FAQ
Question 1: Larimer County I-TEAM
In Colorado, we plan to offer some of our clients work experiences, in which we (Workforce Center) pay them while they gain experience working with a local employer. Our question was whether we should count this pay as earned or unearned income when calculating their SSI benefits? We have a client who we may place in a work experience, but when we calculate how the pay from this experience will affect his SSI payment it is considerably more beneficial for it to be counted as earned income rather that unearned income. If the pay is considered unearned our client will not be able to take advantage of the YTD (Youth Transition Demonstration) 3 for 4 waiver or the earned income exclusion.
Answer 1: 6/9/05 - Terri Uttermohlen, VCU
It is considered earned income.
Question 2: Pueblo I-TEAM
In Pueblo, SSA sends out a system generated letter when earned income is reported. This letter states how much a beneficiary will receive in a particular month based on earnings. It appears as though the letter is incorrect because it doesn’t state the amount with the YTD waiver of $3 or $4. How can this issue be resolved?
Answer 2: 8/31/05 Tracy Mealer-Hernandez
Per DI 60060.010E.6, "A special manual notice is not required when the waiver participant's earnings are input through MSSICS(Modernized Supplemental Security Income Claims System) or the batch process. A waiver participant's countable earned income will differ from his or her gross earned income. But the notice that is automatically generated will correctly reflect the countable earned income used to compute the SSI benefit."
The system computes countable earned income based on a 1/2 exclusion. However, the calculator computes an excluded amount that, when posted to the system as an "amount not counted" and added to the system-computed 1/2 exclusion, adds up to a 3/4 exclusion.
Question 3: Pueblo I-TEAM
A client is co-enrolled in WIA Youth and Colorado Youth WINS. The participant has received two monetary bonuses. For attending assigned workshops, she received a check for $150, for good attendance/behavior, she received a check for $50. A) Is this counted as earned or unearned income? B) Does this income need to be reported to SSA?
Answer 3: 09/02/2005 Tracy Mealer-Hernandez
A) Unearned Income/Irregular and Infrequent
B) Yes.