Modernize SSI Stipends Act

Key Points

• This bill doubles the "personal needs allowance" for people on Supplemental Security Income (SSI) who live in hospitals or nursing homes. Currently, these individuals usually only get to keep $30 a month for their own use; this bill would increase that amount to $60 a month.
• The allowance is intended to pay for small daily expenses that the care facility does not cover. This includes things like clothing, snacks, phone bills, books, or personal care items like haircuts and special toiletries.
• For the first time, this allowance would be tied to inflation. This means the monthly amount would automatically increase whenever there is a cost-of-living adjustment for Social Security, ensuring the payment keeps up with rising prices over time.
• The legislation includes "pass-through" rules to prevent states from lowering their own financial support. This ensures that the federal increase actually results in more money for the residents rather than being offset by state-level budget cuts.
• If passed, these changes would apply to benefits starting in early 2026. This would be the first major update to this specific allowance amount in several decades, as the $30 limit has remained unchanged since the 1980s.

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