Promoting Opportunity Demonstration: Summary of the Final Findings

Promoting Opportunity Demonstration: Summary of the Final Findings

Published: Feb 11, 2022
Publisher: Mathematica
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Associated Project

Promoting Opportunity Demonstration (POD) Evaluation

Time frame: 2017–2022

Prepared for:

Social Security Administration

Key Findings
  • Impacts on primary outcomes were limited. POD did not increase average earnings, SSDI benefits, or income. POD increased the percentage of beneficiaries who had substantive earnings above the annualized SGA amount by 1 percentage point.
  • No substantive differences in benefit offset usage or impacts between the two treatment groups.
  • Offset usage was higher than BOND. Approximately 30 percent of treatment group members used the POD benefit offset.
  • Earnings reporting challenges: Treatment group members faced substantive challenges reporting monthly earnings in a timely manner.

As part of the Bipartisan Budget Act of 2015, Congress directed SSA to conduct the Promoting Opportunity Demonstration (POD). The demonstration was part of a larger interest by Congress to test intervention projects that might enhance the labor force attachment of SSDI beneficiaries and reduce dependency on benefits.

Under current rules, beneficiaries with earnings that exceed substantial gainful activity (SGA) limits can lose their benefits. POD replaced this sudden loss of benefits—often called the “cash cliff”—with a $1 for $2 benefit offset for earnings above the POD threshold or the beneficiary’s impairment-related work expenses, whichever amount was higher. POD also included modifications to other current rule provisions, such as removing the Trial Work Period (TWP).

POD was a randomized controlled trial that included two treatments of a benefit offset. The two treatment groups had the same benefit offset but different termination rules. Control group members continued to receive benefits under current rules.

This report summarizes findings at the end of POD’s two-year implementation period.

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