2009 Economic Stimulus Single Payment 2009 Economic Stimulus Single Payment
2009 Economic Stimulus Single Payment
On February 17, 2009, President Obama signed the American Recovery and Reinvestment Act of 2009. One provision of this legislation provides a one-time $250 payment to most people who get Social Security, Supplemental Security Income (SSI), and/or Railroad Retirement Benefits, and Veterans, Disability Compensation or Pension benefits.
To receive the one-time payment, individuals must have been eligible for the above-mentioned benefits in November or December 2008, or January 2009.
Certain SSI recipients will not get a one-time payment.
- Those who are in a nursing home and whose care is paid for by Medicaid who get a reduced SSI benefit in the form of a $30 personal needs allowance; and
- Most SSI recipients who live in government owned or operated facilities, including nursing facilities, assisted living facilities, and board and care homes.
The beneficiary will automatically receive their $250 in the same manner in which they receive their regular benefit; no action is required on the part of the beneficiary. The payment will arrive separately from their usual monthly payment. If the payment is usually delivered by direct deposit into their bank account, the one-time payment will be direct deposited. If the beneficiary usually receives their payment by check, the one-time payment will be delivered by check.
In those cases where the beneficiary lives in a nursing home and the facility or someone else is the representative payee, the facility or other payee may not keep the money as payment to themselves. The money belongs to the beneficiary and is to be used as that person sees fit. The law specifically states: "…the entire payment shall be used only for the benefit of the individual who is entitled to the payment."
The one time $250 payment won't count as income for federal, state or local benefits. If an individual chooses to save the money instead of spending it, the amount would also be excluded as a resource in the month it was received and also for the following nine months without being taken into account for purposes of determining eligibility for Medicaid. If not spent at the end of those 10 months, any remaining funds would be counted as an asset.
Additional information on the Single Payment for Social Security and Supplemental Security Income beneficiaries can be found on the Social Security Administration's Web page or in the Social Security Administration's Electronic Booklet on the One-Time Economic Recovery Payment. My Medicare Community is also available to assist those on Medicare.
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American Recovery and Reinvention Act of 2009
TITLE II — ASSISTANCE FOR UNEMPLOYED WORKERS AND STRUGGLING FAMILIES
Subtitle C — Economic Recovery Payments to Certain Individuals
SEC. 2201. ECONOMIC RECOVERY PAYMENT TO RECIPIENTS OF SOCIAL SECURITY, SUPPLEMENTAL SECURITY INCOME, RAILROAD RETIREMENT BENEFITS, AND VETERANS DISABILITY COMPENSATION OR PENSION BENEFITS.
(a) AUTHORITY TO MAKE PAYMENTS. —
(1) ELIGIBILITY. —
(A) IN GENERAL. — Subject to paragraph (5)(B), the Secretary of the Treasury shall disburse a $250 payment to each individual who, for any month during the 3-month period ending with the month which ends prior to the month that includes the date of the enactment of this Act, is entitled to a benefit payment described in clause (i), (ii), or (iii) of subparagraph (B) or is eligible for a SSI cash benefit described in subparagraph (C).
(B) BENEFIT PAYMENT DESCRIBED. — For purposes of subparagraph (A):
(i) TITLE II BENEFIT. — A benefit payment described in this clause is a monthly insurance benefit payable (without regard to sections 202(j)(1) and 223(b) of the Social Security Act (42 U.S.C. 402(j)(1), 423(b)) under—
(I) section 202(a) of such Act (42 U.S.C. 402(a));
(II) section 202(b) of such Act (42 U.S.C. 402(b));
(III) section 202(c) of such Act (42 U.S.C. 402(c));
(IV) section 202(d)(1)(B)(ii) of such Act (42 U.S.C. 402(d)(1)(B)(ii));
(V) section 202(e) of such Act (42 U.S.C. 402(e));
(VI) section 202(f) of such Act (42 U.S.C. 402(f));
(VII) section 202(g) of such Act (42 U.S.C. 402(g));
(VIII) section 202(h) of such Act (42 U.S.C. 402(h));
(IX) section 223(a) of such Act (42 U.S.C. 423(a));
(X) section 227 of such Act (42 U.S.C. 427);
or (XI) section 228 of such Act (42 U.S.C. 428).
(ii) RAILROAD RETIREMENT BENEFIT. — A benefit payment described in this clause is a monthly annuity or pension payment payable (without regard to section 5(a)(ii) of the Railroad Retirement Act of 1974 (45 U.S.C. 231d(a)(ii))) under —
(I) section 2(a)(1) of such Act (45 U.S.C. 231a(a)(1));
(II) section 2(c) of such Act (45 U.S.C. 231a(c));
(III) section 2(d)(1)(i) of such Act (45 U.S.C. 231a(d)(1)(i)); (IV) section 2(d)(1)(ii) of such Act (45 U.S.C. 231a(d)(1)(ii));
(V) section 2(d)(1)(iii)(C) of such Act to an adult disabled child (45 U.S.C. 231a(d)(1)(iii)(C));
(VI) section 2(d)(1)(iv) of such Act (45 U.S.C. 231a(d)(1)(iv));
(VII) section 2(d)(1)(v) of such Act (45 U.S.C. 231a(d)(1)(v));
or (VIII) section 7(b)(2) of such Act (45 U.S.C. 231f(b)(2)) with respect to any of the benefit payments described in clause (i) of this subparagraph.
