Effective Dates: 09/08/2023 - Present Previous | Next

TN 24 (09-23)

SI 02005.082 Establishing the Correct Minimum Income Level

CITATIONS:

Section 212 of Public Law 93-66

Regulations 20 CFR 416.2050 Social Security Act

A. Policy

States must pay mandatory minimum State supplementation (MMSS) to converted recipients in certain situations.

1. Requirements

A recipient will receive an MMSS payment if their Federal SSI payment plus other income from the current month is less than the following:

  • •

    December 1973 State grant amount (GA) (the amount of monetary aid or assistance an individual received for December 1973 under a State plan in effect for the month of June 1973 including amounts for special needs); and

  • •

    “Other December 1973 income” (income used in determining the amount of aid/assistance payable for December 1973).

    NOTE: An individual's total December 1973 income which determines the FCI/SCI does not change when the individual's status changes to couple status after January 1974 if the spouse was not converted also.

2. Reexaminations/Changes

In most cases the minimum income level (MIL) is already established and maintained for MMSS eligibility and payment computation in States with federally administered programs. However, situations arise when the MIL should be reexamined and/or changed. (See SI 01401.001C.6.)

3. Administrative Finality

Administrative finality rules do not apply to MIL changes. They do apply to MMSS eligibility and payment computations. See SI 04070.000 ff. for general rules on administrative finality.

B. References

1. Special Needs Payment

See General Information About State Supplementation, SI 01401.001C.11.

2. SCI

See General Information About State Supplementation, SI 01401.001C.7.

C. Definition

FCI

For MMSS purposes, the total of an individual's December 1973 GA and other December 1973 income offset by the SSI income disregards/exclusions.

D. Procedure

1. Use Of SCI/FCI

Compute MMSS using both SCI and FCI. If both result in the same payment, use FCI throughout all MIL and MMSS computations. If they result in different payments (regardless of higher or lower), use SCI in all MIL and MMSS computations.

2. Record

  1. a. 

    For an eligible individual only, use that person's December 1973 GA and December 1973 countable income.

  2. b. 

    For an eligible individual and spouse:

IF THEN

Both persons have MIL

protection

Combine their December 1973 GA and “other income” and divide in half. This applies whether the persons were converted as a couple or as individuals.

 

EXCEPTION: If this marriage is dissolved, compute a separate MIL for each former couple member using their own December 1973 GA and “other income” (see SI 02005.082D.6.).

Only one couple member has MIL protection
  • •

    Combine the December 1973 countable incomes of both members; and

  • •

    Add the resulting FCI/SCI to the individual's December 1973 GA.

REMINDER: There are no couple MIL's; every convertee has their own individual MIL.

3. MIL Increases

States may voluntarily increase the MIL at any time. Any such increase can also be rescinded, all or in part, at any time (as long as the passalong requirements are met — see SI 01403.001B.2.).

4. MIL Decreases

The State may, at its option, reduce the individual MIL:

  • •

    If a recipient's December 1973 GA included an amount payable solely because of a special need (also referred to as a special circumstance); and

  • •

    There is a change in status affecting the special need which would have caused a reduction in the GA (had the event occurred in December 1973).

NOTES: (1) After processing a special needs reduction, do not reinstate the special needs allowance into the MIL even if former circumstances are restored. (2) Essential persons may be treated as special needs for purposes of MIL reduction if the State grant included some payment for these people. Under these conditions, the State may reduce an individual MIL upon the loss of essential person status.

5. Computing The MIL

Follow these procedures to compute the original MIL. Use FCI or SCI as appropriate. As part of all computations, include the MIL increases and decreases discussed in SI 02005.082D.3. and SI 02005.082D.4.

RECIPIENT(S) STATUS COMPUTATION STEPS

Eligible individual with no spouse in December 1973

Add the December 1973 FCI/SCI to the December 1973 GA. The sum is the original MIL.

