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How will The American Recovery &
Reinvestment Act
help seniors? |
| Tracey Cousineau - Outreach Manager |
| 2/27/2009 |
To help reverse the downward trend in national and local economies, President Obama signed the American Recovery and Reinvestment Act of 2009. The final version of the economic stimulus bill is over 1,000 pages long, thus this article will only focus on the Social Security Economic Recovery one time-payment information and other provisions for seniors.
This act provides for the one-time payment of $250 if you receive Supplemental Security Income (SSI), Social Security benefits, Railroad Retirement Benefits, Veterans, Disability Compensation, Pension Benefits or are a child with SSI in November, or December 2008 or January 2009. Some people will not receive one-time payments: If you owe state or federal agencies money or are delinquent in child support – money will be offset, are not legally in the U.S. or living overseas, are on SSI in nursing homes, are denied benefits because of false or misleading statements, are in prison or have violated parole or probation, or are a child receiving social security.
No action is required on your part. Social security expects everyone who is entitled to a payment to receive it by late May 2009. The payment will be made separately from your regular monthly benefit payments, but will be delivered by the same (direct deposit or mailed check) method. Payment will not count as income for purposes of determining eligibility for any federal, state, or local benefits and is not taxable income, thus you will not have to file a tax return in 2010 because of getting this one-time payment.
In addition, SCSEP (Title V) will receive $120 million to help create as many as 24,000 jobs for low-income older workers by mid-March. On the flip side, workers who were involuntarily terminated between September 1, 2008 and December 31, 2009 are eligible for a premium subsidy of 65 percent to pay for COBRA coverage for themselves and their family for up to 9 months. The subsidy terminates if/when the worker is offered any employer-sponsored health care or becomes eligible for Medicare. To qualify, income in 2009 cannot be more than $125,000 for a single person (or $250,000 for families).
The Supplemental Nutrition Assistance Program (SNAP), or food stamp program, has also received additional funding. Some households with one or two people who receive the minimum benefit of $14 a month may receive $16 a month, but others may receive more. If there are three people in your household and you are receiving $250 you will receive $313 each month ($250 + $63 = $313). The extra benefits will be added automatically to your EBT card starting April 2009.
For additional information on state-by-state estimates of provisions affecting low and moderate income Americans, visit http://www.cbpp.org/1-22-09bud.htm. To read more about the one-time $250 payment to social security and SSI recipients visit http://www.ssa.gov/payment. To Review how and when money is being spent under the stimulus legislation visit http://www.recovery.gov.