U.S. Sens. Rob Portman (R-OH) and Sherrod Brown (D-OH) introduced legislation that seeks to update the asset limits for Supplemental Security Income (SSI) beneficiaries.
SSI is a federal program that provides income assistance to nearly eight million elderly and disabled Americans with low incomes and limited resources. To qualify for the benefits, individuals must have less than $2,000 in assets, while married couples must have less than $3,000. Further, the average current monthly benefit is only $585 for individuals.
The Savings Penalty Elimination Act updates the asset limits for SSI beneficiaries, enabling them to have more savings in case of an emergency without affecting their benefits. The eligibility cap would be raised to $10,000 in assets for individuals and $20,000 for couples.
“Rising costs and inflation is hurting all Americans, but especially our nation’s seniors and those with disabilities. Yet the Supplemental Security Income program that serves these vulnerable populations hasn’t been updated in decades and punishes them for trying to save responsibly,” Portman said.
The senators point out that the asset eligibility caps have not been updated since 1984.
“We shouldn’t be punishing seniors and Ohioans with disabilities who do the right thing and save money for emergencies by taking away the money they rely on to live,” Brown said. “SSI’s arbitrary and outdated rules make no sense. Our bipartisan bill would update the old rules for the first time in decades and allow beneficiaries to save for emergencies without putting the benefits they rely on to live at risk.”
A recent study by JPMorgan Chase said that the current asset and income limits on federal benefits for people with disabilities create barriers to labor force participation and accumulating savings. The study added that the proposed asset limits for SSI would expand economic opportunity and mobility for people with disabilities.
“JPMorgan Chase is proudly a leading employer for people with disabilities, but outdated asset and income limits on federal benefits for this community create barriers to employment and career advancement and restrict saving for education, retirement, or unexpected expenses for these families. Updating and simplifying the asset and income limits for Supplemental Security Income (SSI) will help expand economic opportunity and mobility for people with disabilities while advancing a more inclusive workforce,” Jim Sinocchi, managing director, Office of Disability Inclusion, JPMorgan Chase, said.