1. 2. 3. 4. 5. 6. 7. 8. 9. 10. 11. 12. 13. 14. 15. 16. - - PowerPoint PPT Presentation

1.

2.

3.

4.

5.

6.

7.

8.

9.

10.

11.

12.

13.

14.

15.

16.

17.

18.

30.

20.

21.

22.

Social Security Administration

SSA Benefit Programs

Social Security Supplemental Security Income (SSI) Based on a No work requirement; worker’s earnings income, resources are (ret., disab., surv.) factors Family members Only for individual possibly entitled

Social Security: Applying on Parent’s Record

• Minor Child (under 18)
• parent receiving ret. or disability,
• r deceased & worked enough
• child need not be disabled
• “Disabled Adult Child” (18+)
• disabled before 22
• parent receiving or deceased
• Can’t file online; must be phone, in-office

Social Security: Applying on Own Work Record

• Work requirement .... Can be as little

as 1.5 years of work from jobs where Social Security taxes were paid

• Can apply online

Supplemental Security Income (SSI)

• Provides cash benefit, Medicaid
• aged (65+)
• disabled adults & children
• Must meet income, resource limits
• No work requirement
• State may contribute to benefit

SSI Income Limits

• Countable income - $771 monthly
• If individual has other chargeable

income, SSI will bring combined total to $791

• example: $600 other income

results in SSI of $191

“Deeming” Income of Parent(s)

• Parental income, resources considered if

minor child & parent(s) live together (stops when child turns 18)

• E.g: Single parent, working, 1 child on SSI
• with no other children in household,

monthly earnings limit is $3,209 ($38,508 yr)

SSI Resource Limits

• Resources: cash, bank accounts, bonds,

stocks, non-home property

• Limits: child has $2,000 limit,

plus allowances for parents:

• $2,000 if one parent living with
• $3,000 if two parents living with

Definition of “Disability” for Adults, for both Social Security & SSI

• Physical/mental impairment

&

• If working, individual not earning over

$1,220 monthly

SSI Definition of Disability for Children

• Physical or mental condition

that causes “marked & severe functional limitations”

• Look at how appropriately,

effectively, & independently child performs activities …. compared to unimpaired children of same age

Filing SSI Disability Application: Online at socialsecurity.gov

• For minor children, only the medical

portion can be completed online; the non-medical must be completed later either by telephone

• r in-person at SSA office
• Adults can complete entire claim
• nline in certain situations

Who Determines Disability?

• After application taken,

medical portion sent to Disability Determination Services (DDS)

• Disability evaluation specialist &

medical/psychological consultant consider evidence, make decision

• Average processing time: 90 days

If Social Security Claim Approved…

• Benefits due after 5-month waiting period

e.g.,

• nset date - March 20, 2018

entitlement begins - September 2018 paid - October 2018 (Note - no waiting period for Disabled Adult Child claims)

• Medicare begins after 24 months
• f entitlement:

September 2020

If SSI Claim Approved…

• Benefits usually retroactive

to effective date of application

• Medicaid entitlement coincides

with benefit entitlement

If Claim Denied…

• Upon receipt of denial notice,

60 days to file reconsideration

• If recon denied, other appeals:
• Hearing
• Appeals Council Review
• Federal court review

If Recipient Wants to Work …

• Ticket to Work program provides

vocational rehabilitation, training, job referrals, other employment supports

• Work Incentive provisions allow

earnings without immediate threat of losing cash benefits, health insurance

Overview of PA ABLE Savings Program

Karen Carr ABLE Field Representative

1 PA ABLE Savings Program (PA ABLE)

Bureau of Savings Programs Pennsylvania Treasury

An ABLE account is a savings account for disability-related expenses. It gives eligible individuals with qualified disabilities, and their families and friends, a tax- free way to save for disability-related expenses, while maintaining government benefits (with a limitation for Supplemental Security Income).

3 What is ABLE?

Bureau of Savings Programs Pennsylvania Treasury

Save While Maintaining Government Benefits

• Savings placed in a PA ABLE account do NOT count against ANY

federal need-based benefits including Supplemental Nutrition Assistance Program (SNAP), Temporary Assistance for Needy Families (TANF), Medical Assistance (Medicaid), housing assistance programs, student financial aid and more.

