After the financial crash of 2008, the unemployment rate in the United States spiked to levels not seen since the Great Depression. Around the same time, the numbers of individuals who were applying for Social Security Disability benefits also began climbing, with an increase in the number of individuals approved rising by 25%. These two trends – increasing unemployment and increasing disability applicants – led to speculation that people struggling to find work were simply going on disability and dropping out of the workforce.

Don’t Believe Everything You Hear

The problem with this theory is that it is simply untrue. Analyses from multiple sources suggest that the rise in disability applicants had nothing to do with the rise in the unemployment rate. One study from the University of California, Berkley, found no correlation between unemployment and enrollment for SSDI. This was consistent with a study commissioned by Goldman Sachs, which concluded “Most of the growth in SSDI beneficiaries seems to be due to a larger and older population.” In fact, the rise in SSDI enrollments was roughly in line with the SSA’s own predictions about the expected growth of the program due to the aging Baby Boomers and steady population growth.


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About Citizens Disability, LLC:

Since 2010, Citizens Disability has been America’s premier Social Security Disability institution. Our services include helping people in applying for SSDI benefits, managing the process through Reconsideration, and representing people in person at their Hearing, and if necessary, bringing their case to the Appeals Council. Our mission is to give a voice to the millions of Americans who are disabled and unable to work, helping them receive the Social Security Disability benefits to which they may be entitled. Learn more about us and disability benefits like SSDI & SSI or give us a call (800)492-3260.