The Social Security Administration (SSA) increases the FBR of a qualified individual if they live with an essential person (EP).

If the confinement is:

1. a. 

   temporary, refer to instructions on loss of essential person status in SI 00501.110. Add the full EP increment(s) to the qualified individual’s FBR (or payment limit) for the period of temporary absence; or

2. b. 

   not temporary, do not include the EP increment(s) to compute benefits.

The couple gains an EP increment for each EP. Use the income of the EP(s) to compute the benefit due the couple. Only one member of the couple has to be a qualified individual for the couple to gain an EP increment.

The computation steps are:

1. a. 

   add the EP increment(s) to the couple FBR;

2. b. 

   include the income of the EP in the couple's countable income (CI);

3. c. 

   subtract the CI from the sum of the FBR and increment(s); and

4. d. 

   divide the couple's benefit between the members.

A member of an eligible couple becomes eligible (without a spouse) with the month following the month of their separation. Prior to 10/01/90, an eligible couple remained eligible for 6 months following the month of their separation. The members of the couple became eligible individuals effective with the seventh month. For instructions about couple status changes, see SI 02005.030.

For the eligibility test, use the individual FBR and resource limit for the first month of their status. For the payment computation, the Budget Month (BM) is still 2 months prior to the month for which we exclude the payment. Use only the eligible individual’s income from that month.

If an EP is essential to both members of the couple, the member with whom the EP(s) resides receives the increment(s) and we compute only that member's payment using the income of the EP.

To receive an EP increment (and receive deemed income from an EP), a member must:

• •

  be a qualified individual, and

• •

  reside with their EP.

EXCEPTION: When only one member of a couple is a qualified individual and that member is subject to the Federal payment limit associated with Federal living arrangement “D.,” For information on couples members living apart, see SI 02001.015B.3. in this section.

If an EP is essential to both members of the couple, the member with whom the EP(s) resides receives the increment(s). Only compute that member's payment using the income of the EP.

The computation steps are:

• •

  compute the benefit due each member as if there were no EP increment or EP income, and

• •

  add an EP increment (one for each EP) to the payment amount of the member of the couple who is the qualified individual and resides with an EP(s);

(If the qualified couple member is in the household of another, see SI 02001.015B.3. in this section);

• •

  If the general exclusion ($20 per month) was not fully used in the first step of this computation, subtract the remainder from the income deemed from the EP(s); and

• •

  subtract the income deemed from the EP(s) from the increased payment amount of the member(s) due the increment(s).

NOTE: If the deemed income is reduced in the prior step, use that reduced amount.

For months prior to April 1982, if the qualified individual is subject to a one-third reduction because they live in the household of another and receives in-kind support and maintenance:

• •

  add the full increment for each EP to unreduced FBR. (For Title XVI rate increases and rate charts, see SI 02001.020);

• •

  reduce the entire amount by one-third, and

• •

  reduce the result by the CI to yield the benefit due. For information on retrospective monthly accounting computation, see SI 02005.001. For instruction on one-third reduction provisions, refer to SI 00835.200.

For April 1982 and later months, add the full increment(s) to the unreduced FBR and treat the value of the one-third reduction (one-third of the total) as income. For information on the value of the one-third reduction (VTR) and the presumed maximum value (PMV), see SI 02005.001E.4.

Effective with the month after separation, each member of the couple becomes an eligible individual without a spouse. Treat the one-third reduction of the increment as in-kind income.

If the qualified member of the couple is throughout the month in the household of another and receiving in-kind support and maintenance:

• •

  For periods prior to April 1982, reduce the increment by one-third, and then add it to the member's payment amount; or

• •

  For April 1982 and later months, treat the one-third reduction of the increment as in-kind income. For information on the value of the one-third reduction (VTR) and the presumed maximum value (PMV), see SI 02005.001E.4.