• PA ABLE assets are not counted for Pennsylvania needs-based

disability, health and student financial aid.

• Supplemental Security Income (SSI) recipients can save up to $100,000

while maintaining benefits. Above that, SSI will be suspended, but not terminated, and Medical Assistance benefits will continue.

• ABLE account owners who don’t receive SSI can save more $500,000 in

ABLE.

5 What is PA ABLE?

Bureau of Savings Programs Pennsylvania Treasury

• An Eligible Individual can
• pen ONE ABLE account

nationwide.

• Several benefits are only

available to Pennsylvanians who use a PA ABLE account.

• Enroll online at PAABLE.gov or with a paper application

available online or by calling 855-529-ABLE (2253).

6 Benefits Specific to PA ABLE

Bureau of Savings Programs Pennsylvania Treasury

Tax Benefits of PA ABLE

Deductions and credits:

• Any PA taxpayer’s contributions to a PA ABLE account may be deducted from state

taxable income up to $15,000 per person, per year. Only contributions to a PA ABLE account qualify for the PA state income tax deduction.

• Account owners 18 or older may be eligible for a federal credit up to $2,000 for

contributions to their ABLE account if they are not full-time students and not claimed as a dependent on another person’s return.

Earnings:

Earnings in a PA ABLE account grow federal and PA income tax deferred and withdrawals for qualified disability expenses are federal and PA income tax free.

Other:

PA ABLE assets excluded from PA inheritance tax (both the principal and earnings) and also protected from creditors of the Account Owner or contributor in PA state proceedings.

8 Save taxes with PA ABLE

Bureau of Savings Programs Pennsylvania Treasury

To be eligible for an ABLE account, a person must:

• 1. Have a qualifying disability which started before 26th birthday;

AND

• 2a. Be eligible for Supplemental Security Income (SSI) or Social

Security Disability Insurance (SSDI)

OR

• 2b. Self-certify they meet certain disability standards (next slide)

10 Who is Eligible?

Bureau of Savings Programs Pennsylvania Treasury

To self-certify, the qualifying disability must be:

• Blindness, OR
• A “Medically determinable physical or mental impairment,”
• That results in “marked and severe functional limitations,” AND
• Is expected to last for 12 continuous months or result in death.

Anyone that self-certifies eligibility must possess a written diagnosis* related to the impairment signed by a physician who meets SSA criteria. *While not required to enroll, the written diagnosis must be provided if requested.

11 Self Certification

Bureau of Savings Programs Pennsylvania Treasury

• Enroll online at PAABLE.gov or with a paper application available
• nline or by calling 855-529-ABLE (2253).
• PA ABLE accounts are FREE to open (other fees apply).
• Eligible Individual must open account if 18 or older with legal

capacity to contract.

• To establish an account for minors or adults who lack the capacity to

contract, an authorized individual can open an account.

• Authorized Individual may be parent, guardian, or power of attorney.

Pennsylvania also allows Representative Payees to open accounts on behalf of an individual with a disability.

12 Opening and Maintaining – Opening an Account

Bureau of Savings Programs Pennsylvania Treasury

• Level 1: The ability to obtain information about the account

and receive duplicate account statements.

• Level 2: Access of Level 1 + can move money among

investment options within the account.

• Level 3: Access of Level 2 + can withdraw money from the

account in accordance with PA ABLE procedures.

• Level 4: Full control over the account.

13 Opening and Maintaining – Four Levels of Authorized Agents

Bureau of Savings Programs Pennsylvania Treasury

• Contributions can be made online, by check, money order, via payroll

deduction, or automatically from a bank.

• Anyone may make a contribution.
• Family and friends can also contribute with Ugift (https://www.ugiftable.com/)
• Contributions must be at least $25.
• Annual account contribution maximum of $15,000 (from all sources).
• Roll over 529 account funds into a PA ABLE account owned by you or a

member of your family (limitations apply).