Eligible couple living together (or having lived apart no longer than 6 months) in December 1973

Determine the December 1973 FCI/SCI by combining the income of each member and subtracting the allowed income disregards for each couple member;

Add this amount to the couple's December 1973 GA; and

Divide in half to compute the original MIL.

Eligible individual with ineligible spouse living together in December 1973

For the member who was converted, compute the December 1973 FCI/SCI; and

Add the December 1973 FCI/SCI to the individual's GA. The sum is the original MIL.

6. Changing The Original MIL

Follow these procedures to compute the MIL for a couple's status change. As part of all computations, include the MIL increases and decreases discussed in SI 02005.082D.3.

STATUS CHANGE COMPUTATION STEPS

Two convertees marry and live together. Each was an eligible individual in December 1973

If the recipients were converted in the same State and now reside in that State:

  • •

    Determine the December 1973 FCI/SCI as individuals;

  • •

    Combine the FCI/SCI with the members' December 1973 GA's; and

  • •

    Divide the total in half.

If the recipients were converted in different States and one member now resides in their State of conversion:

  • •

    Do not average their December 1973 FCI's/SCI's or GA's; and

  • •

    Determine the MIL per SI 02005.082D.5. for the member living in their State of conversion.

Eligible couple (both convertees) separates for less than 6 months
  • •

    Combine couple's December 1973 FCI/SCI and each member's GA; and

  • •

    Divide this total in half.

Eligible individual with no spouse (or with ineligible spouse) in December 1973 becomes member of eligible couple in January 1974

  • •

    Determine the December 1973 FCI/SCI using the rule for a couple per SI 02005.082D.5.; one-half of this total is the converted recipient's FCI/SCI; and

  • •

    Add this amount to the convertee's December 1973 GA to derive the original MIL.

Eligible individual with no spouse (or with ineligible spouse) in December 1973 becomes member of eligible couple after January 1974

When only one member was converted, and that member becomes part of an eligible couple with an ineligible spouse in January 1974:

  • •

    Compute the convertee's December 1973 FCI/SCI per SI 02005.082D.5.; and

  • •

    Add the December 1973 FCI/SCI to the individual's December 1973 GA to derive the original MIL.

Eligible couple becomes two eligible individuals

Determine the individual MIL's on the basis of the December 1973 FCI/SCI and GA of each member.

One member of a converted couple becomes ineligible

Recompute the original MIL for the continously eligible recipient on the basis of their own December 1973 FCI/SCI and GA.

Eligible individual and ineligible spouse separate — living together in December 1973

The individual MIL is unaffected unless this change results in a special needs reduction (see SI 02005.082D.4.).

7. Construction of a New MIL

Follow these procedures to construct a new MIL.

IF THEN

Records needed to establish the MIL are available at SSA

Use information available from SSA.

Records are not available at SSA

Contact the appropriate State agency by either letter or phone and request:

  • •

    The applicable December 1973 SCI;

  • •

    Identification and dollar amounts of any special needs involved;

  • •

    Reference to the pertinent portion of the State's operating instructions describing the policy and procedures being applied (if a copy of these instructions is not already available in the field office); and

  • •

    Any other information necessary for SSA's constructing of the MIL.

Records are not available from State agency

Note this in the recipient's file by either a report of telephone contact (R/C) or a written notification by the State agency.

Ask the recipient to provide any information available to help establish the MIL. Examples include:

  • •

    Budget worksheets

  • •

    Letters from the State agency

  • •

    Other written communications
 

NOTE: When you must construct an individual MIL where a couple's MIL had previously been applicable, and you cannot get sufficient information to establish the individual's MIL, use one-half the MIL existing on the SSR as the individual MIL.

To Link to this section - Use this URL:
http://policy.ssa.gov/poms.nsf/lnx/0502005082
SI 02005.082 - Establishing the Correct Minimum Income Level - 09/08/2023
Batch run: 09/08/2023
Rev:09/08/2023