S. 4001 — Supplemental Security Income Restoration Act of 2026

This section designates the Act as the "Supplemental Security Income Restoration Act of 2026" and includes a table of contents.

This section revises eligibility criteria for the Supplemental Security Income (SSI) program, which provides monthly cash benefits to low-income aged, blind, or disabled individuals who meet income and resource tests, by increasing certain income exclusions and resource limits to the following amounts in calendar year 2026 (with subsequent annual increases based on the Consumer Price Index for Elderly Consumers (CPI-E)): (1) general income exclusion to $1,892 (from $240); (2) earned income exclusion to $6,149 (from $780); (3) resource limit for individuals without a spouse to $10,000 (from $2,000); and (4) resource limit for individuals or couples to $20,000 (from $3,000). (Thus, these changes expand SSI eligibility for substantially more individuals.)

This section revises the Supplemental Security Income (SSI) benefit rates—monthly cash payments to low-income aged, blind, or disabled individuals and couples—by maintaining the current annual rates of $1,752 for an individual without an eligible spouse and $2,628 for an individual with an eligible spouse (or greater amounts as determined under the cost-of-living adjustment authority) through calendar year 2026 and, for calendar years thereafter, (1) setting the annual rate for an individual without an eligible spouse equal to the federal poverty guideline for a single individual in the preceding calendar year (from $1,752); and (2) setting the annual rate for an individual with an eligible spouse equal to twice the amount specified in (1) (from $2,628). It also amends the cost-of-living adjustment provision to exclude SSI benefit rates from future adjustments. (Thus, this repeals the SSI marriage penalty by basing the couple rate on 200% of the single rate (from approximately 150%).)

This section excludes support and maintenance furnished in kind (i.e., noncash assistance such as food or shelter) from countable income for Supplemental Security Income (SSI) eligibility and benefit determinations by amending the income definition in section 1612(a)(2) of the Social Security Act. (SSI provides monthly cash payments to low-income aged, blind, or disabled individuals not receiving sufficient Social Security benefits; thus, such in-kind support will no longer reduce SSI payment amounts.) It also makes conforming amendments, including striking prior provisions on in-kind income valuation and clarifying that cash support from an alien's sponsor is not countable income under the revised rules.

This section excludes from countable resources for Supplemental Security Income (SSI) eligibility any qualified retirement plan (i.e., as defined in IRC §4974(c)) or eligible deferred compensation plan (i.e., as defined in IRC §457(b)). (Thus, these accounts will not count toward SSI's $2,000 individual or $3,000 couple resource limits.)

This section repeals the Supplemental Security Income (SSI) penalty for disposal of resources for less than fair market value and instead requires the Commissioner of Social Security, at SSI application and redetermination, to notify individuals of Medicaid's period of ineligibility under section 1917(c) for institutionalized individuals who dispose of resources for less than fair market value and to provide relevant information to state Medicaid agencies upon request. (Thus, SSI resource-transfer penalties are eliminated, but Medicaid eligibility for long-term care may still be affected.)

This section revises exclusions under the Supplemental Security Income (SSI) program by specifying that refunds of state income taxes issued due to a state earned income tax credit or state child tax credit (as defined by the Secretary)—previously described more broadly as payments received by reason of such credits—are not income under section 1612(b)(19) or resources under section 1613(a)(11). (Thus, SSI recipients may retain such refunds without reduction in benefits.)

This section excludes the value of any Indian general welfare benefit (as defined in section 139E of the Internal Revenue Code of 1986) from both income, by adding new paragraph (27) to section 1612(b) of the Social Security Act, and resources, by adding new paragraph (19) to section 1613(a) of such Act, for purposes of the Supplemental Security Income (SSI) program. (Thus, such tribal benefits provided to SSI applicants or recipients or their spouses will not count toward income or resource limits in determining SSI eligibility or payment amounts.)

This section eliminates the requirement to deposit certain past-due Supplemental Security Income (SSI) benefits into dedicated accounts when paid to a representative payee. (As background, current law requires such dedicated accounts for past-due benefits owed to SSI recipients (i.e., low-income aged, blind, or disabled individuals) who were previously ineligible due to institutionalization, with funds restricted to the beneficiary's current maintenance, including housing or personal needs.) It makes conforming amendments to redesignate subparagraphs and update cross-references in SSA §1631(a)(2); strikes the exclusions from countable income (former §1612(b)(21)) and resources (former §1613(a)(12)) previously applicable to dedicated accounts; and excludes from income or resources—for SSI and other federal, state, or local programs—amounts transferred from dedicated accounts as a result of these changes.

This section eliminates the installment payment requirement for Supplemental Security Income (SSI) benefits by striking paragraph (10) of Section 1631(a) of the Social Security Act and removing the cross-reference to it in paragraph (1). (SSI provides monthly payments to low-income aged, blind, or disabled individuals.)

This section modifies the rules for determining marital relationships under the Supplemental Security Income (SSI) program by requiring that individuals determined to be married under section 216(h)(1) of title II of the Social Security Act be considered married for SSI purposes from the later of such title II determination date or the SSI application date. (SSI deems spousal income and resources to determine eligibility and benefit amounts for couples.) It also makes conforming amendments throughout title XVI to replace gender-specific terms with gender-neutral language, including: (1) in section 1611(e)(3), "a husband and wife" to "two married individuals" and "such husband and wife" to "such married individuals"; (2) in section 1614(b), "the husband or wife of" to "married to" and "husband and wife" to "married"; and (3) in section 1631(b)(1)(A)(i), "husband or wife" to "spouse".

This section extends the Supplemental Security Income (SSI) program—providing cash benefits to low-income aged, blind, and disabled individuals—to Puerto Rico, the United States Virgin Islands, Guam, and American Samoa. It does so by (1) amending the definition of "State" in Section 1101(a)(1) of the Social Security Act to explicitly include these territories for title XVI (SSI) purposes; (2) eliminating limits on total payments to territories under Section 1108; (3) treating U.S. nationals the same as citizens for SSI eligibility under Section 1614(a)(1)(B); (4) including the territories in the geographic definition of "United States" under Section 1614(e); and (5) authorizing the Commissioner of Social Security to waive or modify statutory SSI requirements as needed for these territories.