(iii) VETERANS BENEFIT. — A benefit payment described in this clause is a compensation or pension payment payable under—
(I) section 1110, 1117, 1121, 1131, 1141, or 1151 of title 38, United States Code;
(II) section 1310, 1312, 1313, 1315, 1316, or 1318 of title 38, United States Code;
(III) section 1513, 1521, 1533, 1536, 1537, 1541, 1542, or 1562 of title 38, United States Code; or
(IV) section 1805, 1815, or 1821 of title 38, United States Code, to a veteran, surviving spouse, child, or parent as described in paragraph (2), (3), (4)(A)(ii), or (5) of section 101, title 38, United States Code, who received that benefit during any month within the 3 month period ending with the month which ends prior to the month that includes the date of the enactment of this Act.
(C) SSI CASH BENEFIT DESCRIBED. — A SSI cash benefit described in this subparagraph is a cash benefit payable under section 1611 (other than under subsection (e)(1)(B) of such section) or 1619(a) of the Social Security Act (42 U.S.C. 1382, 1382h).
(2) REQUIREMENT. — A payment shall be made under paragraph (1) only to individuals who reside in 1 of the 50 States, the District of Columbia, Puerto Rico, Guam, the United States Virgin Islands, American Samoa, or the Northern Mariana Islands. For purposes of the preceding sentence, the determination of the individual’s residence shall be based on the current address of record under a program specified in paragraph (1).
(3) NO DOUBLE PAYMENTS. — An individual shall be paid only 1 payment under this section, regardless of whether the individual is entitled to, or eligible for, more than 1 benefit or cash payment described in paragraph (1).
(4) LIMITATION. — A payment under this section shall not be made —
(A) in the case of an individual entitled to a benefit specified in paragraph (1)(B)(i) or paragraph (1)(B)(ii)(VIII) if, for the most recent month of such individual’s entitlement in the 3-month period described in paragraph (1), such individual’s benefit under such paragraph was not payable by reason of subsection (x) or (y) of section 202 the Social Security Act (42 U.S.C. 402) or section 1129A of such Act (42 U.S.C. 1320a-8a);
(B) in the case of an individual entitled to a benefit specified in paragraph (1)(B)(iii) if, for the most recent month of such individual’s entitlement in the 3 month period described in paragraph (1), such individual’s benefit under such paragraph was not payable, or was reduced, by reason of section 1505, 5313, or 5313B of title 38, United States Code;
(C) in the case of an individual entitled to a benefit specified in paragraph (1)(C) if, for such most recent month, such individual’s benefit under such paragraph was not payable by reason of subsection (e)(1)(A) or (e)(4) of section 1611 (42 U.S.C. 1382) or section 1129A of such Act (42 U.S.C. 1320a-8a); or
(D) in the case of any individual whose date of death occurs before the date on which the individual is certified under subsection (b) to receive a payment under this section.
(5) TIMING AND MANNER OF PAYMENTS. —
(A) IN GENERAL.—The Secretary of the Treasury shall commence disbursing payments under this section at the earliest practicable date but in no event later than 120 days after the date of enactment of this Act. The Secretary of the Treasury may disburse any payment electronically to an individual in such manner as if such payment was a benefit payment or cash benefit to such individual under the applicable program described in subparagraph (B) or (C) of paragraph (1).
(B) DEADLINE.—No payments shall be disbursed under this section after December 31, 2010, regardless of any determinations of entitlement to, or eligibility for, such payments made after such date.
(b) IDENTIFICATION OF RECIPIENTS. —
The Commissioner of Social Security, the Railroad Retirement Board, and the Secretary of Veterans Affairs shall certify the individuals entitled to receive payments under this section and provide the Secretary of the Treasury with the information needed to disburse such payments. A certification of an individual shall be unaffected by any subsequent determination or redetermination of the individual’s entitlement to, or eligibility for, a benefit specified in subparagraph (B) or (C) of subsection (a)(1).
(c) TREATMENT OF PAYMENTS. —
(1) PAYMENT TO BE DISREGARDED FOR PURPOSES OF ALL FEDERAL AND FEDERALLY ASSISTED PROGRAMS.—A payment under subsection (a) shall not be regarded as income and shall not be regarded as a resource for the month of receipt and the following 9 months, for purposes of determining the eligibility of the recipient (or the recipient’s spouse or family) for benefits or assistance, or the amount or extent of benefits or assistance, under any Federal program or under any State or local program financed in whole or in part with Federal funds. (2) PAYMENT NOT CONSIDERED INCOME FOR PURPOSES OF TAXATION.—A payment under subsection (a) shall not be considered as gross income for purposes of the Internal Revenue Code of 1986. (3) PAYMENTS PROTECTED FROM ASSIGNMENT.—The provisions of sections 207 and 1631(d)(1) of the Social Security Act (42 U.S.C. 407, 1383(d)(1)), section 14(a) of the Railroad Retirement Act of 1974 (45 U.S.C. 231m(a)), and section 5301 of title 38, United States Code, shall apply to any payment made under subsection (a) as if such payment was a benefit payment or cash benefit to such individual under the applicable program described in subparagraph (B) or (C) of subsection (a)(1). (4) PAYMENTS SUBJECT TO OFFSET.—Notwithstanding paragraph (3), for purposes of section 3716 of title 31, United States Code, any payment made under this section shall not be considered a benefit payment or cash benefit made under the applicable program described in subparagraph (B) or (C) of subsection (a)(1) and all amounts paid shall be subject to offset to collect delinquent debts.
