Overview
Currently, the Social Security maximum benefits for families with an adult child who has a disability (that began before the age of 22) amounts to 50% of the parent’s full retirement benefit, which is equal to the spouses’ benefit. This amount applies whether the parent retires or becomes disabled. In the event of the parent’s death, the amount is 100% for a spouse and 75% for the special needs dependent.
Issues
There is a maximum benefit limit which restricts a family to between 150% - 188% of the parent’s full retirement amount. When a family includes a spouse and three or more special needs dependents, the formula likely results in less than what they may receive from the (Social Security Administration) Supplemental Security Income (SSI)—in which case, the difference between the dependents’ share of a family maximum Social Security benefit and their SSI is still covered by SSI.
Unfortunately, instead of being able to completely transfer to Social Security, which imposes no resource limits, the dependent remains bound by SSI’s rules and requirements.
At present, a person on SSI can have no more than $2,000 so must ensure their bank account is spent down each month before the next month’s SSI deposit is received. If an excess of money is in their account, the penalties are severe. Instead of just returning the excess, the person loses the entire month's deposit.
This makes it impossible for the person to have the dignity and independence of their own savings account to enable them to pay cash for a sizable purchase such as a new mattress, extensive dental work, dentures, eyeglasses, or the proverbial unexpected “rainy day” event. Instead, they must rely on going into debt or doing without necessities.
Since the ABLE account is not locally available, access to funds is complicated and subject to approval. Additionally, the program involves fees which further reduces the person’s meager resources.
My Proposal - Help Families & Reduce Government
Eliminate the family maximum so those with multiple qualifying dependents are able to receive the same 50% (or 75%) amount of the parent’s retirement benefit as smaller families do. This would simplify their lives as they would no longer need to partake in SSI in order to make ends meet. The proposed change would free these families from needless rules and regulations apparently designed for no other purpose than to keep exceptionally challenged people subjected to forced poverty.
My proposal would also provide government an opportunity to lessen the caseload for SSI, allow a reduction in the size of the department, cut staffing costs, reduce bureaucracy by the elimination of a duplication of service, and improve overall efficiency. Furthermore, it would empower and better serve exceptionally challenged Americans.