The Federal Benefit Rate is the starting point for your SSI payment

The Social Security Administration (SSA) sets a Federal Benefit Rate (FBR) each year, which is the maximum monthly payment for a single person with no other income. In 2024, that amount is $943 per month, though this changes annually based on cost-of-living adjustments. Your actual payment will be lower if you have other income or resources.

The FBR for a couple is higher — currently $1,415 per month — but the calculation works the same way. SSA publishes the current year's FBR on its website and sends it in your award letter when you first receive benefits.

Key Takeaways

  • Your SSI payment starts with the Federal Benefit Rate, then SSA subtracts any other income you receive, using specific rules about what counts as income.
  • The first $65 of earned income each month does not count, and half of anything you earn above that is also excluded, which means work does not reduce your payment dollar-for-dollar.
  • Unearned income like Social Security, pensions, or gifts counts differently — most of it reduces your SSI payment directly, though the first $20 per month is ignored.
  • Resources (money and property you own) do not affect your payment amount, but having more than $2,000 in resources makes you ineligible for SSI entirely.
  • Your state may add money to the federal payment, which changes your total benefit and is calculated separately by your state's SSI program.

How earned income reduces your SSI payment

If you work, SSA does not subtract your entire paycheck from your SSI benefit. Instead, they use what is called the Plan to Achieve Self-Support (PASS) exclusion and earned income exclusions to protect some of your wages.

The first $65 you earn in a month is not counted at all. After that, SSA counts only half of your remaining earnings. For example, if you earn $200 in a month, SSA ignores the first $65, then counts half of the remaining $135 — which is $67.50. Your SSI payment would be reduced by $67.50, not by the full $200.

This rule applies to wages from a job, self-employment income, and other money you earn by working. It does not apply to unearned income like Social Security payments or gifts.

How unearned income reduces your SSI payment

Unearned income is money you receive without working for it: Social Security benefits, pensions, unemployment payments, child support, gifts, or rental income. SSA counts unearned income differently than wages.

The first $20 of unearned income each month is excluded — it does not reduce your SSI payment at all. After that, SSA subtracts the rest dollar-for-dollar from your benefit. If you receive a $500 Social Security payment, SSA ignores the first $20, then subtracts the remaining $480 directly from your SSI check.

This means if your unearned income reaches the Federal Benefit Rate, your SSI payment stops. For instance, if you receive $943 or more in Social Security each month, you would receive no SSI payment, though you would still be on the SSI rolls and keep your Medicaid coverage in most states.

In-kind support and maintenance (food and shelter)

If someone else pays for your food or shelter, SSA may count that as income. This is called in-kind support and maintenance (ISM). The rules are complex and depend on whether you live with the person paying and whether they are legally responsible for you.

If a family member buys your groceries or pays your rent, SSA may reduce your SSI payment by up to one-third of the Federal Benefit Rate — currently about $314 per month. However, if you live alone and pay for your own food and shelter, ISM does not apply, even if someone gives you money to cover those costs.

ISM rules vary by situation. If you think this applies to you, ask your local SSA office or your benefits planner to review your specific living arrangement.

State supplementary payments added to your federal SSI

Some states add their own money to the federal SSI payment. These state supplementary payments (SSP) vary widely — some states add nothing, while others add $100 to $300 or more per month depending on your living situation.

Your total SSI payment is the Federal Benefit Rate minus your countable income, plus any state supplement. If you move to a different state, your payment may change because the state supplement changes. Your local SSA office can tell you what your state's current supplement is.

How SSA calculates your payment step by step

Here is the order SSA follows when calculating your monthly benefit:

  1. Start with the Federal Benefit Rate for your situation (single person, couple, or essential person).
  2. Subtract the first $20 of unearned income, then subtract the rest of your unearned income dollar-for-dollar.
  3. Subtract the first $65 of earned income, then subtract half of anything you earn above that.
  4. Subtract any in-kind support and maintenance (if it applies to you).
  5. Add your state's supplementary payment, if your state has one.
  6. The result is your monthly SSI payment.

SSA recalculates your payment each month based on the income you report. If your income changes, your payment changes the following month.

What does not affect your SSI payment

Your resources — the money and property you own — do not reduce your SSI payment amount. You can have a car, a house, household goods, and personal items without any effect on your benefit. However, if your total resources exceed $2,000 (or $3,000 for a couple), you become ineligible for SSI entirely, regardless of your income.

Certain items do not count as resources at all: your home and the land it sits on, one vehicle, household goods, personal items, and money set aside in an approved work incentive plan. Ask your benefits planner which of your assets count toward the resource limit.

Frequently Asked Questions

Does my SSI payment change if I get a raise at work?

Yes. If your wages increase, your countable earned income increases, and your SSI payment decreases. Remember that only half of earnings above $65 per month count, so a $100 raise reduces your SSI by $50, not $100. Report all wage changes to SSA within 10 days.

What happens if I receive a one-time gift or inheritance?

A one-time gift counts as a resource, not income, so it does not reduce your monthly payment. However, if the gift brings your total resources above $2,000, you become ineligible for SSI that month. Once you spend the money back down below $2,000, you can restart benefits by reporting the change to SSA.

Can I work and still receive SSI?

Yes. The earned income exclusions ($65 plus half of remaining wages) are designed to let you work without losing your entire benefit. Many people on SSI work part-time and receive both wages and a reduced SSI payment. Report your work to SSA so they calculate your payment correctly.

How do I know if my payment was calculated correctly?

Your SSA award letter or benefit statement shows your Federal Benefit Rate, your countable income, and how much was subtracted. If the math does not match what you expect, contact your local SSA office with your award letter. They can walk through the calculation with you and correct any errors.