New Bipartisan Bill Would Improve Financial Security For SSDI Beneficiaries
Last week, Senators Sherrod Brown (D-OH) and Bill Cassidy (R-LA) passed the SSI Savings Penalty Elimination Act. If it goes forward, the bill would create a more equitable system for SSDI beneficiaries struggling with inflation and rising living costs.
What Will The SSI Savings Penalty Elimination Act Do?
The SSI Savings Penalty Elimination Act aims to raise the savings cap for SSDI recipients. The current system hasn’t been touched since 1989, and it limits the savings of SSDI beneficiaries to a mere $2,000 for individuals and $3,000 for married couples. Any amount beyond that could jeopardize a person’s disability benefits. Given the rising inflation and living costs in the last few years, many have argued that a $2,000 limit is simply not enough for disability recipients to get by on anymore.
The proposed change in this bill would increase that savings cap from $2,000 to $10,000 for individuals and $20,000 for married couples in the near future. This cap would also be adjusted for inflation, ensuring the system will change alongside economic conditions.
How This Bill Helps SSDI Recipients
As Senator Brown stated in a recent press release, “this bill will require SSA to use today’s data to run today’s programs and ensure that disabled Americans are not unfairly punished.”
The current system punishes vulnerable SSDI recipients who try to save for their future. By raising the savings limit, this bill encourages them to be financially prepared without being scared about losing their benefits. Instead of forcing people to spend their savings, the new law will help beneficiaries afford basic necessities, medical costs, education, and much more.
Living conditions and dollar strength were also incredibly different in 1989 when the act first passed. Inflation has been much higher than average in recent years, and living costs have skyrocketed. $2000 is barely enough to afford necessary bills for most people nationwide. The SSI Savings Penalty Elimination Act acknowledges today’s economic realities, ensuring that beneficiaries with disabilities have the financial security they need to survive. It offers stability and recognizes that those with disabilities deserve to have their financial needs met.
Contact Our Experienced Attorneys Today
Navigating the intricacies of SSDI benefits can be challenging, especially when the rules are constantly changing. But you don’t have to navigate everything alone. If you or someone you know needs help applying for an SSDI claim, our skilled team of New York social security disability lawyers will guide you through the process. Please contact us online or at 855-208-9438 if you have any questions or want to schedule your first consultation today.