How does the SSA Calculate Rental Subsidies for SSI Recipients?

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Understanding Rental Subsidies for SSI Recipients

If you receive Supplemental Security Income (SSI) and live in a household where the rent you pay is below fair market value, you may be receiving “in-kind support and maintenance” (ISM) in the form of a rental subsidy. This can impact your SSI benefit amount. Here’s what you need to know:

When does a rental subsidy exist?
– A rental subsidy may exist if you pay less than the current market rental value (CMRV) for your housing AND you are related to your landlord as a parent or child.
– If your rent equals or exceeds either the CMRV or a set presumed maximum value (PMV), no rental subsidy exists.
– For 2025, the PMV is $342.33 per month.

How does SSA determine and calculate rental subsidies?
– SSA will contact your landlord to confirm your monthly rent amount and obtain an estimate of the CMRV.
– If your rent is below both the CMRV and the 2025 PMV of $342.33, SSA will calculate your rental subsidy as the lesser of:
1) The difference between your rent and the CMRV, or
2) The difference between your rent and the $342.33 PMV
– Your calculated rental subsidy is divided among all household members and counts as ISM, which may reduce your SSI payment.

Are there exceptions where reduced rent is NOT a subsidy?
Yes, you are not receiving a rental subsidy if your rent is reduced because:
– Your housing is rent-controlled and your rent equals the legal maximum
– You perform services for your landlord in exchange for reduced rent
– A public housing assistance program pays the balance of your rent

Recent changes effective September 30, 2024:
– A nationwide policy applies a consistent definition of rental subsidy and PMV
– Previous special rules for certain states no longer apply

The rental subsidy rules aim to treat ISM consistently for SSI recipients. If you have questions about your situation, contact your local Social Security office for assistance in determining how rental subsidies may affect your benefits.