[Federal Register Volume 59, Number 233 (Tuesday, December 6, 1994)]
[Unknown Section]
[Page 0]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 94-29937]


[[Page Unknown]]

[Federal Register: December 6, 1994]


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FEDERAL RESERVE SYSTEM
[Social Security Ruling SSR 94-5p]

 

Title XVI: SSI Treatment of Department of Veterans Affairs 
Payments to Fiduciaries

AGENCY: Social Security Administration, HHS.

ACTION: Notice of Social Security Ruling.

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SUMMARY: In accordance with 20 CFR 422.406(b)(1), the Commissioner of 
Social Security gives notice of Social Security Ruling 94-5p. This 
Ruling explains the continued longstanding policy that payments made by 
the Department of Veterans Affairs (VA) to an individual who acts as a 
fiduciary for another are not income or resources to the fiduciary for 
the purpose of determining his or her eligibility for or amount of 
benefits under the supplemental security income (SSI) program.
    The Commissioner also gives notice that this Ruling supersedes SSR 
82-31. SSR 82-31 (C.E. 1981-1985, p. 777) contained policy in addition 
to that concerning VA payments to fiduciaries, regarding the treatment 
of veterans benefits made to SSI claimants where VA augments the 
benefits because the recipient has dependents. The policy on the 
treatment of VA augmented benefits is no longer applicable because of 
regulations promulgated on this date.

EFFECTIVE DATE: December 6, 1995.

FOR FURTHER INFORMATION CONTACT: Joanne K. Castello, Division of 
Regulations and Rulings, Social Security Administration, 6401 Security 
Boulevard, Baltimore, MD 21235, (410) 965-1711.

SUPPLEMENTARY INFORMATION:

    Although we are not required to do so pursuant to 5 U.S.C. 552 
(a)(1) and (a)(2), we are publishing this Social Security Ruling in 
accordance with 20 CFR 422.406(b)(1).
    Social Security Rulings make available to the public precedential 
decisions relating to the Federal old-age, survivors, disability, 
supplemental security income, and black lung benefits programs. Social 
Security Rulings may be based on case decisions made at all 
administrative levels of adjudication, Federal court decisions, 
Commissioner's decisions, opinions of the Office of the General 
Counsel, and other policy interpretations of the law and regulations.
    Although Social Security Rulings do not have the force and effect 
of the law or regulations, they are binding on all components of the 
Social Security Administration, in accordance with 20 CFR 
422.406(b)(1), and are to be relied upon as precedents in adjudicating 
other cases.
    If this Social Security Ruling is later superseded, modified, or 
rescinded, we will publish a notice in the Federal Register to that 
effect.

(Catalog of Federal Domestic Assistance, Program 93.807--
Supplemental Security Income)

    Dated: September 22, 1994.
Shirley S. Chater,
Commissioner of Social Security.

Policy Interpretation Ruling

Title XVI: SSI Treatment of Department of Veterans Affairs Payments to 
Fiduciaries

    This Ruling supersedes Program Policy Statement (PPS) No. 65 
(Social Security Ruling (SSR) 82-31, Title XVI: SSI Treatment of 
Veterans Administration Payments to SSI Eligibles/Fiduciaries, 
Cumulative Edition 1981-1985, p. 777).
    Purpose: To state supplemental security income (SSI) policy with 
respect to Department of Veterans Affairs (VA) payments made to 
fiduciaries.
    Citations (Authority): Section 1612(a)(2)(B) of the Social Security 
Act; 20 CFR 416.1102 and 416.1121, 38 U.S.C. Veterans Benefits.
    Pertinent History: Social Security Administration (SSA) policy 
provides that VA disability compensation or pension benefit received by 
an eligible individual is unearned income to that individual (and is a 
resource if retained into the month following that of receipt). Income 
and resources are used in determining SSI eligibility. Income is used 
in determining the amount of SSI benefits payable.
    Benefits which are paid to an individual as a fiduciary (a party 
who receives and manages benefits on behalf of another) are not 
available for the fiduciary's own use and, therefore, are not counted 
as unearned income of the fiduciary in the month of receipt or as a 
resource thereafter for the purpose of determining the fiduciary's 
eligibility for or amount of SSI benefits.
    There are situations where a person may be receiving VA benefits as 
a beneficiary and also as a fiduciary for another. For example: A World 
War II disabled veteran in receipt of his own VA compensation may also 
be in receipt of VA benefits in a separate check as a fiduciary on 
behalf of his incompetent Vietnam veteran son; a widow in receipt of 
her own VA pension may also be in receipt of VA benefits in a separate 
check as a fiduciary on behalf of her grandchild; or the child of a 
deceased veteran may be in receipt of dependents' educational 
assistance, and also in receipt of dependency and indemnity 
compensation as a fiduciary on behalf of his or her brother or sister.
    Policy Statement: Payments made by the VA to an individual in his 
or her capacity as a fiduciary on behalf of another are not income or 
resources to the fiduciary for the purpose of determining the 
fiduciary's eligibility for or amount of benefits under the SSI 
program. For SSI purposes, such VA payments are income or resources of 
the individual for whom the VA payments are made.
    Effective Date: This is longstanding SSA policy which continues to 
apply to VA payments to fiduciaries.
    Documentation: Appointment of a fiduciary and the amounts being 
paid must be documented. When a person is receiving payment as a 
fiduciary, the check legend will show the name of the fiduciary 
followed by a phrase which indicates the fiduciary's relationship. The 
most common phrases are ``wife of,'' ``guardian of,'' and ``custodian 
of the child(ren) of.'' Other documentation may include a VA award 
letter which shows the same name and phraseology cited above or a copy 
of VA Form 27-4703, Fiduciary Agreement.
    Cross-References: Program Operations Manual System, Part 05, 
sections SI 00810.120, and SI 00830.300-00830.320.

[FR Doc. 94-29937 Filed 12-5-94; 8:45 am]
BILLING CODE 4190-29-P