TN 9 (05-90)

RS 02505.135 Relating Services to the SEI Exclusion Provision

A. DEFINITION - SERVICES

Services are any regular work or other activities performed in the ongoing operation or management of a trade, business, or profession which can be related to the income received.

“Occasional” irregular and insignificant work which has no bearing on the income received i.e., the beneficiary's income remains the same regardless of whether or not the beneficiary performs work, is not services.

B. POLICY

Activities that are not “services” in the operation of a trade, business, or profession are:

  • Action to protect own investment by a beneficiary who retains ownership of a business managed by others.

  • Selling a crop or product that was completely produced or created in or prior to the initial month of entitlement (MOE).

    EXCEPTION: Does not apply if such income is received by a beneficiary engaged in the business of buying and selling products produced or made by others; e.g., a grain broker.

  • Those activities which are related to protecting an investment in a currently operating business and are too irregular, occasional, or minor to be considered significant in the overall operation or management of the day-to-day operations of the business and that have no bearing on the income received, such as signing a contract to hire a manager to operate the business.

  • Signing contracts where the owner's signature is required, so long as the major contract negotiations were handled by the owner's agent or employees.

  • Looking over the company financial records to assess the effectiveness of those agents or employees or managers in running the business for the owner.

  • Personally contacting an old and valued customer solely for the purpose of maintaining good will which would have a minimal effect on the ongoing operation of the trade or business; or

  • Occasionally filling in for an agent, manager or other employee or partner in an emergency.

    NOTE: This list is not all inclusive.

    If only part of income is not attributable to services performed after MOE exclude only that portion of income which is not related to any significant services performed after the initial MOE.


To Link to this section - Use this URL:
http://policy.ssa.gov/poms.nsf/lnx/0302505135
RS 02505.135 - Relating <Quote>Services</Quote> to the SEI Exclusion Provision - 06/16/1995
Batch run: 07/09/2013
Rev:06/16/1995