Clothing Gifts No Longer Count as Income Under New SSI Rules

April 18, 2005

The Social Security Administration (SSA) will no longer count gifts of clothing as part of income or household goods as resouces in deciding whether a person can quality for Supplemental Security Income (SSI) benefits under final rules just issued.
First, the agency is eliminating clothing gifts from the definition of income and from the definition of in-kind support and maintenance. As a result, it says it generally will not count gifts of clothing as income when deciding whether a person can receive SSI benefits or when it computes the amount of the benefits.
Second, SSA is eliminating the dollar value limit (previously $2,000) for the exclusion of household goods and personal effects. As a result, the agency will not count household goods and personal effects as resources in deciding whether a person can receive SSI benefits.
Third, the SSA is changing its rules for excluding an automobile in determining the resouces of an SSI applicant or recipient. It will exclude one automobile (the “first” automobile) from resources if the vehicle is used for transportation for the individual or a member of the individual’s household, withouth consideration of its value.
The regulations took effect March 9, 2005.

Source: The ElderLaw Report, Vol. XVI, No. 9, April 2005.