Short-Term vs. Long-Term Disability: What Each One Covers and When You'd Use It

The core difference between short-term and long-term disability

Short-term disability replaces part of your income for a few weeks to a few months — typically while you recover from surgery, childbirth, or an injury. Long-term disability covers you for years or until retirement age if you cannot work due to illness or injury. The programs differ in how long they pay, how much they pay, and what counts as a reason to receive benefits.

Most people encounter short-term disability first because it kicks in quickly after you stop working. Long-term disability usually starts only after short-term ends, or after you've been unable to work for a waiting period (often 90 days). Some people use only one; others use both in sequence.

Key Takeaways

• Short-term disability typically pays for 3 to 6 months, while long-term disability can pay until age 65 or beyond, depending on the plan.
• Short-term disability usually replaces 50 to 70 percent of your salary, while long-term disability often replaces 40 to 60 percent, and the amount depends on your policy and state rules.
• Short-term disability has a shorter waiting period (often 0 to 14 days), while long-term disability usually requires you to wait 90 days or more before payments begin.
• Both programs require medical documentation that you cannot perform your job, but long-term disability has stricter review processes and may require periodic recertification.

How long each program pays you

Short-term disability typically pays for 3 to 6 months, though some policies cover up to 12 months. The exact length depends on your employer's plan or your state's program rules. Once short-term benefits end, you either return to work or transition to long-term disability if you still cannot work.

Long-term disability can pay for years — often until you reach age 65, turn 67, or reach another age set by your plan. Some policies pay for a set number of years (like 5 or 10 years) instead of until retirement age. A few state programs or employer plans may have different limits, so check your specific policy to know when payments would stop.

The waiting period before payments start

Short-term disability usually begins paying within days or weeks of when you stop working. Many employer plans have a waiting period of 0 to 14 days — meaning you might wait a week before the first check arrives. Some state short-term disability programs (like those in California, New Jersey, and New York) have no waiting period at all.

Long-term disability has a much longer waiting period, usually 90 days. This means you must be unable to work for three months before long-term payments start. During those 90 days, you might be using short-term disability, paid leave, or your own savings. A few plans have shorter or longer waiting periods, so confirm yours before you need it.

How much money you receive each month

Short-term disability typically replaces 50 to 70 percent of your regular salary. If you earn $2,000 per week, you might receive $1,000 to $1,400 per week while on short-term disability. State programs and employer plans vary — some replace a higher percentage, others lower.

Long-term disability usually replaces 40 to 60 percent of your salary, which is often less than short-term. The exact amount depends on your policy, your state, and sometimes your income level. Most programs cap the monthly benefit at a set dollar amount (for example, $5,000 or $10,000 per month), so very high earners may not receive their full percentage back. Check your plan documents or contact your employer's benefits office to learn your specific replacement rate.

What medical conditions may have access to you

Short-term disability covers temporary conditions: surgery recovery, childbirth and postpartum recovery, broken bones, severe infections, or acute mental health crises. You need a doctor's statement that you cannot work, but the bar is usually straightforward — if your doctor says you cannot perform your job duties, you likely may have access to.

Long-term disability has a stricter definition. You must be unable to perform not just your current job, but any job you are reasonably trained for. This is a higher bar than short-term. Conditions that may have access to include severe back injury, cancer, heart disease, advanced arthritis, or serious mental illness that prevents any work. Your doctor must provide detailed medical records, and the insurance company may require you to see their own doctor for evaluation. You may also need to recertify your condition every year or every few years to keep receiving payments.

How to know which program covers you

If you work for an employer, check your employee handbook or benefits summary. It will list whether you have short-term disability, long-term disability, both, or neither. If you do not have employer coverage, your state may offer a short-term disability program — California, New Jersey, New York, and Rhode Island have state programs that cover most workers. Long-term disability is rarely offered by states; it is almost always an employer benefit.

If you are self-employed or a gig worker, you can purchase short-term or long-term disability insurance on your own through private insurers. The cost and coverage vary widely. Some professional associations also offer group disability plans to members at lower rates than individual policies.

What happens when short-term ends and long-term begins

If you are still unable to work when short-term disability ends, you can file for long-term disability. Some employer plans coordinate the two automatically; others require you to submit a new application. The long-term claim usually starts after the 90-day waiting period, even if you were already receiving short-term payments during that time.

There is often a gap in coverage between the two programs. For example, if short-term ends after 6 months but long-term does not start until 90 days after you stopped working (which may have already passed), you might have no income for a period. Understand your plan's timeline before you need it, and ask your benefits office how the transition works.

Frequently Asked Questions

Can I receive both short-term and long-term disability at the same time?

No. You receive short-term disability first, and when it ends, you transition to long-term disability if you still cannot work and meet the stricter definition. Some plans allow a small overlap during the transition, but you do not collect both simultaneously.

What if my employer does not offer disability insurance?

Check whether your state has a short-term disability program — California, New Jersey, New York, and Rhode Island do. If your state does not and your employer does not offer coverage, you can purchase individual short-term or long-term disability insurance from private insurers, though it is more expensive than employer or state plans.

Do I have to pay taxes on disability payments?

It depends on who paid the premiums. If your employer paid the premiums, the payments are taxable income. If you paid the premiums with after-tax dollars, the payments are usually not taxable. State disability programs vary — some payments are taxable, others are not. Ask your benefits office or tax preparer about your specific situation.

Can I be denied long-term disability if I was approved for short-term?

Yes. Long-term disability has a stricter definition of disability, so you might meet the short-term standard but not the long-term one. The insurance company reviews your medical records and may require additional evaluation. Approval for short-term does not may provide approval for long-term.

What should I do now if I do not know whether I have disability coverage?

Contact your employer's human resources or benefits department and ask for a copy of your disability plan summary. If you are self-employed or your employer does not offer coverage, research whether your state has a short-term disability program and what private insurance options exist in your area.