The Social Security Administration has recently expanded the rental subsidy exception to all SSI applicants and beneficiaries. So, it will be available in all 50 States.
Before this measure came into effect, it was just possible to benefit from it in 7 States. Apparently, this rule change will provide about 41,000 Americans with an increase worth $132. So, if you are paying at least a certain amount toward rent, you are not subject to ISM in the form of rental assistance.
Is this the only advantage for SSI applicants?
Social Security claims that apart from receiving a higher payment if you benefit from this new rule, there are additional perks. As a matter of fact, more applicants will be able to qualify.
Before the rule, they may have applied but have not met the income limits for this Federal benefit. As a result, they did not get approval from Social Security. Then, they should apply now to check if they qualify after this change.
It will be interesting to compare the Monthly Statistical Snapshot for August 2024 released in September to the one released in October. In this way, SSI recipients can see how average payments have gone up from the current average payment of $698.
Removal of the ISM calculations and effect on SSI payments
From September 30, 2024, the Agency will no longer include food in In-kind Support and Maintenance (ISM) calculations. This new rule will also increase the benefit payment amount to more than 90,000.
As a matter of fact, benefits are expected to increase by about $131 if you are one of these 90,000 recipients. Getting $131 extra will be a great relief for those who qualify.
Inflation and soaring prices are making it difficult to make ends meet, so it is great news for thousands of Supplemental Security Income recipients in the United States. Changes are not over. SSA also expanded the definition of a public assistance household.
Affecting positively those recipients who get SNAP benefits and you will benefit from it if not everyone in your household receives public assistance. For more details, here is the source: https://www.ssa.gov/news/press/releases/2024/#2024-09-30
What are the eligibility criteria for SSI applicants to benefit from the new rent subsidy exception?
The new rule, effective September 30, 2024, expands the SSI rental subsidy policy. It was previously only available in 7 states: Connecticut, Illinois, Indiana, New York, Texas, Vermont, and Wisconsin. Now, it applies to all states.
Under the new policy, a “business arrangement” exists. The SSI applicant/recipient is not considered to be receiving In-Kind Support and Maintenance (ISM) in the form of room or rent if their monthly rent equals or exceeds the Presumed Maximum Value (PMV).
If the rent is lower than the PMV, we calculate ISM. ISM is the difference between rent and the lower of PMV or CMRV. However, other exclusions can offset this ISM charge.
The new rule simplifies the SSI program. It also promotes equality and uniform rental assistance for SSI applicants and recipients across the country. Furthermore, it might increase SSI payments for some and expand eligibility.