• Contributions are considered a completed gift to the Account Owner.
• Importance for gifting – should be directly to ABLE account to avoid impacting

benefits.

14 Opening and Maintaining – Contributing to a PA ABLE account

Bureau of Savings Programs Pennsylvania Treasury

Account owners can contribute above the annual limit ($15,000 in 2019) if they:

• Are employed, and
• Have not contributed to a defined contribution plan (including 401K),

annuity contract or deferred compensation plan during a tax year

They can contribute whichever is less:

• The amount they earn or
• The federal poverty level for the prior year ($12,140 in 2018)

Any contribution above the annual contribution limit may only be made by an account

• wner. The account owner must submit the ABLE to Work Self Certification Form,

which is available on PAABLE.gov or by calling 855-529-2253. We encourage you to consult a qualified tax advisor about your personal situation.

15 Opening and Maintaining – ABLE to Work Act Additions

Bureau of Savings Programs Pennsylvania Treasury

• Six Asset-allocation Options

with varying mixes of stocks, bonds, and cash investments ranging from aggressive to conservative.

• Choose from one or all.
• Move funds among options

twice in a calendar year.

• At any time, designate another
• ption for new contributions.
• Next slide – Checking Option

16 Opening and Maintaining – Investment Options

Bureau of Savings Programs Pennsylvania Treasury

• 100 percent of assets are invested in an FDIC-insured interest bearing

checking account with Fifth Third Bank, which includes debit card (checks available for additional fee).

• $0 charge for ATM card if used at one of the 54,000 Fifth Third Bank and

partner ATMs (Allpoint and Presto). Out-of-Network ATM fee may apply ($2.75 per use).

• Monthly service charge of $2.00 is waived with electronic statements or

an average monthly balance of at least $250.00.

• $0 overdraft or returned payment fees.
• More at www.53.com - including ATM locator.

17 Opening and Maintaining – Checking Option

Bureau of Savings Programs Pennsylvania Treasury

QUALIFIED DISABILITY EXPENSES

• Education
• Housing (some limitations)
• Transportation
• Employment training and support
• Assistive technology and personal support services
• Health
• Prevention and wellness
• Financial management and administrative services
• Legal fees
• Expenses for oversight and monitoring
• Funeral and burial expenses

Proposed IRS regulations includes “basic living expenses” and explain all expenses need not be “medically necessary” or for the SOLE benefit of the Eligible Individual. Account owners should always keep receipts.

20 Opening and Maintaining – Eligible Expenses

Bureau of Savings Programs Pennsylvania Treasury

• Withdrawals used for “qualified disability expenses” are not subject to

taxes.

• Withdrawals used for “non-qualified expenses” are subject to income tax
• n any earnings at the taxpayer’s tax rate plus an additional 10% penalty
• n the earnings.
• Consequences for SSI recipients
• Withdrawals intended to be used for ”qualified disability expenses” do

not impact SSI benefits

• Withdrawals for non-qualified expenses and housing can impact

SSI benefits unless used in the same month the withdrawal is taken.

• Who determines if expense is qualified or non-qualified?
• The account owner – subject to an IRS audit or review by the Social

Security Administration. Documentation should be maintained. 21 Opening and Maintaining – Qualified vs. Non-Qualified Withdrawals

Bureau of Savings Programs Pennsylvania Treasury

• Account value over $100,000 counted as an

asset

• SSI benefits suspended. Not terminated.
• Doesn’t impact Medical Assistance (Medicaid)

eligibility

• Contributions directly into an ABLE account do

not affect SSI benefits (up to $100,000 account balance.)

• States and recipients report to Social Security

Administration

22 Additional Details – Important Information for SSI

Bureau of Savings Programs Pennsylvania Treasury

• Withdrawals for housing and non-qualified withdrawals

can reduce SSI benefits

• Timing is critical
• If used in the same month the withdrawal is taken there is no impact
• If used in a different month from when the withdrawal is taken their

benefits may be reduced

• Example: If rent is due on the first of the month, a recipient can take

their withdrawal and pay their rent in the prior month. If they take their withdrawal in the prior month but pay their rent on the first of the next month, they may have their benefits reduced. Non-qualified withdrawals are addressed in a similar manner with regard to SSI benefits (however there are still tax consequences on the non- qualified withdrawal).

