Purple Heart Freedom to Work Act
Bill: H.R.3443 | Sponsor: Rep. Scott, Austin (R-GA)
Policy area: Social Welfare

Summary:
Purple Heart Freedom to Work Act
This bill increases the monthly income limit that is used to determine whether certain Purple Heart recipients are eligible for Social Security Disability Insurance (SSDI) benefits.
Specifically, when making such determinations with respect to Purple Heart recipients who are entitled to SSDI benefits based on combat-related injuries, the Social Security Administration must use the limit that applies to individuals who are blind rather than the lower limit that applies to other SSDI recipients. In addition, the bill phases out SSDI benefits for these Purple Heart recipients, with benefits reduced by $1 for every $4 of earnings in excess of the limit.

To amend title II of the Social Security Act to establish a disability 
  benefit offset for Purple Heart recipients, and for other purposes.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Purple Heart Freedom to Work Act''.

SEC. 2. DISABILITY BENEFIT OFFSET FOR PURPLE HEART RECIPIENTS.

    (a) In General.--Section 223(e) of the Social Security Act (42 
U.S.C. 423(e)) is amended--
            (1) in paragraph (1), by striking ``(1) No benefit'' and 
        inserting ``(1)(A) Except as provided in paragraph (2), No 
        benefit'';
            (2) in paragraph (2)--
                    (A) by striking ``(2) No benefit'' and inserting 
                ``(B) No benefit''; and
                    (B) by striking ``paragraph (1)'' and inserting 
                ``subparagraph (A)''; and
            (3) by adding at the end the following:
    ``(2)(A) Notwithstanding subsection (a)(1) of this section, in any 
case in which an individual is entitled to a monthly insurance benefit 
under such subsection based on a disability that is attributable to an 
injury for which the individual was awarded the Purple Heart, such 
individual shall be deemed to continue to be entitled to such benefit 
without regard to the individual's termination month, except that 
payment of such benefit for any month shall be subject to the reduction 
described in subparagraph (B).
    ``(B)(i) Any benefit described in subparagraph (A) otherwise 
payable to an individual described in such subparagraph for a month 
shall be reduced by $1 for each $4 by which the individual's earnings 
derived from services for such month exceeds the amount specified for 
such month in clause (ii), except that such benefit may not be reduced 
below $0.
    ``(ii) The amount specified in this clause with respect to an 
individual for a month is the amount of earnings derived from services, 
applicable to the individual for such month under subsection (d)(4)(A), 
sufficient to demonstrate the individual's ability to engage in 
substantial gainful activity.
    ``(C) In the case of a benefit otherwise payable to an individual 
for a month under section 202 on the basis of the wages and self-
employment income of an individual whose benefit is reduced pursuant to 
subparagraph (B), such benefit shall be reduced for such month by the 
same proportion as the reduction made pursuant to subparagraph (B).''.
    (b) Conforming Amendments.--Section 223(a)(2) of such Act (42 
U.S.C. 423(a)(2)) is amended by striking ``and section 
215(b)(2)(A)(ii)'' and inserting ``, section 215(b)(2)(A)(ii), and 
subsection (e) of this section''.
    (c) Effective Date.--The amendments made by this section shall 
apply with respect to benefits payable for months beginning after the 
date that is 6 months after the date of the enactment of this Act.

SEC. 3. APPLICATION OF HIGHER SGA AMOUNT FOR PURPLE HEART RECIPIENTS.

    (a) In General.--Section 223(d)(4)(A) of the Social Security Act 
(42 U.S.C. 423(d)(4)(A)) is amended by inserting after ``who is blind'' 
the following: ``or who is entitled to a monthly insurance benefit 
under subsection (a)(1) based on a disability that is attributable to 
an injury for which the individual was awarded the Purple Heart''.
    (b) Effective Date.--The amendments made by subsection (a) shall 
apply with respect to benefits payable for months beginning after the 
date that is 6 months after the date of the enactment of this Act.
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