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2010 Edition
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SSI SPOTLIGHT ON THE ONE-THIRD REDUCTION PROVISION


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Will the one-third reduction provision affect my SSI payment?

We may reduce your SSI payment by one-third if you live in another person’s household and you do not pay for the food and shelter you get from the household.

Example—SSI reduced by one-third:   On January 10, 2012, Mary Johnson moved in with her son and her grandchildren and received both food and shelter from within the household.  She did not help pay for the household expenses. Because she received food and shelter from her son, we reduced her monthly SSI benefits by one-third starting in February.  Her SSI payment for February 2012 was $ 465.34.

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When does the value of the one-third reduction not apply? The one-third reduction does not apply if you live in another person’s household but you pay your share of the expenses for food and shelter.

Example—One-Third Reduction No Longer Applies:   Ms. Johnson notifies Social Security that she started paying her son for her share of the household expense for food and shelter as of May 1, 2012.  There are 5 persons in this household:  Ms. Johnson, her son, his wife, and 2 children. The household expenses for food, rent, and utilities are $1,500 per month.  Ms. Johnson pays her son $300 per month, which is her share of the household expenses.  Because she pays her share, we stop reducing her SSI benefits by one-third.  Starting in May 2012, we pay her the full SSI amount of $698 per month.

The one-third reduction also does not apply if you live in own home or apartment and you pay for your own food and shelter expenses.

Example—One-Third Reduction Does Not Apply:  Ms. Johnson contacts Social Security to report that she had moved into her own apartment on July 23, 2012. Based on Ms. Johnson living in her own household and paying for her own food and shelter costs, the one-third reduction does not apply to her.  Ms. Johnson is due the full monthly SSI benefit amount of $698 for August 2012.


How can I make sure that my SSI payments are correct?

You must report changes to your living arrangements within 10 days after a change occurs. Some of the changes that can affect your SSI payment include:

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Moving to a new address
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Contributing more money to the household for your food and shelter
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A change in how many persons live in your household
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Separately purchasing your own food

 

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THIS INFORMATION IS GENERAL.
FOR MORE INFORMATION, CALL 1–800–772–1213 (TTY 1–800–325–0778),
VISIT OUR WEBSITE (www.socialsecurity.govwww.socialsecurity.gov) ON THE INTERNET,
OR CONTACT YOUR LOCAL SOCIAL SECURITY OFFICE.


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