Social Security FYI: Will Incentive Payments and Child Tax Credit Affect Your Benefits? – Community News
Social Security

Social Security FYI: Will Incentive Payments and Child Tax Credit Affect Your Benefits?

Happy mature couple using laptop while planning their home budget.  Stock photo

Drazen Zigic / iStock.com

It was recently determined that emergency financial assistance for COVID-19 from a federal, state, or local government will not affect your Social Security benefits. In addition, it was clarified that this type of assistance would not affect the entitlement to social security income or the monthly social security amount.

LATEST POLL: How do you plan to travel over the Thanksgiving holiday?
Stimulus warning: Is the future of the tax credit for children likely to be massively cut?

The administration stated that “specifically, we do not count the financial aid” [listed below] against your right to the payment amount.” They also stated that they are in the process of reviewing SSI claims and other SSI records dating back to the start of the pandemic to restore SSI payments to the people whose SSI was affected by receiving one of the pandemics. staff.

The particulars of which COVID-19 financial assistance does not count toward SSI eligibility or SSI payment amount are listed on the SSA website and read as follows:

  • Economic Impact Payments (EIP)
  • State Incentive Payments (Some exclusions may apply.)
  • Unemployment benefit (including regular unemployment)
  • Paycheck Protection Program (PPP): Loan Forgiveness to Employers and Self-Employed
  • Economic Injury Loan Program (EIDL): Employer and Self-Employed Loans/Grants/Grants
  • Food Aid Program Against Coronavirus – Direct Payments to Farmers and Ranchers
  • Rapid Retraining Tool for COVID-19 Veteran
  • COVID-19 Funeral Assistance
  • Emergency rental aid fund
  • Emergency assistance for rural housing/rural rental assistance
  • Homeowners Help Fund
  • Housing Assistance and Support Services Programs for Native Americans
  • Tribal payments from the Coronavirus Relief Fund and the Coronavirus State and Local Fiscal Recovery Funds
  • Support for foster youth and families
  • Emergency Relief Fund for Higher Education
  • Emergency assistance to children and families through the Pandemic Emergency Assistance Fund
  • Agricultural loan assistance for socially disadvantaged farmers and ranchers
  • USDA Assistance and Support for Socially Disadvantaged Farmers, Ranchers, Forest Owners and Operators, and Groups

If your Social Security income was affected because you received or are still receiving aid from the pandemic era, the SSA claims that in most cases you don’t need to do anything. They will automatically restore your payment and send you a letter explaining the changes. If your SSI has stopped altogether due to the payments mentioned above, you should contact your local office and report it immediately as this is an error.

If you have not yet received and are currently receiving an SSI (or are considering applying for the assistance on the list above), please call the Social Security Administration at 1-800-772-1213.

Social Security Trick: Marriage Adjustment Could Bring Lower Earners Up to 50% of Spouse Benefit
Find: Are you doomed to work forever? What You Can Do If Your Social Security Isn’t Enough?

In addition, there has recently been an increase in the number of people fraudulently applying for unemployment claims or Social Security benefits in the name of others during the pandemic. The Financial Crimes Enforcement Network (FINCEN) has identified multiple fraud schemes where applicants submit unemployment benefit (UI) claims using someone else’s information, the SSA said. Receiving unemployment benefits can affect the amount of monthly benefits you receive from Social Security, so it’s critical that you report it as soon as possible. If you believe you have been the victim of this fraud scheme, you should claim it immediately by finding your state’s department number here.

More from GOBankingRates

Last updated: October 21, 2021

About the author

Georgina Tzanetos is a former financial advisor who studied post-industrial capitalist structures at New York University. She has eight years of experience in concentrations in asset management, portfolio management, private client banking and investment research. Georgina has written for Investopedia and WallStreetMojo.