(d) PAYMENT TO REPRESENTATIVE PAYEES AND FIDUCIARIES. — (1) IN GENERAL.—In any case in which an individual who is entitled to a payment under subsection (a) and whose benefit payment or cash benefit described in paragraph (1) of that subsection is paid to a representative payee or fiduciary, the payment under subsection (a) shall be made to the individual’s representative payee or fiduciary and the entire payment shall be used only for the benefit of the individual who is entitled to the payment.
(2) APPLICABILITY. —
(A) PAYMENT ON THE BASIS OF A TITLE II OR SSI BENEFIT.— Section 1129(a)(3) of the Social Security Act (42 U.S.C. 1320a–8(a)(3)) shall apply to any payment made on the basis of an entitlement to a benefit specified in paragraph (1)(B)(i) or (1)(C) of subsection (a) in the same manner as such section applies to a payment under title II or XVI of such Act.
(B) PAYMENT ON THE BASIS OF A RAILROAD RETIREMENT BENEFIT.— Section 13 of the Railroad Retirement Act (45 U.S.C. 231l) shall apply to any payment made on the basis of an entitlement to a benefit specified in paragraph (1)(B)(ii) of subsection (a) in the same manner as such section applies to a payment under such Act.
(C) PAYMENT ON THE BASIS OF A VETERANS BENEFIT.— Sections 5502, 6106, and 6108 of title 38, United States Code, shall apply to any payment made on the basis of an entitlement to a benefit specified in paragraph (1)(B)(iii) of subsection (a) in the same manner as those sections apply to a payment under that title.
(e) APPROPRIATION.— Out of any sums in the Treasury of the United States not otherwise appropriated, the following sums are appropriated for the period of fiscal years 2009 through 2011, to remain available until expended, to carry out this section:
(1) For the Secretary of the Treasury, $131,000,000 for administrative costs incurred in carrying out this section, section 2202, section 36A of the Internal Revenue Code of 1986 (as added by this Act), and other provisions of this Act or the amendments made by this Act relating to the Internal Revenue Code of 1986.
(2) For the Commissioner of Social Security —
(A) such sums as may be necessary for payments to individuals certified by the Commissioner of Social Security as entitled to receive a payment under this section; and
(B) $90,000,000 for the Social Security Administration’s Limitation on Administrative Expenses for costs incurred in carrying out this section.
(3) For the Railroad Retirement Board —
(A) such sums as may be necessary for payments to individuals certified by the Railroad Retirement Board as entitled to receive a payment under this section; and
(B) $1,400,000 to the Railroad Retirement Board’s Limitation on Administration for administrative costs incurred in carrying out this section.
(4)(A) For the Secretary of Veterans Affairs —
(i) such sums as may be necessary for the Compensation and Pensions account, for payments to individuals certified by the Secretary of Veterans Affairs as entitled to receive a payment under this section; and
(ii) $100,000 for the Information Systems Technology account and $7,100,000 for the General Operating Expenses account for administrative costs incurred in carrying out this section.
(B) The Department of Veterans Affairs Compensation and Pensions account shall hereinafter be available for payments authorized under subsection (a)(1)(A) to individuals entitled to a benefit payment described in subsection (a)(1)(B)(iii).
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Additional Resources
Individuals who have questions about this one-time payment, or believe they should have received a payment but it has not arrived by June 4, 2009, should call their local Social Security office or 1-800-772-1213 for assistance.
If a representative payee is inappropriately using the one-time payment, a complaint can be filed with the Social Security Administration Office of Inspector General's Fraud Hotline at:
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Internet:
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Fraud Reporting Form
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U.S. Mail:
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Social Security Fraud Hotline
P.O. Box 17768
Baltimore, Maryland 21235
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Fax:
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410-597-0118
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Telephone:
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1-800-269-0271 from 10:00 a.m. to 4:00 p.m. Eastern Standard Time
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TTY:
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1-866-501-2101 for the deaf or hard of hearing
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Complaints can also be filed with the State Regulatory Agency, as they also have authority to investigate complaints regarding misappropriation of resident property. To find the contact information for your State's nursing home licensing agency, go to http://www.ltcombudsman.org/static_pages/help.cfm.
 Flyers for Residents and Family Members
The following flyers were developed by the National Council on Aging and are intended to be shared with both residents and families.
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News
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Looking for the 2008 Economic Stimulus Information? Visit the Current Issues Archives.
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