23 Additional Details – Important Information for SSI

Bureau of Savings Programs Pennsylvania Treasury

For SSI purposes, housing expenses include:

• mortgage (including property insurance required by the

mortgage company)

• real property taxes
• rent
• heating fuel
• gas
• water
• sewer
• garbage removal

24 Additional Details – Important Information for SSI

Bureau of Savings Programs Pennsylvania Treasury

While federal ABLE law permits a state to file a claim against an ABLE account for Medicaid paid during the time the beneficiary had an ABLE account, PA’s ABLE law prohibits it. However, federal Medicaid law requires the state agency (PA Department of Human Services) to seek repayment of Medical Assistance from the estate if the beneficiary was 55 or older when he died, whether or not there is an ABLE account.

• For expenses incurred after the beneficiary turned 55, which were for
• Nursing facility services
• Home and community-based services
• Related hospital and prescription drug services
• However, repayment will be delayed when the deceased beneficiary is survived by:
• A spouse;
• Child under 21;
• A disabled child of any age
• The PA Department of Human Services may seek repayment from the beneficiary’s estate
• nce the reason for the delay no longer exists.

25 Additional Details – Important Information for Medicaid

Bureau of Savings Programs Pennsylvania Treasury

This presentation provides only highlights of the PA ABLE Savings Program (PA ABLE). The Pennsylvania ABLE Savings Program is administered by the Pennsylvania Treasury Department. Before investing, please carefully read the Disclosure Statement (available at PAABLE.gov or by calling 855-529-2253) to learn more about the program, including its effect on federal and state benefits, investment objectives, risks, fees, and tax implications.

34 PA ABLE Savings Program

Bureau of Savings Programs Pennsylvania Treasury

Questions? Need brochures or an ABLE presentation? Contact Us at 855-529-2253 or info@PAABLE.gov Sign up for email updates or an informational webinar at PAABLE.gov

35 PA ABLE Savings Program

Bureau of Savings Programs Pennsylvania Treasury

COMMUNITY INTE GRATE D SE RVICE S

• NON PROFIT SUPPORTE

D E MPLOYME NT ORGANIZATION THAT SE RVICE S INDIVIDUALS IN THE FOLLOWING COUNTIE S: PHILADE LPHIA, DE LAWARE , MONTGOME RY , CHE STE RAND BUCKS. ALSO SE RVE THE STATE OF DE LAWARE

• WORK WITH INDIVIDUALS WITH ALL TYPE

S OF DISABILITIE S

• ASSIST OUR PARTICIPANTS ON THE

IR PATH TO E MPLOYME NT

• SE

RVICE S ARE COMMUNITY BASE D

• INTE

RNSHIP E XPE RIE NCE S, CARE E R ASSE SSME NTS, JOB FIND, JOB COACHING, AND BE NE FITS COUNSE LING

• PROJE

CT SE ARCH

• FUNDING COME

S FROM:

• ME

DICAID WAIVE RS (OFFICE OF DE VE LOPME NTAL PROGRAMS & OFFICE OF LONG TE RM LIVING), OVR, TICKE T TO WORK, SCHOOL DISTRICTS, SE TTLE ME NTS, GRANTS

WHE N WE START TALKING ABOUT WORK…

• QUE

STIONS AND CONCE RNS ABOUT BE NE FITS

• FE

ARS AND MYTHS ABOUT LOSING BE NE FITS (CASH AND ME DICAL)

• MAINTAINING E

LIGIBILITY FOR FUNDING AND SE RVICE S

• USING AVAILABLE

KNOWLE DGE AND RE SOURCE S MAKING INFORME D DE CISIONS ABOUT WORK BASE D ON F ACTS AND NOT ON FE AR

FINDING THE RIGHT INFORMATION!

