Social Security Officially Announces – 3 Major SSI Changes That Will Impact Thousands of Americans

The Social Security Administration (SSA) recently announced three significant changes to the Supplemental Security Income (SSI) program. These changes are set to benefit hundreds of low-income Americans, disabled individuals, and children.

The SSI program, which has been providing assistance since 1974, plays a crucial role in helping vulnerable populations. With the cost of living and inflation continuing to rise, addressing how these updates impact monthly payments is essential for many people who rely on SSI to cover basic expenses. Let’s cut into these updates and how they’ll affect beneficiaries.

History

The SSI program was created to assist individuals with limited income and resources, including older adults, people with disabilities, and children. However, since its inception, the program has had stringent limits that have made it difficult for many to qualify. Congress currently sets these restrictions, including asset limits that haven’t been updated since 1989. Due to this outdated adjustment, many find it harder to save money or even qualify for the benefits they desperately need.

For years, Congress has debated changing the SSI asset restrictions. For example, in 2003, a proposal aimed to increase asset limits for individuals and couples, adjusting for inflation. However, despite these efforts, no substantial changes were made. The SSA, while limited in its authority to adjust asset caps, has introduced new rules to ease the burden on SSI applicants and recipients.

New In-Kind Support Rule

One of the most impactful changes is the new rule regarding in-kind support and maintenance (IMS). Previously, if a friend or family member provided food, it could count as income and reduce a person’s SSI benefits. However, under the new rule, the SSA will no longer consider food assistance from friends or family when determining eligibility. This will increase monthly payments by around $131 for over 90,000 people.

This change means that people who receive food help from loved ones will no longer be penalized or have their benefits reduced. More individuals will be able to qualify for benefits, and many existing beneficiaries will see a noticeable boost in their monthly payments.

Rental Subsidy Expansion

The SSA has also expanded the rental subsidy exception. Previously, this exemption applied to only seven states, but it is now being extended nationwide. This rule allows individuals who receive rental subsidies to qualify for SSI without the subsidy being counted as income, which could disqualify them.

With this change, around 41,000 people could see their benefits increase by about $132 each month. For those receiving rental assistance, this adjustment will make it easier to qualify for SSI, ensuring they get the help they need without penalties for housing support.

New Public Assistance Household

Finally, the SSA is redefining the public assistance household. Under the previous rules, everyone in the household had to receive public assistance for it to be classified as such. However, under the new rules, Supplemental Nutrition Assistance Program (SNAP) benefits will be considered public assistance. Additionally, not everyone in the household needs to receive assistance for the household to qualify.

This update will make it easier for individuals in public assistance households to apply for and receive SSI. The SSA estimates that this change could increase the number of people eligible for SSI by around 277,000, reducing the burden of reporting for those living in public assistance households.

Impact SSI Beneficiaries

With these three major updates, SSI is becoming more accessible to vulnerable individuals. The SSA is aiming to reduce barriers, such as outdated asset limits and strict household definitions, that have long excluded deserving applicants from receiving assistance. If you’re already receiving or planning to apply for SSI benefits, these changes could increase your monthly payments and simplify the application process.

For current and potential beneficiaries, it’s essential to review your case and understand how these new rules apply. If needed, consult with a Social Security expert or financial advisor to ensure you’re making the most of these changes and maximizing your eligibility.

The SSA’s efforts to reduce burdens and expand the reach of SSI will have a significant impact on low-income Americans, disabled individuals, and children. With rising inflation and cost-of-living expenses, these updates come at a critical time for those who need extra support.

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