Why is this issue important?

2. In recent years, SSA’s representative payment program has received attention from: Congress the Federal Courts the media advocacy groups Why is this issue important?

3. Social Security Program: Understanding the Benefits Pub No. 05-10024 Retirement Benefits Pub No. 05-10035 Disability Benefits Pub No. 05-10029 Survivors Benefits Pub No. 05-10084 Working While Disabled…How We Can Help Pub No. 05-10095 Basic Facts Pub No. 5-10080 Reference Materials

4. Representative Payment Program: A Guide for Representative Payees Pub No. 05-10076 What You Should Know When A Payee Manages Your Money Pub No. 05-10097 Guide for Organizational Payees Pub No. 17-013 Reference Materials • Supplemental Security Income Program: • A Guide to SSI for Groups and Organizations Pub No. 05-11015 • What You Need to Know When You Get SSI Pub No. 05-11011 • Understanding Supplemental Security Income PubNo. 17-008

5. Unit 1

6. 1.Retirement, Survivors & Disability Insurance (RSDI) Social insurance program Protects workers & their families from loss of earnings due to: retirement, death, or disability Two major benefit programs Unit 1

7. 2.Supplemental Security Income Federal income maintenance program Provides cash assistance for: aged, blind, or disabled people with little or no income or resources Two major benefit programs: Unit 1

8. Unit 2

9. Assists most vulnerable members of society who are: young, or elderly, or disabled, and/or not capable of managing or directing someone else to manage their finances. The representative payment program Unit 2

10. Person, Agency, Organization, or Institution selected to receive and manage benefits on behalf of an incapable or legally incompetent beneficiary. What is a representative payee? Unit 2

11. Children under age 18 Beneficiaries determined legally incompetent Beneficiaries determined by SSA to be incapable of handling their money Who needs a representative payee? Unit 2

12. Power-of-Attorney • For Social Security, having power-of-attorney or a joint bank accounting with the beneficiary is NOT the same thing as being a representative payee. • Being a Social Security representative payee does not entitle an individual to manage any funds that aren’t Social Security or SSI payments. Unit 2

13. Unit 3

14. Contact your local Social Security office Face-to-face interview Documented proof of identity Current mailing & location address Bank account information (for direct deposit) Applying to be a representative payee Unit 3

15. Conduct a face-to-face interview to: Determine relationship to the beneficiary, Discuss qualifications, Discuss ability to carry out responsibilities of a rep payee, Explain rep payee duties, Explain reporting responsibilities, and Explain liability for not reporting changes. How SSA selects a payee Unit 3

16. Social Security will: Contact the current payee for his or her views Investigate allegations raised about the current payee’s suitability to serve Send a notice to the current payee explaining the change Requests for a change of payee Unit 3

17. Unit 4

18. Use the payments for the beneficiary’s current needs & save the remainder. File accounting report. Notify Social Security when the beneficiary is no longer your responsibility Duties of an organizational representative payee Unit 4

19. Report all required events File an annual report of earnings Notify SSA when you can no longer serve as payee Return any conserved funds if you stop being payee Duties of an organizational representative payee Unit 4

20. Meet regularly with him/her Establish a budget & discuss it with him/her Involve him/her in financial decisions Explain Social Security and SSI payments Explain expenses Make him/her aware of large retroactive payments Other ways to help the beneficiary Unit 4

21. Help him/her find needed services Help him/her fill out applications for needed services Help him/her get medical treatment, as needed Negotiate with landlords & others for best deals Help him/her file income tax returns Recommend new payee if you cannot continue to serve Other ways to help the beneficiary Unit 4

22. Unit 5

23. Any changes in the life of a beneficiary that could change his or her benefit. For example: • Death • Marriage, divorce or annulment • Change in school attendance • Change of address/moves • No longer has a child in care • Convicted of a crime • Medical condition improves • Starts working Unit 5

24. Receives worker’s compensation • Discharged from the hospital • Household changes • Leaves the United States • Admitted to a hospital • Income changes • Resources change Unit 5

25. You may be required to obtain treatment for the child’s disabling condition when medically necessary. For children receiving SSI... Unit 5

26. Social Security Benefits: No check is payable for the month of death, even if death occurs on the last day of the month Checks received for month of death or later must be returned Supplemental Security Income: Check is payable for month of death Checks that arrive after month of death must be returned The death of a beneficiary Unit 5

