SSI Savers Act of 2010 (HR 4937)
Ronny TX
Monday, May 3, 2010
Expanding the Limits for SSI Eligibility
Congresswoman Tsongas (D-MA), along with Congressman Petri (R-WI),
introduced the SSI Savers Act of 2010 (H.R. 4937), proposing to reform
the asset test in the Supplemental Security Income (SSI) program, the
primary provider of subsistence cash to extremely low-income
individuals, seniors and people with disabilities.
In general, eligibility for SSI is limited to those who have no more
than $2,000 in assets for an individual and $3,000 for a couple. The SSI
test also generally counts all resources deemed accessible to an
individual, including defined-contribution retirement accounts, such as
401(k)s and IRAs, as subject to the asset limit.
The current SSI asset test discourages many people with disabilities
from working regularly or saving money for fear of losing their
benefits. Many people with disabilities and their advocates consider
these limits extremely outdated as they force vulnerable individuals to
deplete or spend down their savings, thereby limiting their
independence, economic security and financial self-sufficiency.
H.R. 4937 proposes to remove savings disincentives in SSI by:
Raising the asset limit to $5,000 (from $2,000) for a single and $7,500
(from $3,000) for joint filers and index these limits for inflation.
For non-institutionalized individuals under the age of 65, excluding
retirement savings from inclusion in the asset test.
For non-institutionalized individuals age 65 or older, excluding savings
in qualified retirement accounts below a specified ceiling of (indexed
for inflation) $10,000 for an individual and $15,000 for a couple or
household (indexed for inflation) and potentially treating excess
savings in these accounts as an additional asset or alternatively as an
imputed income stream.
For non-institutionalized individuals age 65 or older, disregarding
one-third of the funds drawn down from retirement accounts when
calculating household income.
Removing the requirement that SSI recipients, if eligible, must apply
for periodic payments from their retirement savings.
Excluding Education Savings Accounts and Individual Development Accounts
funded all or in part with federal dollars or defined in federal
programs for those under age 65.
SSI asset limits are set by the federal government, which gives Congress
the direct ability to reform the guidelines of the program's asset
tests.
Ronny TX
But I don't have a clue,as to what chance it has of passing and become
law? Was wondering,does anyone here know more about this? Have some in
congress,tried to pass such a law,in the past?
And from what I've read,in 1972,SSI started with an asset limit of
$1500.00. Then in 1989,it was raised to $2,000.00 for an individual and
to $3,000 for a couple. And then,it's not been raised since then,in the
last 21 years. So I just hope they can get the SSI asset limit raised to
$5,000.00 for an individual and $7,500.00 for a couple. Plus some other
things,that would not discourage;but encourage,some savings.
With my Mom,she had about $1200 to $1400.00,in her bank account,when she
had to go in the nursing home,around 4 years ago. That was all of her
countable assets/resources. She had SSI and Medicaid,here in Texas. So
that pays,for a lot of her nursing home care.
At first,it wasn't that hard to keep her resources under $2,000,as the
nursing home got all of her Social Security check. But then,she
started,again getting,a small VA check. Then around 2 or 3 years ago,a
law was passed where she got to keep $60 a month,out of her Social
Security check. So that's an extra $150 a month, that she was now
getting.
With what she had to start with,that extra little bit each month adds up
and after awhile,would put her over her $2,000 asset limit. The trouble
for me and one sister,was what to spend the money on,so as to keep Mom's
assets under $2,000? Some went for new clothes for Mom;but then,you can
only spend so much on that, as Mom didn't need that many new clothes. A
year or so ago,Mom got over the asset limit and to quickly get it down
again,we went out and got her a new TV. But then,in the nursing home,you
seldom need something,that costs that much.
Then,this last month,Mom was again over the asset limit for Medicaid, So
sister bought her a few clothes and I went to Lowes,to buy somethings
for Mom's house-to do some repair work. So now we've got it back down
below the $2,000 asset limit,for this June.
I had a problem in the past,not knowing for sure,what we could spend
Mom's money on? She has two accounts. Her checking and the one set up
for the nursing home. That last one,gets her Social Security check and
all but $60 of each check,goes to the nursing home. But that $60 has
added up over the years and very little comes out of it. A tiny amount
each month,for Mom's hair care,some on her clothing and the TV in her
nursing home room.
And at first,my sister was told,I could spend nothing,out of Mom's bank
account, on repairs and upkeep to her home. But then a few months
back,she was told I could! So this month,I did that,to get Mom's assets
below $2000,so she wouldn't lose her Medicaid.
So does anyone here know (for sure,)what I/we can spend on,out of Mom's
bank account and nursing home account,so that we can keep her
assets,below $2000? What I've looked for and never have found,is a
webpage or more on that, explaining such. And the info I've got,is just
what I get from one sister,that she gets from the people,who over see
all of this.
And I need to check into all of this,where I can,so that I can know for
sure,what I can and can't legally do,with Mom's money,in her bank
account? I don't want to wonder;but know for sure. It just bugs me, that
someone once told my sister,that I couldn't legally take any money out
of Mom's checking,to pay for upkeek/repair on her house and then later
on,they told her I could. I just want to know for sure and would like to
see such,the rules and regulations,in black and white-on a webpage or
something?
P.S.
Our Mom has Alzheimers/dementia and that coming on,a good while before
she went,in the nursing home. So she can't take care of her own
money,make decisions on things like that. And I was asked 3 or more
years ago,if I minded an older brother getting power of attorney for
Mom? I said it was fine with me,since he could hear/understand well and
I couldn't. So,I assumed he'd gotten that,a good while back;but
then,just a short while back,I found out he hadn't. So,no one has power
of attorney,to take care of Mom's business. And I'm not sure of the
legalities,of a sister and I,doing some of that? But,that's what we've
always done, since Mom had to go in the nursing home. Sis and I keeping
up with and filling out some paperwork and keeping Mom's assets under
$2,000.00,etc. So she wouldn't lose her Medicaid.