Other Resources –
State Incentives & Programs that
Enhance Successful Employment
Serving as a Resource on SSA’s
Work Incentives & Other
Programs Webinar Series– Part 4
April 7, 2009
Objectives
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Medicaid Buy In Programs (CMS)
Earned Income Tax Credit (IRS)
Asset Building (Individual Development
Accounts) (HHS)
Housing Support (HUD)
Employer Tax Credits (DOL & IRS)
Role of the Navigator
Policy Confusion
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Prove unable to work because of a medical
condition not expected to improve in the near
future.
Continued eligibility for public benefits only if
total assets remain under $2,000.
Tear down the remaining barriers to equality
that face Americans with Disabilities today.
3
The Americans With Disabilities Act of
1990
The Nation’s proper goals regarding individuals
with disabilities are to assure equality of
opportunity, full participation, independent
living, and economic self-sufficiency for such
individuals;
42 U.S.C. § 1201(a)(8) (2005)
4
The Americans With Disabilities
Act of 1990

the continuing existence of unfair and
unnecessary discrimination and prejudice
denies people with disabilities the opportunity
to compete on an equal basis and to pursue
those opportunities for which our free society
is justifiably famous, and costs the United
States billions of dollars in unnecessary
expenses resulting from dependency and
non-productivity.
42 U.S.C. § 1201(a)(9) (2005)
Pathway to Prosperity
 Earn
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Claim It
Keep It
It
SSI Work Incentives and Wages
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SSI Work Incentives enhance economics and can
protect Medicaid
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Student Earned Income Exclusion (SEIE)= excludes wages
Blind Work Expense (BWE)= Out of pocket expenses
Plan For Achieving Self-Support (PASS)= Saving for Occupation
Property Essential for Self-Support (PESS)=Protects Some Resources
Impairment Related Work Expense (IRWE)=Out of Pocket Expenses
Special Condition/Subsidies=Calculating Value of Work
1619b = Protects State Medicaid
Medicaid Buy-In
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Authorized by the Ticket to Work and Work Incentives Improvement Act of
1999
Medicaid Buy-In programs allow states to expand Medicaid coverage to
workers with disabilities who are not typically eligible for Medicaid due to
their income/assets.
States design their Medicaid Buy-In program (within certain parameters) to
meet their State’s unique needs, resources, and objectives.
To be eligible for the Buy-In program, an individual must have a disability
(as defined by the Social Security Administration), have earned income,
and meet any other financial eligibility requirements established by their
state.
As of September 1, 2008 39 states currently have a Medicaid Buy-In
program.
An overview of the Medicaid Buy-In Initiative can be found at the Center for
Workers with Disabilities at:
http://cwd.aphsa.org/statetostate/docs/mbioverview.htm
Pathway to Prosperity
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Earn It
 Claim
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Keep It
It
Earned Income Tax Credit
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The Earned Income Tax Credit (EITC) is a
credit for people who earn low-to-moderate
incomes. EITC can reduce your taxes, and
can mean a refund. In simple terms, working
families and individuals may keep more of
what they work for.
Earned Income Tax Credit
EITC requirements:
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Must have a valid Social Security Number
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You must have earned income from employment or from self-employment.
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Your filing status cannot be married, filing separately.
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You must be a U.S. citizen or resident alien all year, or a nonresident alien
married to a U.S. citizen or resident alien and filing a joint return.
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You cannot be a qualifying child of another person.
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If you do not have a qualifying child, you must:
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be age 25 but under 65 at the end of the year,
live in the United States for more than half the year, and
not qualify as a dependent of another person
Cannot file Form 2555 or 2555-EZ (related to foreign earn income)
Earned Income Tax Credit
Tax Year 2008
Earned income and adjusted gross income must each be less than:
 $38,646 ($41,646 married filing jointly) with two or more qualifying
children;
 $33,995 ($36,995 married filing jointly) with one qualifying child;
 $12,880 ($15,880 married filing jointly) with no qualifying children.
Tax Year 2008 maximum credit:
 $4,824 with two or more qualifying children;
 $2,917 with one qualifying child;
 $438 with no qualifying children.
Investment income must be $2,950 or less for the year.
