– It is said publicly that it should pay to work. But disabled people are deducted a lot from social security when they have a job on the side. That’s what Mats Bendiksen in Bergen says. He uses a wheelchair and has been a so-called “young disabled person” since he turned 20, due to a congenital diagnosis. As an adult, he trained as a foster carer. Now he is 40, and three years ago he got a 50 percent position. In fact, he works in Nav, as a guidance counselor to help jobseekers find work. – Work must pay off Recently, news told about disabled people who find themselves in full-time work, but then have to pay back the social security they received for the months before they started full-time work. In the Storting, the reactions were strong, and the Minister for Employment and Inclusion Marte Mjøs Persen (Ap) also stated that the rule or practice must be changed. – It must always pay to work. We must make sure that there is a work incentive rather than that work does not pay, said the minister. But this applied to people who stop receiving disability benefits and start full-time work, not disabled people in part-time work. Bendiksen thinks it is provocative to hear politicians say that it should pay to work, when they have created social security rules that take most of the salary from disabled people who are able to work part-time. For him, the calculation is as follows: Full disability benefits would have given NOK 315,000 less tax. When he instead works half-time, the salary is almost NOK 280,000. But the social security rules mean that Nav must then withdraw 65 per cent of the social security. Before tax, he thus receives less than NOK 100,000 extra for the job. After tax, he has around NOK 70,000 to work 50 percent. – It is unfair and paradoxical that disabled people have to work more than others to get the same salary for the job, Mats Bendiksen believes. Photo: Leif Rune Løland / news – One is not appreciated very much for making that effort for society and paying taxes, says Bendiksen. – Unreasonable and paradoxical He reacts to the fact that disability benefits, with their health and functional challenges, get less time to work than others. – Anyone who can understand it, that it is logical. – But it is logical that you should not receive disability benefits for the time you actually work? – The Minister recently reiterated that it must pay to work. Where do I want to go? That the disabled should work, or not? Society would, of course, be pleased that someone with disability benefits could work a little more, without society stepping in and punishing them. – But you shouldn’t be able to ride two horses – and get disability benefits for the hours you work? – No, one should not get in a bag or sack. But politicians should look at how much is deducted from social security for those who work part-time. When disabled people are not encouraged to work a little extra, society misses out on a lot of valuable labour. He also points out that, for example, holiday pay and salary supplements will largely disappear in new cuts to disability benefits. Researcher Andreas Myhre in Nav says that more disabled people will work more if the income limit is increased. Photo: Nav – Gets very high tax Researcher Andreas Myhre in Nav has studied how different work incentives affect disability. He says the effect is well documented in research: – Disabled people work more if they are given an incentive to work more. He says that the most important thing is the income limit. It is a kind of “bottom deduction/free amount”: you can earn around NOK 45,000 annually without the disability benefit being reduced. If you earn more than that, your social security benefits will be cut sharply. For every thousand Swedish kroner gross above the income limit, you are only left with NOK 200-300 net, after paying tax and having deductions from disability benefits. Disabled people are therefore only paid 20-30 per cent of the salary that exceeds the income limit. Myhre points out that research shows that low tax on low incomes is very important, because it encourages people to take a part-time job at all. – The reduction is a kind of obstacle for disabled people to work more, but still a necessary part of the social security system, he says. – But can it “always pay to work”, if you have a redundancy payment? – The simple answer is yes. It still pays to work. One is left with more, overall. But disabled people get a very high tax rate on their income. On Tuesday, news did not get an interview with Labor and Inclusion Minister Marte Mjøs Persen.
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Disability benefit Mats (40) only receives 35 percent of his salary when he works – news Vestland
