Stimulus Payments and Representative Payees: What You Need to Know

From NCLER: For More Info, Go Here…

Under recent COVID-19 legislation, most people receiving Supplemental Security Income (SSI)
and Social Security are receiving stimulus payments of up to $1,200. The Internal Revenue
Service (IRS) will begin issuing these payments to those who have a representative payee
and did not file a tax return in 2018 or 2019 in late May.

This money belongs to the beneficiary, not the payee!

What Should the Representative Payee Do with the Payment?

The payment belongs to the beneficiary. It is not the same as benefits from the Social Security
Administration (SSA). The payee should make a plan with the beneficiary for how they want to spend their payment. If the beneficiary wants to use their payment independently, then the payee should turn it over to the beneficiary.

If the beneficiary wants the payee’s assistance with using the payment, then the payee can
provide that assistance outside of their role as a representative payee.

If the beneficiary receives SSI benefits, then the payee should help to make sure they have spent down the stimulus payment so that they are under the $2,000 resource limit within 12 months of receiving the payment.

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