacement Options
There are other methods of providing replacement income for people without a job, besides the government insurance programs covering unemployment, workplace injuries, and permanent disability. These additional income replacement options include:
- Private Insurance for Disabled Persons
You or your company may have paid into a private disability insurance program while you were working. You may have forgotten about it if you were buying for it through paycheck withholdings or if your employer covered the entire amount.
Examine the employee policy document or package you received when you started your job to determine if any private health and disability protection is included. If not, your employer’s benefits department should be able to assist you in determining whether you have such protection.
- Government Programs for People with Disabilities
California, Hawaii, New Jersey, New York, and Rhode Island are among the states that provide disability allowance as part of their unemployment insurance schemes. The majority of programs need you to submit your medical documents as well as proof that you obtained a leave of absence from your employment. Some employers may ask for confirmation that you intend to return to work once you’ve recovered. To find out if your state offers this type of coverage, contact the local unemployment insurance and workers’ compensation insurance offices.
Retirees Withdrawing Money from their Retirement Plans
Depending on the retirement plan, withdrawals may be made prior to retirement for emergencies. If you are eligible, you can discuss this with your plan administrator.
The Food Stamp Program
Though several people mistakenly believe that the federal food stamp program is a kind of welfare, it is really funded by the United States Department of Agriculture to increase food requirements. Food stamps are available to everyone who is not on welfare. In fact, the food stamp qualifying mechanism makes them available to a large number of people who aren’t particularly impoverished.
Scanning the phone directory listings for county government offices in your area will help you find the agency that provides food stamps in your area. A listing for food stamp information is usually found under a category such as human services. You can also contact your local U.S. Department of Agriculture office. The Food and Nutrition Service of the USDA can be contacted at www.fns.usda.gov for more information.
Benefits Provided to Veterans
There have been programs that offer compensation to veterans of the United States armed forces who are unable to work due to a handicap that is not even related to their military service. Veterans coming from duty are also entitled to return to their occupations without losing ranking or benefits under additional specialized laws.
Nevertheless, as the political winds change, legislation protecting veterans’ rights, especially their job rights, are passed and overturned, making it difficult to stay current. Details can be obtained by contacting the Department of Veterans Affairs, listed in the federal government agencies section of the telephone directory. There is a list of regional offices on the VA’s website at www.vba.va.gov as well.
The SSI (Supplemental Social Security Income) Program
SSI, or Supplemental Security Income, is a government program that helps handicapped persons with low incomes and limited assets. It does not necessitate you to have worked for and paid into the Social Security system, unlike Social Security disability insurance. If the events surrounding your incapacity to earn a living are so exceptional that you’ve gone between the gaps of the larger programs, SSI may be the only option for you.
Black Lung Program Benefits
Anthracosilicosis-an occupational disease commonly seen among miners-is also covered under a federal program run by the U.S. Department of Labor. Long-term exposure to coal particles in the air can result in the disease, commonly called black lung. Miners who suffer from the condition are usually unable to work.
Dependents of black lung victims may also receive benefits under this program, so you can research your eligibility by contacting your local labor department.
- DUA (Disaster Unemployment Assistance) Program
DUA, also known as Catastrophe Relief and Emergency Help, is a federal program that provides temporarily monetary support to people who have lost their jobs as a result of a significant disaster proclaimed by the president.
Strong thunderstorms, flooding, wildfires, earthquakes, and landslides are all common causes of catastrophes.
To be eligible for DUA, you must fulfill two major criteria. You must have been laid off as a “direct result” of a big catastrophe. Furthermore, you must be ineligible for standard unemployment insurance (UI) in any state. Workers, like UI recipients, must actively look for work and accept acceptable labor offered to them after they are found to be qualified for DUA.
Additionally, the individual must prove that for every week he or she is collecting DUA, their unemployment is due solely to the disaster, not to other factors.
- Medicare Program for Elderly and Disabled
Medicare is widely believed to be a program reserved exclusively for the elderly, just like Social Security. Nevertheless, it is also a great way to deal with medical costs for disabled people in the case of injury or illness that prevents them from working.
Nevertheless, you may find it difficult to obtain health insurance if you are under the age of 65 because the federal government has tightened Medicare eligibility restrictions.
Depending on your circumstances, an Employment Lawyer at Siman Law Firm can help you in getting the required compensation for your losses and replacing income after you lose a job due to any of the above-mentioned and other causes of losing a job.