VITA – Volunteer Income Tax Assistance
File For Free!!!
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The VITA Program offers free tax help to low- to moderateincome (generally, $39,000 and below) people who cannot
prepare their own tax returns. Certified volunteers sponsored by
various organizations receive training to help prepare basic tax
returns in communities across the country. VITA sites are
generally located at community and neighborhood centers,
libraries, schools, shopping malls, and other convenient
locations. Most locations also offer free electronic filing.
To locate the nearest VITA site, call 1-800-829-1040.
REI Tour
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The Real Economic Impact Tour (REI Tour) is a
national, public/private initiative assisting low income
persons with disabilities with asset building
strategies, free tax preparation and filing assistance.
In the 2008 filing season REI Tour partners prepared
over 90,000 tax returns in 62 cities. Over $81 million
in refunds were received by persons with disabilities.
The REI Tour is visiting 84 cities this year.
For more information on the REI Tour, go to www.reitour.org
Work Opportunity Tax Credit
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A federal tax credit available to all private sector businesses.
The WOTC is one tool in a diverse toolbox of flexible strategies
designed to help move people from welfare into gainful
employment and obtain on-the-job experience.
It joins other tax credits, education, and workforce training
programs that help American workers with barriers to
employment prepare for good jobs; ease their transition from
job to job; benefit from the creation of effective regional
economic development strategies; and create high performance
workplaces.
Work Opportunity Tax Credit
The new employee must belong to one of the following nine WOTC target
groups:
– Long-term TANF Recipient.
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Received or recently received Temporary Assistance to Needy Families (TANF) payments for
at least 18 consecutive months ending on the hiring date, or
Received TANF payments for any 18 months (whether or not consecutive) beginning after
August 5, 1997, and the earliest 18-month period beginning after August 5, 1997 ended during
the past 2 years, or
Stopped being eligible for TANF payments during the past 2 years because federal or state
law limited the maximum time those payments could be made.
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Other TANF Recipient.
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Qualified Food Stamp Recipient.
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Designated Community Resident.
A member of a family that is receiving or recently received TANF
benefits for any 9-month period during the 18-month period ending on the hiring date;
An 18-39 year old member of a family that received
Food Stamps for the past 6 months, or received Food Stamps for at least 3 of the past 5 months;
An 18-39 year old resident of one of the federally
designated Empowerment Zones (EZs), Enterprise Communities (ECs), Renewal Communities
(RCs), and for individuals who begin to work for an employer after May 25, 2007, this High-Risk
Youth group has been renamed "Designated Community Resident" and expanded to include
residents of Rural Renewal Counties;
Work Opportunity Tax Credit
(con’t)
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Summer Youth Employee.
A 16-17 year old EZ/EC or RC resident hired between May 1
and September 15;
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Qualified Veteran. A veteran who is a member of a family that is receiving or recently
received Food Stamps for at least a 3-month period during the past 15 months; and for individuals
who begin to work for an employer after May 25, 2007, the veteran group is expanded to include
"disabled veterans" who are entitled to compensation for a service-connected disability and who,
during the one-year ending on the hiring date, were: a) discharged or released from active duty in
the U.S Armed Forces, or b) unemployed for a period or periods totaling at least 6 months. The firstyear wages taken into account for these "disabled veterans" are capped at $12,000;
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Vocational Rehabilitation Referral. An individual who completed or is completing
rehabilitative services from a State certified agency, an Employment Network, or the U.S.
Department of Veterans Affairs;
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Qualified Ex-Felon.
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SSI Recipient.
An individual who has been convicted of a felony and has a hiring date
which is not more than one year after the last date on which he was so convicted or released from
prison;
A recipient of Supplemental Security Income (SSI) benefits for any month
ending during the past 60 day period ending on the hire date.
For additional information, go to
http://www.doleta.gov/business/incentives/opptax/
Pathway to Prosperity
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Earn It
Claim It
 Keep
It
Social Security Work Incentives
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Social Security Disability Insurance - SSDI
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No asset limits
Supplemental Security Income - SSI
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Resources must remain below $2000
Savings Options
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PASS Plans (Plan for Achieving Self Support)
Individual Development Accounts (IDA)
HUD Family Self Sufficiency Program (FSS)
Trusts
PASS Plans
Plan for Achieving Self Support
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Allows an individual to set aside income (any income other than SSI) or resources
which would otherwise affect the individuals eligibility for a benefit or the individual’s
payment amount to achieve a work goal.
