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How does the Economic Impact Payment Affect My Benefits?

Posted on 04/24/20 in General

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Part of the CARES Act includes a one-time Economic Impact Payment (referred to as stimulus payment below). Although it is a great help during this uncertain time, we have seen concerns on how it may impact persons who receive federal benefits.

As such, we have provided a quick break-down of benefits and its potential impact as of 4/23/20. In addition, to the following benefit breakdowns, the stimulus payments are NOT taxable.

  • Title II benefits: Social Security Disability Insurance (SSDI), Disabled Widow(er) Benefits (DWB), Childhood Disability Benefits (CDB), and SSA Retirement

    The stimulus payment will have NO impact on any of the above Title II benefits.

    These benefits are classified as insurance benefits and are not impacted by unearned income. For example, if we look at SSDI, unemployment does not affect SSDI payments because it is looked at as unearned income; aka, the person is not receiving the income from work, therefore it is not counted against them.

  • Supplemental Security Income (SSI)

    The stimulus payment will have NO impact on benefits.

    It will NOT count as income and will also NOT count as a resource/asset for up to 12 months. This means that an SSI recipient can keep the money in the bank for up to 12 months and not have it count against them as would any unemployment payments.

    Please note that SSI benefits are federal welfare benefits. At any time when the CARES Act refers to “Social Security Benefits, “SSI” is not included unless specifically stated by the statute.

  • Supplemental Nutrition Assistance Program (SNAP)

    There is NO impact on SNAP benefits due to the receipt of a stimulus payment in accordance with 26 U.S. Code § 6409.

  • Housing and Urban Development (HUD)

    There is NO impact on HUD rent subsidies due to the receipt of the stimulus funds.

    HUD has extended a “tailored set of mortgage payment relief options for single family homeowners with FHA-insured mortgages. Effective immediately for borrowers with a financial hardship that makes them unable to pay their mortgage due to the COVID-19 National Emergency, mortgage servicers must extend deferred or reduced mortgage payment options - called forbearance - for up to six months, and must provide an additional six months of forbearance if requested by the borrower.” [].

  • Medicaid

    Ohio has accepted the Federal Medical Assistance Percentage (FMAP) 6.2% increase from the federal government and therefore Medicaid recipients who received benefits before the COVID-19 crisis, or become eligible during the crisis cannot be terminated from Medicaid. On a case by case basis, states may change the category or eligibility, e.g., from regular Medicaid to 1619(b) or Medicaid Buy-In for Working People with Disabilities (MBI-WPD), but terminations of coverage will not be allowed.

  • Medicare

    The stimulus payment will have NO impact on Medicare premiums or eligibility.

    Medicare Savings Plans (MSPs), those programs that see Medicaid paying all or part of Medicare premiums for Parts B and D, and in some cases co-pays and deductibles, will also NOT be impacted by the stimulus payments.


Through this difficult, and sometimes, chaotic time, we are continuing to provide benefits assistance services to persons with disabilities. We are actively working through telephonic and video tech tools to help and stay connected. If you have any questions, please contact us or visit our Benefits Services page to learn more about our program.

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