If the Social Security Administration is successful in implementing a proposed modification to how benefits are calculated, recipients of Supplemental Security Income (SSI) may soon receive larger monthly payments.
In-kind support and maintenance (ISM), which is unearned income in the form of food and/or shelter, would no longer be included in the computation under the proposed regulation, which was published in the Federal Register in February.
Social Security Eliminating Food Expenses from SSI ISM Calculations
The plan eliminates the need that SSI applicants and beneficiaries to disclose information regarding their food expenses for the agency to take into account in its ISM calculations.
According to the SSA, SSI benefits are now cut by one-third if an individual or couple is receiving food and housing assistance from another person while residing in their house.
Support in this context refers to everything that is given to someone or paid for by someone else, including food, lodging, or both.
Adults and children with disabilities or blindness and resources below certain income thresholds are eligible for a monthly stipend from SSI.
Even if a person is not disabled, SSI benefits are nevertheless paid to those 65 and over who fulfill the income requirements.
The federal benefit rate (FBR), which is the monthly maximum federal SSI payment, is subtracted from a claimant’s monthly payment once they have been found to be qualified for SSI.
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Federal Benefit Rates: What Recipients Need to Know
In accordance with SSA’s Federal Register proposal, the FBR for 2023 is $914 for an individual and $1,371 for an eligible individual with an eligible spouse.
A recipient’s SSI payment will typically be lowered by 50 cents for every $1 of earned income after the first $65 is earned each month.
In-kind support and maintenance is the provision of food, shelter, or both to an SSI applicant or beneficiary, such as when someone pays for rent, a mortgage, groceries, or other expenses.
For instance, the SSA would view a person’s residence as an ISM if they live with their brother and don’t pay rent.
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