Broadening Our Horizons 2011

Sheila StoeckelCommunity Work

Incentive Coordinator, IWIPA

Iowa Work Incentive Planning and Assistance (IWIPA)

Funded under a cooperative agreement with the Social Security Administration known as Work Incentive Planning and Assistance

Overseen by the Governance Group of Iowa, which includes:

• Iowa Workforce Development• Iowa Dept for the Blind• Iowa Developmental Disabilities Council• Iowa Vocational Rehabilitation Services• Iowa Dept of Education• Iowa Dept of Human Rights• Iowa Dept of Human Services

Supplemental Security Income (SSI)

• Needs based• Resource Limit• Financially needy program• No Auxiliary or survivors

benefits• U.S. Treasury general funds• No state supplement in IA• Work Incentives• Medicaid

Social Security Disability Insurance

• Regular Social Security benefits

• FICA contributions/qualified worker

• Dependent of a qualified worker

• Individualized benefit• Medicare• Work Incentives

Under age 18

• Child must not be working and earning over $1000/month

• Child must have a physical or mental condition

• Be expected to last at least 12 months, or result in death

• If child’s condition results in “marked and severe functional limitations” for at least 12 months

• Household income or resources• Apply/ Redetermination Age 18

Parent to Child Deeming (under 18)

• Parental income/resources shared with the child is “deemed”

• Doesn’t matter if the money is actually provided to child

• Not all income/resources count• Deemed income from a parent to

an eligible child is treated as unearned income

• May be used as for a PASS

Age 18 Redetermination

• SSA will gather medical and other information to see if the 18 year old is eligible to receive benefits as an adult

• A person receiving benefits as a child may not be eligible under the adult rules

• Be prepared!!!!!

Strategies for Redetermination

• Don’t assume that the student will get SSA benefits as a adult

• Start planning early• Document work expense• Understand the purpose of

the questions• Appeal if determined ineligible

Section 301

• Social Security Provision • Allows for continuation of benefits while

the beneficiary completes an appropriate Vocational Rehabilitation Program or similar services.

• In order to be eligible for Section 301, one must have determined by SSA to be “medically recovered” or to no longer meet the medical qualifications through a medical CDR or during the age 18 re-determination

SSI Work Incentives

• Basic Earned Income Calculation• Impairment-Related Work Expenses

(IRWE)• Plan for Achieving Self-Support (PASS)• Student-Earned Income Exclusion

(SEIE)• 1619 (a) & (b)• Blind Work Expense (BWE)• Property Essential to Self Support

(PESS)• Expedited Reinstatement

Earned Income Exclusion

400 Gross earnings -20 General Exc.380 -65 Earned Income Exc.315315 /2 remainder divide by 2157.50 Countable Earnings

Earned Income Exclusion cont.

674 2011 Federal Benefit- 157.50 Countable Earnings 416.50 Reduced SSI payment + 400 gross Income

$816.50 Total monthly gross income

Student Earned Income Exclusion

• Must be under 22

• regularly attending school– College - 8 hrs a week – Grades 7-12 - 12 hrs a week– Training Course - 12 hrs a week– Home study due to disability can also be

considered

• Allows student to exclude $1,640 per month/maximum of $6,600 per year and their SSI is not reduced in 2011

1619b

If your earnings are so high that your SSI payments stop: • Medicaid continues until you earn

above a threshold• People with high medical costs can

earn even more

Other important Work Incentives

• Impairment Related Work Expense

• Blind Work Expense• Plan for Achieving Self

Support• Property Essential to Self

Support

Plan for Achieving Self-Support (PASS Plan)

Allows an individual to set aside income and/or resources for a specified period of time to achieve their work goal.

PASS facts

• Already receiving SSI or must meet eligibility requirements

• Must have income/resources to set aside

• To increase or maintain income producing capability

• A chance to achieve a vocational goal

• To make it financially feasible to set aside or save income/resources

• PASS can start as early as 14 years old.

Examples of PASS Expenditures• Supported Employment services• Items & Capital for a Business• Educational & Training expenses• Attendant Care• Child Care• Equipment or tools• Uniforms or special clothing• Etc

Social Security Disability Insurance Social Security

Childhood Disability Benefits

Have worked and paid Social Security taxes (FICA), be a qualified worker, or an adult disabled child of a qualified worker.

SSDI Work Incentives

• 9 month Trial Work Period allows you to work and receive benefits

• Automatic reinstatement for the first 3 years

• Additional 5 years of reinstatement if work stops and there is no medical improvement

Other SSDI Work Incentives

• IRWE• Higher SGA for Blind• Subsidy• Extended Medicare

coverage• Unincurred Business

expenses• Unsuccessful Work Attempt• Continued payment under a

VR or similar program

Medicaid for Employed People With Disabilities ~ Title 19

• Must be disabled• Must have earned income from

employment• Must be under age 65• Must meet income and resource

requirements (higher than SSI requirements)

• Same as Title 19 - administered by DHS

• Some individuals may pay a premium

Iowa Work Incentive and Assistance Project

Suzie Paulson430 E Grand Ave

Des Moines, IA 50309515-281-9009866- 528-4019

Relay 711Suzanne.paulson@iwd.iowa.gov

Sheila Stoeckel600 South Pierce AveMason City, IA 50401

641-422-1500877-424-9472

Relay 711Sheila.stoeckel@iwd.iowa.gov