Any person who receives SSI benefits, or who might qualify for SSI, or any person
who receives SSDI (or a similar benefit) and could qualify for SSI, may be able to
have a PASS.
The PASS plan must:
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Have a specific work goal
Have a specific time frame for reaching the goal
Show what money and any other contributions will be used to reach the work goal
Show how any money set aside in savings will be kept separate from other funds
Show how the money and resources will be saved and, later, spent
Be submitted in writing and approved by Social Security’s PASS Cadre
Include a Business Plan if the PASS is for self-employment
Be reviewed periodically to assure compliance
Increase an individual’s ability to be self-supporting by decreasing the amount they receive
in cash benefits from Social Security
PASS Plans
For more information on Plans for Achieving Self Support:
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Social Security Administration –
http://www.socialsecurity.gov/disabilityresearch/wi/pass.htm
The University of Montana Rural Institute http://www.passplan.org
Institute for Community Inclusion http://www.communityinclusion.org/article.php?article_id=66
Cornell University Employment and Disability Institute http://www.passonline.org/
Work World - http://www.workworld.org/wwwebhelp/pass.htm
WIPA Projects –
http://www.socialsecurity.gov/work/ServiceProviders/WIPADire
ctory.html
Individual Development Accounts
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Individual Development Accounts (IDAs) are matched savings
accounts that allow individuals with limited income and limited
wealth to save money and to build assets.
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The IDA Provider partners with Financial institutions,
foundations, churches, private donors, and state and local
governments to fund the matches to the personal savings of
IDA holders (usually at a rate ranging from $1 to $8 for each
dollar saved).
For example, an IDA program with a 2:1 match would provide
$2 for every $1 dollar saved in the IDA, $1000 saved in the IDA
would receive a $2000 match.
Individual Development Accounts
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Individual Development Accounts began to receive federal
funding in the late 1990’s as an asset building strategy for low
income, low wealth families.
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Federal funding for the accounts were provided by two sources,
Temporary Aid to Needy Families (TANF) and the Assets for
Independence Act (AFIA).
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Assets accrued in an IDA established using TANF or AFIA
money can not, under Federal regulations negatively impact an
individual’s eligibility for federal programs. The individual’s
contributions, matching contributions, and interest can not be
considered as an asset when determining eligibility or benefit
levels for federal benefit programs like Social Security, Medicaid
and Food Stamps.
Individual Development Accounts
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An IDA can be used to purchase
1.
2.
3.
a home
higher education and training
a business
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The IDA provider may also provide financial literacy, budgeting,
credit counseling and/or volunteer income tax assistance
(VITA) services. These services provide an individual the
opportunity to increase their ability to earn, budget and save
towards their goal.
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For a Local IDA Provider, cfed (Corporation for Enterprise
Development) www.cfed.org or http://idanetwork.cfed.org
HUD Family Self Sufficiency
Program (FSS)
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The Family Self-Sufficiency (FSS) program is a HUD program
(Housing and Urban Development) that encourages communities to
help individuals and families who are receiving Housing Choice
Vouchers as a rent subsidiary to set employment goals and advance
their self-sufficiency.
At a local community level, the FSS program is administered by the
local public housing agency (PHA).
The FSS program was established in 1990 by Section 554 of the
National Affordable Housing Act.
The PHA will have an FSS Coordinator who will enter into a five year
FSS contract with a family, outlining goals and services.
HUD Family Self Sufficiency
Program
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FSS program services may include but are not limited to:
– Childcare
– Counseling
– Transportation
– Household Skill Training
– Education
– Job Training
– Homeownership Counseling
For more information, go to
http://www.hud.gov/offices/pih/programs/hcv/fss.cfm
Special Needs Trusts
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A Special Needs Trust is intended to provide for an individual's
needs by supplementing public benefits to improve an
individual’s quality of life.
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A trust is established and administered by an entity or individual
called the trustee. The individual, their family and other
supports work with the trustee to document what the money in
the trust should be used for.
