A subsidy exists when an employer willingly pays more in wages than the value of the actual services performed
The difference between what the employer pays and the value of the actual services performed is considered a subsidy
A subsidy can be reflected by giving the employee extra assistance, or full wages for lower quality or quantity than standard, or fewer and/or easier duties than usual for that position.
A subsidy may exist when a government agency, such as a state vocational rehabilitation agency, pays a part of a person's wage as an incentive for an employer to hire a person with a disability.
A subsidy may exist when a person receives special supports in connection with a supported employment position, including job coaching services and case management services.
This is useful in showing that the individual is not performing SGA
To meet the eligibility test when applying for SSI or SSD
To retain SSD or disprove an alleged SSD overpayment by reducing countable wages to an amount less than $830 per month in 2005
Employee works shorter hours than unimpaired employees
A different pay scale is applied (e.g., the employee is paid an hourly rate because he produces less while other employees are paid by piece rate)
Employee has fewer or easier duties than unimpaired employees;
Extra help or supervision
The employee produces less than unimpaired employees
The employee's work is of lower quality than unimpaired employees
The employee receives more rest periods or breaks than unimpaired employees
The employee requires special equipment or transportation
The employee is frequently absent or works irregular hours
Copyright © 2003 - 2004 Health and
Disability Advocates. All rights Reserved.
Contact Health & Disability Advocates : E-Mail 312-223-9600 F.A.X. 312-223-9518
Page Last Updated November 3, 2004 Webmaster