TN 55 (04-07)

SI 02305.099 Developing Unearned Income - RZs

A. Introduction

This section provides procedures for developing recipient responses to unearned income questions on Redetermination (RZ) forms.

NOTE: Effective 11/18/2006 permission to contact financial institutions must be requested at all RZs initiated by field offices (FOs).

B. Description of RZs completed on MSSICS screens

Opening a “REDETERMINATION with or without RECAPs” event creates a Modernized Supplemental Security Income Claims System (MSSICS) “path” that will guide the interviewer to the appropriate screens to document allegations and evidence relating to unearned income.

C. Description of Form SSA-8202-BK - Question 7

Question 7 on the SSA-8202-BK - “Since the date on page 1, have you (or your spouse living with you) received any of the following payments?

  1. Support (alimony, child support);

  2. Interest/dividends (from bank accounts);

  3. Any other cash payments or checks (gifts, sick benefits, unemployment, or worker's compensation);

  4. Rental Income;

  5. Pension/Annuities;

  6. Temporary Assistance for Needy Families (TANF); and

  7. Other

DO NOT COUNT Social Security, SSI, Food Stamps, Federal Civil Service Pensions, Railroad Retirement, or Veterans' Benefits.”

D. Description of Form SSA-8203-BK - Question 15

Question 15 on the SSA-8203-BK - “Since the date on page 1, have you (or your spouse living with you) received or do you expect to receive in the next 14 months, any of the income listed below.”

NOTE: Item j. of the form does not elicit information about cash income to a household, outside In-kind Support and Maintenance (ISM), or cash income from within the household. This information is elicited in items 9.g., and 10 of the form.

E. Procedure - Verifying income

NOTE: Effective 11/18/2006 permission to contact financial institutions must be requested at all RZs initiated by FOs. See SI 00515.001B. and SI 00515.001D.

Assume that permission has previously been collected if:

  • The initial claim was filed 11/18/2006 or later, or

  • A redetermination has been completed by the field office 11/18/2006 or later. (See SM 01501.002C.8. for a description of the redetermination disposition codes found in the RZD segment of the SSR. The only exception to this assumption is if the completed redetermination was opened in MSSICS prior to 11/18/2006. In this case it cannot be assumed that the financial permission question was asked, because the AFIP screen will only appear in the MSSICS path for events opened 11/18/2006 and later.

Documentation instructions for MSSICS cases are in SI 00515.001D.1. Documentation instructions for non-MSSICS cases are in SI 00515.001D.2.

Always verify fluctuating income (for example, child support payments).

Verify income per instructions in SI 02305.094B.1. unless:

  • Unearned income alleged agrees with the SSR and other information does not conflict;

OR

F. Procedure - Developmental tolerances

1. Interfaced income – Computer matching agreements

If the recipient alleges receiving any of the income mentioned below, in the month the RZ is initiated, and it agrees with the most recent amounts posted to the SSR, do not document and/or verify the amounts posted for the prior period for these types of income. If the SSR contains a diary (e.g., V7) then development for the prior period is necessary. (This tolerance applies whether the most recent posting was made by an interface or by FO personnel).

  • VA payments based on need;

  • VA payments not based on need;

  • Railroad Retirement Board; or

  • Civil Service (OPM) pension.

2. Interest income

Effective 07/01/2004 interest income on countable resources was excluded from income counting by Public Law P.L. 108-203. You are no longer required to develop such interest income for periods beginning 07/01/2004. For periods prior to 07/01/2004 develop interest income (SI 00830.500E.1.) only if the total alleged value of all countable liquid resources is more than $1,250. If the total alleged value of all countable resources is $1,250 or less, do not ask about interest income.

In MSSICS it is necessary to post interest income amounts if the recipient alleges bank account interest. Effective 07/01/2004 interest income on countable resources is excluded from income counting under P.L. 108-203. It is not necessary to post this interest for periods beginning 07/01/04. See SI 00830.500E.1.

G. Procedure - Exclusions/deductible expenses

Consider these exclusions/deductible expenses:

  • A plan to achieve self-support (PASS) per SI 00870.020;

    NOTE: If income is excluded under a PASS, develop for compliance with the plan per SI 00870.055. The PASS Cadre members will determine whether the exclusion should be continued, be adjusted, or stopped.

  • State plan exclusions for “converted” recipients if blind countable income code “K” is on the SSR per SI 01210.100; and

  • Deductible attorney fees or medical costs per SI 00830.100.

H. Procedure - Developing/documenting allegations of unearned income

Develop allegations about unearned income, as follows:

1. Recipients allege no receipt of unearned income- SSA records agrees

If recipients allege no receipt of unearned income and other information in SSA records agrees, do not develop unearned income any further.

2. Recipients allege receipt of unearned income – SSA records agree

If recipients allege receipt of unearned income and other information in SSA records agrees, no verification of income for that specific item is required for the period of review. Document estimates of future income for the current month and the next 14 months. See SI 02305.094I. for instructions on posting estimates of income.

3. Recipients allege no receipt of unearned income – SSA records conflicts

If recipients allege no receipt of unearned income and other information in SSA records conflicts:

  • Verify termination of income unless previously verified.

  • Document and verify all unearned income through the date of termination considering tolerances outlined in SI 02305.099F.

If income was not terminated, develop per SI 02305.099H.4.

4. Recipients allege receipt of unearned income – SSA records conflict

If recipients allege receipt of unearned income and other information in SSA's records conflict:

  • Document and verify the types of income received considering the tolerances outlined in SI 02305.099I. See SI 02305.099K. and SI 00830.175 for instructions concerning assistance based on need.

  • If a tolerance does not apply, develop per SI 00830.005.

    NOTE: Develop interest income, when necessary, per SI 00830.500.

  • Document estimates of future income for the current month and the next 14 months. See SI 02305.094I. for instructions on inputting estimates of income. See SI 02305.099M. if there are systems limitations.

  • Document and verify any alleged termination of unearned income during the period of review. Input verified income.

I. Procedure – AFDC/TANF is on the record

See SI 02305.024 for procedures in situations where Temporary Assistance for Needy Families (TANF) is on the record.

J. Procedure - Projections - Systems limitations

If the system is limited to 6 month projections or less (see SM 01305.210C.), post an RT (case selected for a RZ) diary (SM 01301.230) or otherwise control the case to update at a future time.

K. Procedure - Assistance Based on Need (ABON)

State and local ABON are excluded from income and do not appear on the SSR. However, ABON may be pertinent to determining the amount of deemed income. If alleged, verify the payment per SI 00830.175.


To Link to this section - Use this URL:
http://policy.ssa.gov/poms.nsf/lnx/0502305099
SI 02305.099 - Developing Unearned Income - RZs - 08/10/2017
Batch run: 08/10/2017
Rev:08/10/2017