Supplemental Security Income Reform

Currently, there are many policy initiatives aimed at increasing wages for workers, including state changes to the minimum wage and President Joe Biden's Executive Order to raise the minimum wage for service contractors to $15 per hour.

In considering changes to wage policies, including increasing the minimum wage, policymakers must acknowledge and address the potential for creating a work disincentive for many individuals with disabilities who receive Supplemental Security Income. Currently, when an individual reaches a certain income level, they lose access to SSI benefits. The maximum amount that SSI beneficiaries are allowed to save while receiving benefits has also not been adjusted in decades.

Congress and policymakers should consider legislation and initiatives that would address the issue of individuals losing significant and necessary benefits as they gain employment and eliminate the disincentives and penalties that prevent individuals from saving money.

Policy Recommendations

Support the reintroduction of the following in the 119th Congress:

• Eliminating the Marriage Penalty in SSI Act
• The SSI Savings Penalty Elimination Act