About the Supplemental Security Income Program - SSI

Supplemental Security Income (SSI) is a federal government benefit program providing cash to meet basic needs for food, clothing, and shelter to persons who are blind or otherwise disabled and have little or no other income. Monthly SSI benefits are paid to persons with limited income and resources who are disabled, blind, or age 65 or older. Blind or disabled children, as well as adults, can qualify to get SSI benefits. How SSI is Different From Retirement Benefits While the SSI program is administered by the Social Security Administration, the way in which SSI benefits are administered is very different from how Social Security retirement benefits are paid. SSI benefits do not require and are not based on the recipients prior work or a family members prior work. In other words, no current or prior employment is required to qualify for SSI benefits. Unlike Social Security benefits, SSI benefits are funded by general funds from the U.S. Treasury generated by income taxes paid be individuals and corporations. Social Security taxes withheld from workers paychecks under the Federal Insurance Contributions Act (FICA) do not help fund the SSI program. Total SSI funding, along with maximum monthly amounts to be paid to SSI recipients, are set annually by Congress as part of the federal budget process. SSI recipients in most states can also have their benefits supplemented by Medicaid to help pay for doctor bills, prescriptions and other health care costs. SSI beneficiaries may also be eligible for food stamps in every state except California. In some states, an application for SSI benefits also serves as an application for food stamps. Who is Eligible for SSI Benefits Anyone who is: aged (age 65 or older);blind or disabled. And, who: has limited income; andhas limited resources; andis a U.S. citizen or national, or in one of certain categories of aliens; andis not absent from the country for a full calendar month or for 30 consecutive days or more; andis not confined to an institution (such as a hospital or prison) at the governments expense; andapplies for any other cash benefits or payments for which he or she may be eligible, (for example, pensions, Social Security benefits); andgives SSA permission to contact any financial institution and request any financial records about you; andfiles an application; andmeets certain other requirements. What Does  Ã¢â‚¬ËœLimited Income’ Include? For purposes of determining SSI eligibility, Social Security counts the following as income: money you earn from work;money you receive from other sources, such as Social Security benefits, workers compensation, unemployment benefits, the Department of Veterans Affairs, friends or relatives; andfree food or shelter. What  Are ‘Limited Resources’? For purposes of determining SSI eligibility, Social Security counts the following as limited resources: cash;bank accounts, stocks, U.S. savings bonds;land and real estate;vehicles;personal property;life insurance; andanything else you own that could be converted to cash and used for food or shelter. NOTE: For complete details on the SSI program, including qualifications and how to apply for benefits, see the  Understanding Supplemental Security Income home page on the SSA website.   SSI Payment Details Amounts of SSI benefit payments are set annually by Congress and are typically adjusted every January to reflect the current cost of living.  Maximum (SSI) payment amounts increase with the cost-of-living increases (COLA) that apply to Social Security retirement benefits. Some states provide supplemental SSI benefits. SSI benefit payments are not taxable. Possible Benefit Reductions Exact benefit amounts paid to individual SSI recipients may be less than the maximum depending on non-SSI income, like wages and other Social Security benefits. Persons living in their own home, in the home of another person, or in a Medicaid-approved nursing home may also have their SSI payments reduced accordingly. The monthly amount is reduced by subtracting monthly countable income. In the case of an eligible individual with an eligible spouse, the amount payable is further divided equally between the two spouses.   Updated current maximum and average SSI payment amounts can be found on the SSI Statistics web site. SSI Work Incentive Programs Helping people with disabilities achieve independence by taking advantage of employment opportunities is one of the Social Security Administration’s highest priorities. SSI’s work incentive programs help disabled and blind SSI recipients to continue to work while minimizing the risk of losing their SSI or Medicaid benefits. Certain work incentive programs allow SSI recipients to exempt some of their work income from their list of resources. Others allow SSI recipients to continue to receive Medicaid coverage even though they are not receiving monthly SSI cash benefits. SSI recipients may be eligible to take advantage of more than one work incentive program. As with Social Security retirement benefits, working can reduce the amount of the recipient’s SSI benefit payments. Complete information on SSI work incentive opportunities can be found in the SSA’s â€Å"The Red Book - A Guide to Work Incentives.†