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Because the trust does not belong to the individual with a
disability, it does not count as an asset, making it possible for
the individuals to remain eligible for much needed public
benefits.
Special Needs Trusts
There are 3 types of Special Needs Trusts:
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Family-Type Special Needs Trusts
Court Ordered Special Needs Trust
Pooled Special Needs Trust
Special Needs Trusts
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Special Needs Trusts are complicated legally binding
documents. Please consult a qualified trust attorney
that has experience establishing these types of
trusts.
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Please ensure that your trust attorney sets up the
trust in accordance with Social Security’s rules.
http://www.ssa.gov/ssi/spotlights/spot-trusts.htm
Please note: Information on Special Needs trusts came from the World Institute on Disability,
http://www.wid.org/programs/access-to-assets/fact-sheets/special-needs-or-supplemental-needs-trusts
Financial Literacy
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The FDIC provides the Money Smart curriculum to interested parties free
of charge. A limited number of copies are available to each party; however,
the materials are easily reproduced and have no copyright restrictions.
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FDIC staff is available to provide technical assistance and to help facilitate
partnerships among interested parties. Training can be provided free of
charge to a group of 10 or more.
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Money Smart is available in multiple languages and in Braille.
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For more information or to bring Money Smart training to your community:
http://www.fdic.gov/consumers/consumer/moneysmart/trainthetrainer.html
Financial Literacy
FDIC – Money Smart
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The Money Smart curriculum’s 10 modules help individuals build
financial knowledge, develop financial confidence, and use banking
services effectively.
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Bank on It - an introduction to bank services
Borrowing Basics - an introduction to credit
Check It Out - how to choose and keep a checking account
Money Matters - how to keep track of your money
Pay Yourself First - why you should save, save, save
Keep It Safe - your rights as a consumer
To Your Credit - how your credit history will affect your credit future
Charge It Right - how to make a credit card work for you
Loan To Own - know what you’re borrowing before you buy
Your Own Home - what home ownership is all about
Disability Program Navigators
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How can you assist with asset development:
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Resource?
Facilitator?
The Navigator’s Role…
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As a Navigator, part of your role is to be a
resource.
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Asset Development is a crucial piece of economic
self-sufficiency and greater community
participation and choice.
It is essential for a Navigator to understand what
Asset Development is and some of the basics in
order to connect job seekers and One-Stop
Career Center staff to the right resources.
The Navigator’s Role…
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In many towns/cities there are local coalitions
who work on Asset Development issues, as a
Navigator, participation in that coalition is
key.
If there is not a coalition who works on these
issues, perhaps there is an already
established committee who may be willing to
make Asset Development an issue for a subcommittee.
The Navigator’s Role…
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The REI Tour is visiting 84 cities this year,
check to see if a city you cover is on the tour
by using the link provided
http://www.reitour.org/cities/index.htm
If a city you cover is on the tour, click on the
link to find the local contact information and
contact the local contact to discuss how you
as a Navigator may be of assistance.
The Navigator’s Role…
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Work with key One-Stop Career Center staff
(such as the WIA Counselor and Case
Management staff) to educate them about
the EITC and how it may be beneficial to
One-Stop customers.
The Navigator can also act as a conduit for
access to financial literacy education to
promote asset development.
Review
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Medicaid Buy-In:

Earned Income Tax Credit:
Allows states to expand Medicaid coverage to
workers with disabilities who are not typically eligible for Medicaid due
to their income/assets.
A credit for people who earn low-to-
moderate incomes.


Work Opportunity Tax Credit: a federal tax credit available to all
private sector businesses.
Individual Development Accounts: Matched savings accounts
that allow individuals with limited income and limited wealth to save
money and to build assets.

Family Self Sufficiency Program: HUD program that
encourages communities to help individuals and families who are
receiving Housing Choice Vouchers as a rent subsidiary to set
employment goals and advance their self-sufficiency.
Contact Information
www.socialsecurity.gov
Sharon Brent, Director
Training and Technical Assistance
National Disability Institute
[email protected]
Elizabeth Jennings, Program Associate
National Disability Institute
[email protected]
Michael Roush, Program Associate
National Disability Institute
[email protected]
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