October 20 – SSDI and Employer-Provided Shelter
Question: I’m working with a Social Security Disability Insurance (SSDI) beneficiary who got a job working as a cook part-time at a lodge earning $900/month. The employer provided the person free shelter as part of the job, which they said was valued at $600 a month. Will that $600 count as earnings for Substantial Gainful Activity (SGA) decisions?
Answer: If the employer reports that the free shelter is considered part of the SSDI beneficiary’s compensation, it could count toward the SGA decision. The POMS DI 10505.001 states:
“Gross earnings are a person’s total earnings for work activity before the deduction of taxes or other withholdings. Total earnings may also include in-kind payments that we may not count as “wages” for FICA tax and benefit purposes. Payments in-kind are employer-paid non-monetary payments, such as room and board or free rent. Count payments in-kind in an SGA determination if they are paid based on the employee’s own productivity.”
The Social Security claims representative will need information from the employer to clarify whether the free shelter is intended to be compensation for some or all of the beneficiary’s work activity.
Would you like to find out more about WIPA and your benefits? Contact your statewide WIPA Program-Project 20/20 if you have questions like our Daily Tips or want to learn more about working while receiving social security disability benefits. Call our North Augusta office at 803-279-9611 or the Ticket to Work Helpline at 1-866-968-7842. You can also complete a Contact Us or Self-referral Form.