Disability Based Income

[W & I Code 11451.51]

Certain categories of disability income are called Disability Based Income. They include:

Disability type incomes are no longer considered earned income. Permanent Workers Compensation payments and any other types of disability income, which do not meet the above categories are considered unearned income.

The Income Disregard is applied to disability based income before it is applied to earned income. Any remainder of the Income Disregard value is applied to the earned income. Children receiving disability based income (based on their parent’s disability) are eligible to receive the Income Disregard, but the Income Disregard can only be received once per family. Refer to Social Security Benefits for Children

Related Topics

State Disability Insurance Benefits

Private Disability Insurance

Temporary Worker's Compensation and Temporary Disability Indemnity

Social Security Disability Insurance

Veteran's Disability Compensation (VDC) Benefits