When the IRS Comes After Your Disability Income

I've noticed a disturbing increase in the amount of taxpayers calling my company about the IRS garnishing their disability income. If that doesn't convince you that the IRS is a ruthless collection machine, I'm not sure what will. You would think that the IRS has bigger fish to fry than someone who living on money they receive because they have no way to earn it for themselves, but the IRS views all who owe equally. You could owe thousands or millions. The IRS doesn't care. They only care how much they can get from you and how fast.

Possibly since Social Security Disability Income is generally so much less than regular wage earning, the rules regarding garnishment differ greatly from IRS wage levy rules. With a regular wage garnishment, the IRS looks at your filing status and the number of your allowable W2 exemptions. Then they figure out how much money they will leave you with to survive on every paycheck. For instance, if you file Single and claim one exemption you will only have $812.50 to live off per month. No matter how much overtime you work or if your boss gives you a raise, that's all you're bringing home every month. Pretty awful, right? I don't know many people who can live on that kind of monthly income.


Yet, that's right around what many people who rely solely on Social Security Disability are living on. So, that kind of IRS levy wouldn't get the government much money at all. So, how does the IRS figure out how much of someone's Social Security Disability check to take? They take 15% of whatever is sent to you. No more. No less. There is not a minimum amount they'll leave you with. That used to be the case in 1996, when the IRS was required to at least leave the recipient $750. That is no longer the case.

So, how are struggling disabled Americans supposed to get by with 15% of their already small income being taken away? The answer is simple. You need to get into a legal resolution with the IRS. If you are completely living on Social Security Disability and are barely covering your very basic expenses, I recommend the Currently Not Collectible status. If that is not the case, finding the right IRS payment plan may be the better option. If you owe $10,000 or more, it is in your best interest to go over your finances with a reputable tax professional before taking action with the IRS. But, you definitely DO need to take action. With unemployment and inflation climbing, it will grow increasingly more difficult to live on limited income.

If you need help keeping the IRS away from your Social Security Disability check, call the IRS Hitman Team at 888-415-1337 or fill out the submission form for a free, no-obligation consultation.