Understanding supplemental security income and social security disability insurance as they relate to members with disabilities
Abstract
Individuals who receive Social Security Disability (SSDI) or Supplemental Security Income (SSI) benefits often have questions concerning how their service in CNCS programs may affect their benefits. This effective practice, shared by the National Service Inclusion Project in February 2008, answers some of the questions your members might have. Excerpted, with permission, from the NSIP Fact Sheet: What are Supplemental Security Income (SSI) and Social Security Disability Insurance (SSDI)? Some information is from the Social Security Administration website. See the "Resources" section for additional information.Issue
What are the rules for members who are receiving disability benefits?Action
Following is a definition of supplemental security income (SSI) and social security disability insurance (SSDI):SSI is a program that offers a monthly cash benefit to individuals who are aged, blind, or who have a disability and have limited income and resources. It also may pay monthly benefits to children with disabilities under the age of 18 who come from low-income families. Many people who receive SSI have some earnings as well. For someone who is working to be considered for SSI, earnings generally need to be below Social Security's Substantial Gainful Activity level, which is $940 gross income per month in 2008 ($1,570 for individuals who are blind).
SSDI provides cash benefits to individuals who are blind or have a disability who have worked and paid Social Security taxes for enough years to be covered under Social Security Insurance. SSDI may be received by the worker, the worker's widow(er), the surviving divorced spouse or the worker's adult child with a disability. Many people who receive SSDI have some earnings as well. As with SSI, if someone is working when they apply for SSDI, earnings generally need to be below Social Security's Gainful Activity level, which is $940 gross income per month in 2008 ($1,570 for individuals who are blind).
Both SSI and SSDI
- Are administered by the federal Social Security Administration
- Will pay a monthly benefit to persons with disabilities who qualify
- Require the same medical qualifications to be eligible for benefits, and follow the same guidelines in determining whether or not an applicant has a disability
Amount of Monthly Benefit
- The maximum SSI benefit for 2008 is $637 for an individual
- Some states provide Supplements to this amount that are added to the individual's SSI check while other states run their own State Supplement programs. In the states that run their own programs, an application must be made to the specific agency overseeing the State Supplement program. The amount of Supplement varies based on the state of residency and living arrangements (such as living independently or with a roommate, living in a board and care facility, living rent-free, and so forth).
- SSDI pays a monthly benefit. For 2008 that amount can range from a minimum of $1 to a maximum of $2,185 per month. The estimated average benefit per month for all workers with disabilities in 2008 is $1,004. Some individuals are eligible for a combination of both SSI and SSDI determined by the amount being received by SSDI.
How Payments and Services Received Under the Corporation for National and Community Service (CNCS) Can Affect Social Security and SSI Benefits
Participants in AmeriCorps and NCCC receive a living allowance (stipend) and can also receive educational awards to be applied to college tuition, college loans, or vocational training.
- The living allowance is earned income for SSI purposes. For earned income, do not count the first $65 plus one-half of the remaining income each month. If the participant is a student, the student earned income exclusion can apply and will not count up to $1,510 per month and $6,100 per year of earned income (in 2007).
- Provided food/housing are in-kind support and maintenance (ISM) for SSI purposes. ISM is counted at its actual dollar value but will not count any more than $227.66 per month in 2007, no matter how much the food and shelter is worth.
- Clothing allowance payments are unearned income for SSI purposes.
- Clothing received after 03/09/2005 is excluded from income. (Prior to 03/09/2005, such clothing was counted as income.)
- Educational awards are considered earned income for SSI purposes and are subject to grants, scholarships, and fellowships exclusions.
- Payments in lieu of educational awards are earned income for SSI purposes.
- Participants are considered students, thus the SSI student earned income exclusion may be applicable to earned income.
- Income and services while participating in AmeriCorps are not excluded from consideration for Trial Work Period (TWP) and Substantial Gainful Activity (SGA) purposes.
Context
The SSI or SSDI income would be in addition to the stipend received by an individual serving with a national service program.Citation
National Service Inclusion Project Fact Sheet: What are Supplemental Security Income (SSI) and Social Security Disability Insurance (SSDI)?How Payments and Services Received Under the Corporation for National and Community Service (CNCS) Can Affect Social Security and SSI Benefits (March 2007)
http://www.socialsecurity.gov/disabilityresearch/cncs.htm
Posted On
April 9, 2008For More Information
Resources
Social Security Online: Benefits for People with Disabilities
http://www.ssa.gov/disability.
How Payments and Services Received Under the Corporation for National and Community Service (CNCS) Can Affect Social Security and SSI Benefits (March 2007) at http://www.socialsecurity.gov/disabilityresearch/cncs.htm.
Related Practices
No related practicesRelated sites
National Service Inclusion Project