Going over the SSI resource limit is one of the most common fears for people receiving Supplemental Security Income. Maybe you got a small inheritance, sold something online, or simply lost track of your bank balance. Whatever the reason, exceeding the limit can have real consequences — but it's not always as catastrophic as you might think, and there are steps you can take to fix it.
In this article, we'll cover:
- What the SSI resource limit is and how it's counted
- What happens when you exceed the limit
- How Social Security finds out about excess resources
- What you can do if you accidentally go over
- Strategies to avoid exceeding the limit in the future
- Tools that can help you stay compliant
The SSI Resource Limit, Explained
SSI sets a strict resource limit of $2,000 for individuals and $3,000 for married couples. Countable resources include cash, bank account balances, stocks, bonds, and most other assets that can be converted to cash. Your primary home, one vehicle, household goods, and certain other items are excluded.
Social Security checks your countable resources on the first day of each month. If your total exceeds the limit on that date, you're considered over the threshold for that month.
What Happens When You Exceed the Limit
If Social Security determines that your countable resources exceeded the limit, your SSI payment will be suspended for any month in which you were over. You won't receive a payment for that month, and if Social Security discovers the overage after the fact, they may determine you were overpaid and ask you to pay the money back.
Overpayment notices can be stressful. Social Security will send you a letter explaining how much they believe you owe and your options for repayment. They may withhold future SSI payments to recover the overpayment, sometimes taking a percentage of each month's check until the balance is repaid.
If your resources remain over the limit for 12 consecutive months, Social Security will terminate your SSI eligibility entirely. Termination is more serious than suspension — while a suspended case can be restarted relatively easily once your resources drop below the limit, a terminated case requires you to file a brand-new application.
How Social Security Finds Out
Social Security uses several methods to track your resources. They conduct periodic redeterminations, which are reviews of your financial situation, typically every one to six years. During a redetermination, you'll be asked to provide bank statements and documentation of your assets.
Social Security also has access to financial databases and can cross-reference information from banks and other financial institutions. They receive data from the IRS and state agencies as well. The takeaway: even if nobody asks you about your balance in a given month, that doesn't mean it won't come up later.
What to Do If You Accidentally Go Over
If you realize you've exceeded the resource limit, don't panic. The most important thing is to bring your resources back under the limit as quickly as possible. Spend down excess funds on allowable expenses such as rent, bills, food, clothing, medical expenses, or home repairs.
If Social Security sends you an overpayment notice, you have the right to appeal if you believe the determination is wrong. You can also request a waiver if repaying the overpayment would cause you financial hardship and the overpayment wasn't your fault. Waiver requests are evaluated on a case-by-case basis, and Social Security does grant them in many situations.
You should also make sure to report your situation to Social Security promptly. Proactive reporting looks much better than Social Security discovering the problem on their own, and it can affect how they handle the overpayment.
How to Avoid Going Over in the Future
Prevention is always better than damage control. Here are some approaches that help SSI recipients stay safely below the resource limit.
First, pay close attention to your bank account balances, especially toward the end of the month. Since resources are counted on the first of each month, you want to make sure your total countable resources are under the limit on that date.
Second, if you receive a lump sum — such as a back payment, tax refund, or small inheritance — you generally have nine months to spend it down before it starts counting as a resource. Use that window wisely.
Third, consider opening an ABLE account if you're eligible. ABLE accounts allow individuals with disabilities to save up to $100,000 without it counting toward the SSI resource limit, with annual contributions of up to $20,000. This is one of the most powerful tools available for SSI recipients who want to build savings without risking their benefits.
The Right Account Makes Compliance Easier
One of the biggest challenges of staying under the resource limit is simply keeping track. When you're juggling bills, deposits, and expenses across accounts, it's easy to lose sight of where you stand. An account built specifically for SSI recipients can help you monitor your resources and avoid surprises.
Going over the SSI resource limit doesn't have to derail your benefits. Purple's checking account is designed for SSI recipients, with built-in tools to help you track your balance and stay compliant so you never have to worry about accidentally losing your benefits.