Say goodbye to current SSI Benefits – Everything changes in September

Описание: As of September 30th, millions of recipients of the Supplemental Security Income (SSI) program will benefit from a new change from the Social Security Administration intended to modify the eligibility requirements. SSI checks are intended to help over 8 million low-income Americans cover their daily expenses, as without these monthly payments, most of them will not have enough means to make ends meet and some of them would even have to struggle to fight against poverty. To be eligible for SSI checks, Americans must demonstrate that they are low-income seniors over 65 years old, disabled people, or children under difficult financial circumstances.

The Supplemental Security Income program guidelines specify that candidates can’t earn more than $1,971 per month, and they must also meet the resources thresholds, which currently are set at $2,000 for individuals and $3,000 for couples. However, the SSA recently announced it will no longer take into account the in-kind support and maintenance (ISM) category to determine candidates’ eligibility. The IMS category is also known as the unearned income in the form of shelter, food, or both, from anyone living inside or outside their homes.

The eligibility requirements for SSI checks will change as of September 30
According to the Social Security Administration, approximately 9% of SSI beneficiaries experience a reduced benefit rate each year due to Internal Support Measures (ISMs). Data from the Modernized SSI Claims System (MSSICS) show that ISM recipients are more likely to receive support from outside their households, to receive shelter rather than food, and to receive support at or below the current ISM cap. In addition, SSI beneficiaries who are elderly and live in their own homes are more likely to receive SSI checks that exceed their SSI cap.

The reason behind this move is that ISM policies raise several administrative, incentive, and equity issues. Many experts in the field believe that some SSI policies provide a financial benefit to certain SSI beneficiaries, while other SSI policies may dissuade families from helping their low-income relatives obtain SSI because it could result in a dollar-for-dollar reduction in benefits. To determine SSI checks, the federal agency must reduce monthly benefits if a candidate has countable earnings or other income that includes the ISM category. The argument for lowering benefits based on the value of the ISM received is that people receiving food and/or shelter assistance require less aid in meeting their basic requirements compared to those who do not receive this support.

To qualify for SSI checks candidates must meet strict IMS guidelines
Furthermore, current ISM guidelines demand applicants and beneficiaries to answer specific questions about home composition and expenses and their own and others’ contributions to household expenses. The SSA gathers ISM-related information from recipients during their first application interview and after a change in address, home composition, or household expenses. In other words, the IMS income is considered unearned income, which substantially decreases the benefits because the income is higher in the SSA’s view. As a result, eligibility and financial support for the approximately 7.4 million people who receive Supplemental Security Income (SSI) assistance are expected to be improved by this new rule that will become effective on September 30, 2024.

Lastly, it is important to underscore that the Social Security Administration has different estimates depending on the category to which the recipient belongs, but the exact amount to be paid depends on each recipient’s circumstances. The average monthly payment for an individual receiving SSI checks is $943 for individuals and $1,415 for eligible couples. However, this could change at the end of this year, in October, when the cost of living adjustment (COLA) new increase is officially announced. Currently, the COLA is set at 3.2% but according to recent estimates from the Senior Citizens League, the cost of living adjustment (COLA) for 2025 could be around 2.63%.