• E

VE RYONE ’S SITUATION IS DIFFE RE NT

• ITS CONFUSING AND THE

RE ARE A LOT OF RULE S

• CAN’T RE

L Y ON OTHE RS

• MAKING A WORK DE

CISION BASE D ON FE ARS OR MYTHS CAN DO ONE OF THEFOLLOWING

• CAUSE

SOME ONE TO LOSE NE CE SSARY BE NE FITS AND SUPPORT THE Y NE E D

• NOT WORK UP TO THE

IR FULL POTE NTIAL

• THE

RE IS HE LP AVAILABLE !!

BE NE FITS COUNSE LING CAN HE LP

• INDIVIDUALIZE

D WORK INCE NTIVE COUNSE LING

• SHOULD A PE

RSONALIZE D E XPE RIE NCE

• VE

RIFY BE NE FITS

• PROVIDE

INSIGHT ON WHAT HAPPE NS TO BE NE FITS WHE N WORK BE GINS/ ORCHANGE S

• PROVIDE

A BE NE FITS TIME LINE

• INFORMATION AND ACCE

SS TO SSA’SWORK INCE NTIVE S

• GUIDANCE

ON RE PORTING TO SSA

• INFORMATION ON HOW OTHE

R BE NE FITS ARE IMPACTE D DUE TO WORKING SUCH AS

• ME

DICAID WAIVE RS, SNAP , HOUSING BE NE FITS AND MANY MORE

• GUIDANCE

WITH ADDITIONAL RE SOURCE S (SPE CIAL NE E DS TRUSTS AND ABLE )

WHE RE AND HOW TO FIND HE LP

• WORK INCE

NTIVE PLANNING AND ASSISTANCE (WIPA)

• DISABILITY RIGHTS OF PA – IS THE

LOCAL WIPAFOR THE PHILADE LPHIA ARE A

• GOODWILL - CE

NTRAL AND NORTH E ASTE RN PA

• AHE

DD- WE STE RN PA

• CONTRACTE

D BY SSA TO PROVIDE FRE E AND INDIVIDUALIZE D WORK INCE NTIVE COUNSE LING

• PRIORITIZE

INDIVIDUALS WHO ARE WORKING, HAVE A JOB OFFE R, A RE CE NT INTE RVIE W OR TRANSITION AGE YOUTH

• CALL THE

TICKE T TO WORK HE LPLINE TO GE T THE PROCE SS STARTE D 1-866-968-7842

• MAY NE

E D TO WAIT FOR SE RVICE S

MORE ON GE TTING HE LP!

• SOME

FUNDE RS HAVE ADDE D BE NE FITS COUNSE LING AS A SE RVICE !

• OFFICE

OF VOCATIONAL RE HABILITATION

• OFFICE

OF DE VE LOPME NTAL PROGRAMS (P / FDS, CONSOLIDATE D, AND COMMUNITY LIVING WAIVE RS)

• ADUL

T AUTISM WAIVE R- IT IS E MBE DDE D IN E MPLOYME NT SE RVICE S AND NOT A SE PARATE SE RVICE

• OFFICE

OF LONG TE RM LIVING (OBRAAND COMMUNITY HE AL TH CHOICE S WAIVE RS)

• IF THE

INDIVIDUAL IS CONNE CTE D TO THE FUNDING SOURCE S ABOVE , THE Y CAN RE QUE ST IT FROM THE IR SUPPORTS COORDINATOR / OVRCOUNSE LOR.

MOVING FORWARD

• RE

SOURCE S TO HE LP UNDE RSTAND BE NE FITS AND MAINTAIN E LIGIBILITY

• SSABE

NE FITS

• ME

DICAID AND WAIVE R SE RVICE S

• OTHE

R GOVE RNME NTAL BE NE FITS

• WORK INCE

NTIVE COUNSE LING

• SPE

CIAL NE E DS TRUSTS

• ABLE

ACCOUNTS

THANK YOU

ANGE LINA BUSH CPWIC, CE SP ASSISTANT DIRE CTOR OF BE NE FITS AND TICKE T COMMUNITY INTE GRATE D SE RVICE S ANGE LINA.BUSH@CISWORKS.ORG 215-238-7411 E XT117