My wife applied for disability in December 2014.She applied online thru the SSA website.March2015 she got her denial letter. We then contacted a company called Freedom Disability..long story short they failed to file her re determination in time.So we again filed with SSA via their website.Again she was turned down after numerous other appointment to various doctors.Feb 2016 we talked to a local attorney and he took her case, filed the appeal. She has been to many more doctors,due to SSA wanting more info.Now it is at the point that all that should be about done as she has an appointment with one last doctor for an exam next week, My question is she turns 62 in September,If she gets turned down again and has to wait until the case is taken before a judge, which could up to take 2 yrs. If she decides to take early retirement at 62 and eventually wins her SSDI claim.how will that effect her amount of payment?

Hi,

That's a great question! If your wife files for reduced retirement benefits and later is found to be eligible for disability benefits, her benefit amount will be recalculated to remove the reduction for age that was applied for any months she ends up being entitled to disability benefits.

For example, say Jane files for disability benefits in January 2016, but her claim is disallowed so she files an appeal. Jane reaches age 62 in September 2016, and she applies for her reduced retirement benefits. Her full retirement age benefit amount (PIA) is $1000, so her reduced retirement benefit at age 62 is $750.

Then, say Jane is eventually awarded disability benefits effective with January 2016. Social Security would then go back and change her benefit amount to her full PIA of $1000, and pay any retroactive benefits due. The only downside to this strategy is that, if Jane's disability appeal is unsuccessful, she will be stuck with reduced benefits.

Best, Jerry