Q: I have a question about working and receiving SSI.  I have an internship this summer between semesters.  I've heard something about a special program through SSI which allows me to hold on to my SSI check while working. Is this true, and how does this work?

A: It's true; the Student Earned Income Exclusion (SEIE) is designed specifically to help students keep more of their SSI check while they gain critical work experience. The SEIE is available to SSI recipients who are under the age of 22, who regularly attend school and have earned income.

The definition of regularly attending school can differ greatly. To qualify as a student for purposes of the exclusion, individuals must take one or more courses of study and attend classes in one of any of the following: in a college or university for at least eight hours a week; if in grades 7-12, for at least 12 hours a week; if in a home school situation, for at least 12 hours per week; and in accordance with the home school law of the State or jurisdiction in which the student resides; or for less time than indicated above for reasons beyond the student's control, such as illness.

In addition, a person who is homebound because of a disability may still qualify as a student when he or she studies a course or courses given by a school (grades 7-12), college, university, or government agency and has a home visitor or tutor from school who directs the study or training.

In terms of work, an SSI recipient who meets these requirements can earn up to $1,640 per month in wages (2010) before there is any reduction to their SSI check. There is a maximum exclusion of $6,600 per year (2010).  The Student Earned Income Exclusion (SEIE) is a fabulous work incentive for students who work while in school and want to increase work hours during the summer or between semesters.

Example:

Vicky is a 21-year-old college student who receives SSI. She receives $550 per month at her job in the University's computer lab.

  $550    (Wages)
- $550    (Student Earned Income Exclusion)
=    $0    (Countable Income for SSI)

   $674   (SSI Federal Benefit Rate (FBR) 2010)
-     $0    (Countable Income)
= $674   (SSI Payment using the SEIE)

Without using the SEIE, Vicky's SSI payment would be reduced to $441.50 because of her earnings. She will be able to exclude $550 per month through the SEIE for 12 full months when she reaches the maximum annual exclusion ($6,640 in 2010).

If you would like more information about the Student Earned Income Exclusion and how other SSI rules change at age 18, visit www.disabilitybenefits101.org/ca/special/youth/feature2.htm

You may also wish to visit the social security website for more information on the Student Earned Income Exclusion www.ssa.gov/ssi/spotlights/spot-student-earned-income.htm

To talk with someone at Social Security about the Student Earned Income Exclusion, call 1-800-772-1213 (TTY 1-800-325-0778).

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Sources
Social Security Administration:
http://www.ssa.gov/ssi/spotlights/spot-student-earned-income.htm
Disability Benefits 101:
http://www.disabilitybenefits101.org/ca/special/youth/feature2.htm