27. An overpayment is any amount of money received for any period that exceeds the total amount of money that should have been paid. Unit 5

28. Unit 6

29. As a representative payee, you have the responsibility to use benefits received only for the use & benefit of the beneficiary. Current maintenance needs include: Food Clothing Medical Care Housing Personal comfort items Reasonably foreseeable needs How to spend a beneficiary’s money Unit 6

30. Nursing Homes Set aside at least $30 a month for the beneficiary’s personal needs or for savings on his or her behalf. Institutions For Social Security (not SSI), part of the funds can be used for the support of the beneficiary’s dependent spouse, child, and/or parent. Beneficiaries in nursing homes or institutions Unit 6

31. If current & foreseeable needs are met, you may use the beneficiary’s funds to satisfy past debts. You are not required to pay past debts unless it involves: Repayment of Social Security or SSI overpayment An IRS levy for income tax purposes Garnishment (child support & alimony) Outstanding debts Unit 6

32. Your first priority is to meet the beneficiary’s current needs for: Food Housing Medical Care Other items for personal comfort Spending large sums of money • Large sums of money must be used in the best interest of the beneficiary. Unit 6

33. If there’s money left over after basic needs are met, money may be spent on: Things that improve the beneficiary’s living conditions Providing better medical care Training to help beneficiary become more self-sufficient Major health-related expenses Recreational activities Handling large sums of money Unit 6

34. A representative payee can make some of these special purchases for comfort of the beneficiary: Home Home improvements Furniture Car Uncertain about an expenditure? Contact your local Social Security Office. Large purchases Unit 6

35. Example of “resources”are: property, stocks, bonds, or bank accounts For anindividualreceiving SSI, savings and other resources are limited to $2,000 For acouple receiving SSI, the limit is$3,000 Note: Not all resources count toward these limits; check with your local Social Security Office for additional information. $2,000 resource limit for SSI Unit 6

36. Unit 7

37. An unwise expenditure of benefits in a manner that isn’t in the best interest of the beneficiary. Example: A payee takes the beneficiary to the circus instead of buying him/her needed clothes. Improper use of benefits Unit 7

38. Occurs when money is not spent on the beneficiary or saved for future needs SSA decides if misuse has occurred, and makes a misuse determination. Misuse of benefits Unit 7

39. If misuse is found, SSA may: Appoint a new payee, or Make direct payment to the beneficiary, and Obtain restitution from the misuser, and Refer the case to the OIG for possible criminal prosecution SSA will then initiate action to recover misused funds. Misuse of benefits Unit 7

40. Unit 8

41. Checking and savings account titles must show the beneficiary as the owner and that the payee has only a fiduciary (and not personal) interest in the funds. Titling for checking and savings accounts • Two examples of bank account titles: • “(Beneficiary’s name) by (your name), representative payee,” • or • “(Your name), representative payee for (beneficiary’s name).” • The beneficiary retains ownership but not direct access to the funds. Unit 8

42. Unit 9

43. Account separate from organization’s operating account. If a fee-for-service payee, deduct your fees & move to your operating account Keep clear records showing amount of each beneficiary’s share If beneficiary has more than $500, funds should be placed in interest bearing account. Special rules for collective accounts Unit 9

44. Credit each beneficiary with his/her share of interest Set aside $30 per person for personal needs Funds belonging to a beneficiary can only be used for his or her needs Have account records available if requested by SSA Special rules for collective accounts (cont’d) Unit 9

45. Examples of recommended titles for a collective account: “Sunnydale Nursing Home, representative payee for Social Security beneficiaries” or “Sunnydale Patient’s Fund for Social Security beneficiaries” Titles for collective accounts Unit 9

46. Unit 10

47. The law requires representative payees to maintain a dedicated account at a financial institution for deposit of past due SSI benefits. Dedicated accounts affect children under 18 who: Receive SSI due to disability or blindness Have a representative payee Are due past monthly SSI payments Dedicated accounts Unit 10

48. Unit 11

49. These documents should be kept for a minimum of 2 years. • What records should an organization keep? • Bank statements, • Invoices, • Receipts, • Leases Unit 11

50. Must show for each beneficiary: how much money was received, and how much money was spent, and the balance saved for each beneficiary. Developing an accounting system Unit 11