Social Security makes it official

According to the Social Security Administration, in recent months there were three major changes announced that will affect hundreds of low-income Americans, disabled people, and children who qualify for the Supplemental Security Income (SSI) program. Understanding how these changes affect beneficiaries’ monthly benefits is essential for the coming months, as millions of vulnerable people rely on these benefits to cover their expenses and keep pace with inflation. Therefore, we would like to share with you the main highlights and how they will impact your future payments. 

The 3 major changes from the Social Security Administration that will affect hundreds of Americans

Even though the Supplemental Security Income (SSI) program has been providing benefits since 1974, there are still a large number of people who can’t access these benefits due to the strict limits and requirements of the Social Security Administration. It is important to consider that Congress currently sets restrictions on individuals and couples applying for and receiving SSI checks, including asset limits that have not been updated since 1989. Moreover, beneficiaries may find it more difficult to save money and face other challenges as a result of this incomplete 1989 adjustment. Only Congress has the authority to amend asset limitations and related marital laws.

For a long time, Congress has been debating whether to change the SSI asset restrictions. For example, in 2003, a congressional committee proposed updating the maximum to $3,000 for single individuals and $4,500 for couples, with the amounts adjusted for inflation. Additional legislative measures have been implemented since then. Again, we stand prepared to share our expertise with Congress as it deliberates and discusses this issue. 

Despite Congress being the only authority available to introduce certain changes, the SSA will be implementing administrative changes to SSI regulations to clarify procedures, reduce burdens, and enhance support for individuals with disabilities. Based on recent communication from the SSA, here are the three major changes that will impact the Supplemental Security Income (SSI) program and, thus, hundreds of low-income Americans and disabled people. 

1. New in-kind support and maintenance (IMS) rule. Thanks to this new rule, the Social Security Administration will no longer consider the provision of food help by friends and family when establishing an applicant’s eligibility under the in-kind support and maintenance (IMS) criteria. This will allow more people to qualify for SSI benefits and increase monthly SSI payments for over 90,000 people by approximately $131.
2. The SSI program will extend the rental subsidy exception. Social Security is extending the rent subsidy waiver, which previously applied in only seven states, to all SSI applicants and recipients nationwide. This could increase eligibility and result in a $132 monthly increase in SSI payments for nearly 41,000 people.
3. A new public assistance household definition will become effective. Supplemental Nutrition Assistance Program (SNAP) benefits will be added to the list of public assistance types, and the requirement that all household members receive public assistance for a household to be classified as such will no longer apply. These changes will broaden the definition of a public assistance household. Finally, please remember that these two changes could increase the number of people eligible for and receiving SSI payments by about 277,000 while reducing the reporting requirements for those living in public assistance households.

With the implementation of these new changes, the Social Security Administration is looking forward to reducing burdens and limitations for new candidates who would like to be part of the Supplemental Security Income (SSI) program. It is also important to highlight that if you are currently interested in applying for this program and you already meet the income and resource requirements, review your case with a financial advisor or Social Security expert so you can increase your chances of becoming eligible to receive these monthly benefits.