Unlocking Opportunities: Social Security's Game-Changing Policy Updates
Navigating the Transformative Changes in SSI Eligibility and Benefits
This is a special edition of Waypoints. I am sending it to share news coming from Social Security. They’ve made several changes I feel we should be excited about. They are changing what they count for In-Kind Support and Maintenance (ISM), so fewer beneficiaries will see their benefits reduced. They’ve also changed their definition of a “Public Assistance Household”.
The SSA announced it will remove food from the ISM calculations for Supplemental Security Income (SSI) eligibility and benefit amounts. See Social Security Rule “Omitting Food From In-Kind Support and Maintenance Calculations”.
Previously, the SSA would count food support received from friends, family, or community networks as part of a person's ISM, which could affect their SSI eligibility or reduce their payment amount.
The SSA stated that this change would simplify the rules, make them less burdensome to administer, and be easier for the public to understand and follow. It will also improve the equitable treatment of food assistance within the SSI program.
Candidly I’m not sure how much of an impact this will have because I haven’t talked with anyone who told me this was a factor in their child’s SSI being reduced. Still, it’s one less thing to cause problems potentially.
Social Security changed how they count rent. See Social Security Rule “Expansion of the Rental Subsidy Policy for Supplemental Security Income (SSI) applicants and Recipients”.
Previously, families had to charge “Fair Market Value” rent so they were in a “business arrangement” with their child or their child’s SSI would be reduced. I’m oversimplifying the rules because they go away on September 30th of this year.
The new rule states that those applying for or receiving SSI must pay rent equal to or higher than the “Presumed Maximum Value” (PMV). PMV equals one-third of the Federal Benefit Rate (FBR) plus $20 (the general income exclusion). In 2024 the FBR, or maximum SSI payment you’ll receive from the Federal government (doesn’t count state supplements) is $943/mth. So in 2024, the PMV is $314. This means that starting in October 2024, if your child is paying at least $334/mth in rent their SSI should not be reduced due to ISM.
Social Security has expanded the definition of a Public Assistance Household. See Social Security Rule “Expand the Definition of a Public Assistance Household”.
Currently, Social Security requires everyone in a household to receive some form of “means-tested public income-maintenance” (PIM) payments to avoid the need to test for “inside” in-kind support and maintenance (ISM). Per Social Security “Inside ISM is ISM that is provided to the SSI applicant or recipient from others within the same household in which the applicant or recipient is living.”
The new rule adds SNAP to the list of qualifying programs. It also changes the requirement from “everyone” in the household to “anyone”. So once this goes into effect if any other person in the household receives qualifying public assistance there will not be an ISM test. For example, if a parent qualifies for SNAP and their child is on SSI. This is a significant loosening of restrictions.
Social Security’s regulations can be difficult to understand and navigate. These changes will go into effect on 1 October 2024, and they may take some action on your part. Keep an eye on your benefits and follow up with Social Security if you, or your child, are receiving reduced SSI and you believe the ISM reduction should go away. If you did a rental agreement, make sure Social Security has a copy on file. I would mark your calendar and be ready to advocate for yourself come Fiscal Year 2024.
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