How Payments and Services Received Under the Corporation for National and Community Service (CNCS) Can Affect Social Security and SSI Benefits

What is the CNCS? 

The CNCS was established by the National and Community Service Trust Act of 1993 (NCSTA).  The NCSTA combined two formerly independent agencies; the Commission on National Service and ACTION.  The CNCS also administers AmeriCorps, a new program established by the NCSTA.

What is the purpose of this Fact Sheet? 

Individuals who receive Social Security Disability (SSDI) or Supplemental Security Income (SSI) benefits often have questions concerning how their service in CNCS programs may affect their benefits.  Program rules can sometimes be confusing.   Due to statutory requirements, stipends received under former ACTION programs are normally treated differently than income under AmeriCorps.  This impacts countable income for SSI purposes, the trial work period (TWP) for SSDI purposes, and Substantial Gainful Activity (SGA) for both SSI and SSDI purposes.

What programs does the CNCS administer? 

• AmeriCorps, including National Civilian Community Corps (NCCC)
• Former ACTION volunteer service programs:
• Volunteers in Service to America (VISTA):  Now called AmeriCorps VISTA, although it is not the same as AmeriCorps
• Retired Senior Volunteer Program (RSVP),
• University Year for ACTION (UYA),
• Foster Grandparent Program,
• Senior Companion Program, and
• Special and Domestic Volunteer Programs

How are payments treated?

• Participants in Americorps and NCCC receive a living allowance (stipend) and can also receive educational awards to be applied to college tuition, college loans, or vocational training. 

• The living allowance is earned income for SSI purposes.  For earned income, we do not count the first $65 plus one-half of the remaining income each month.  If the participant is a student, the student earned income exclusion can apply and we will not count up to $1,510 per month and $6,100 per year of earned income (in 2007). 
• Provided food/housing are in-kind support and maintenance (ISM) for SSI purposes.  ISM is counted at its actual dollar value but we will not count any more than $227.66 per month in 2007, no matter how much the food and shelter is worth. 
• Clothing allowance payments are unearned income for SSI purposes.
• Clothing received after 03/09/2005 is excluded from income. (Prior to 03/09/2005, such clothing was counted as income.)
• Educational awards are considered earned income for SSI purposes and are subject to grants, scholarships, and fellowships exclusions.
• Payments in lieu of educational awards are earned income for SSI purposes.
• Participants are considered students, thus the SSI student earned income exclusion may be applicable to earned income. 
• Income and services while participating in AmeriCorps are not excluded from consideration for TWP and SGA purposes.  

• ACTION programs (including AmeriCorps VISTA) volunteer stipends are excluded from consideration as income and resources for SSI purposes.  Income and services are also excluded from consideration for TWP and SGA purposes in the SSDI program and for SGA purposes in initial SSI applications. 

• These exclusions apply to volunteers under all of the programs provided for in chapter 66 of title 42 of the U.S. Code (the former ACTION program).

This exclusion applies only to volunteer stipends.  Stipends paid to those who are not volunteers, but who are employees of the ACTION program, or who are served by the program, are not excluded.

Posted: March 2007