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Category: Government Benefits and Programs
The Michigan Public Service Commission (MPSC), a division of the Department of Licensing and Regulatory Affairs (LARA), has announced the 2019 awardees of Michigan Energy Assistance Program (MEAP) grant funding.
The nine (9) service agencies awarded a total of $54.3 million in MEAP grant funds for utility assistance and self-sufficiency programs are:
Utility Bill Payment Assistance Limitations Utility bill payment assistance is a critical issue in Michigan due to the implications of health and safety especially for children, seniors, and the disabled during the harsh winter months. Additionally, assistance programs remain insufficient to meet the needs of the many low-income households with rising energy costs in the region. According to the 2017 Home Energy Affordability Gap report, it is estimated that of the 977,5,000 eligible households for utility assistance falling 150% below the poverty line in 2017, less than 500,000 received energy assistance through the Michigan Energy Assistance Program (MEAP), State Emergency Relief (SER), and/or the Home Heating Credit. Besides an increase in funding levels from $49.5 million for the 2017-18 funding year to $54.3 million for FY19, a streamlined system has been implemented to broaden the reach of these programs and ensure continuity of care. As well, eligible households may qualify for both short and long-term assistance as well as financial and other energy-related supportive services. Low-income households in Michigan may seek utility bill payment assistance in two ways:
The assistance limit for State Emergency Relief (SER) funds are $850 for electric and $850 for heat, that’s a total of $1700. Applicants whose account balances exceed the $1700 limit for SER funds may apply for both programs to restore services or reduce past due balances in order to qualify for MEAP assistance programs such as the Low-Income Self-Sufficiency Plan. That is, if your service has been disconnected, you must apply for State Emergency Relief (SER) to restore services. Then, you may qualify for long-term assistance through MEAP-funded programs to manage monthly bills. How to Apply for the Michigan Energy Assistance Program (MEAP) The Michigan Public Service Commission has specified some changes in the application process for the 2018-19 funding year. Applicants must apply directly through the MIBridges website or completing a paper application obtained through local Michigan Department of Health and Human Services (MDHHS) offices or community service agencies. Do not submit the United Way LSP application for assistance. Two important application changes this year:
Selecting a Service Provider Households seeking assistance may enroll in utility assistance programs by:
The Community Advocate Network of Michigan will update its Utility Assistance information in the Community Resources section as soon as new reports are released relative to program design changes and anticipated household reach indicators for each service agency. However, applicants may refer to this information for general information on available services and eligibility criteria within each community organization. Was this post helpful? Leave a comment and please share with your followers. If you’re in need of case management services or need additional assistance complete the confidential Contact Form. Also, consider donating to continue this important work and expand our reach to the broader community. Contact Us: http://www.canmichigan.com/reach-out-to-us.html Related Posts: Community Resources Section – Federal Poverty Levels (FPL) Chart & Utility Assistance http://www.canmichigan.com/community-resources-michigan.html Michigan Energy Assistance Grants http://www.canmichigan.com/blog/michigan-energy-assistance-grants Energy Security in Michigan: The Michigan Energy Assistance Program (MEAP) Funding Factor http://www.canmichigan.com/blog/energy-security-in-michigan-the-funding-factor Michigan Energy Assistance Programs (MEAP) FY19 http://www.canmichigan.com/blog/michigan-energy-assistance-program-meap-fy19 Michigan State Emergency Relief (SER) Program http://www.canmichigan.com/blog/michigan-state-emergency-relief-ser-program-structure-benefits-and-eligibility Michigan Home Heating Credit the-michigan-home-heating-credit.html Links: 2018-19 MEAP Grant Awards for Low-Income Energy Assistance www.michigan.gov/mpsc/0,9535,7-395-93308_93327_93336---,00.html MPSC, MDHHS Announce 2018-2019 MEAP Grant Awards for Low-Income Energy Assistance, Self-Sufficiency https://www.michigan.gov/lara/0,4601,7-154-11472-479875--,00.html The Heat and Warmth Fund (THAW) Assistance Programs https://thawfund.org/programs/ 2017 Home Energy Affordability Gap Report http://www.homeenergyaffordabilitygap.com/03a_affordabilityData.html MI Bridges https://newmibridges.michigan.gov/s/isd-landing-page?language=en_US DTE Energy: Low-Income Self-Sufficiency Program (LSP) https://www.newlook.dteenergy.com/wps/wcm/connect/dte-web/home/billing-and-payments/common/energy-assistance/low-income-self-sufficiency-plan MDHHS Heat and Utilities www.michigan.gov/mdhhs/0,5885,7-339-71547_5531_62127---,00.html Utility Assistance Resources: DTE Energy – Utility Assistance Programs PH: (800) 477-4747 https://www.newlook.dteenergy.com/wps/wcm/connect/dte-web/home/billing-and-payments/common/energy-assistance/low-income-programs Consumers Energy CARE - Consumers Affordable Resource for Energy Program PH: (800) 477-5050 https://www.consumersenergy.com/residential/programs-and-services/payment-assistance/care-program SEMCO Energy - Payment Assistance Resource Page PH: (800) 624-2019 http://www.semcoenergygas.com/main/Default United Way 2-1-1 http://www.mi211.org/ Detroit Water and Sewage Department – Customer Service PH: (313) 267-8000 http://detroitmi.gov/dwsd Michigan Gas Utilities PH: (800) 401-6402
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Category: Government Benefits and Programs
Program Goals and Objectives
Disability benefits are designed to provide a basic income as a preventative measure for escaping abject poverty when a person becomes severely injured, psychologically impaired, or ill due to a serious medical condition. But, it is deficient in providing recipients with a lifestyle of independence and self-sufficiency. The goals of the Ticket-to-Work program are to:
The objectives of Ticket-to-Work and PASS are to help disabled individuals find employment that reduces or eliminates SSI or SSDI benefits. Ticket-to-Work The Ticket-to-Work program does not require a special application process. Disabled beneficiaries who receive cash benefits from Social Security are entitled to participate in the program and may enroll with an approved service provider of their choice. Beneficiaries may enroll with an Employment Network (EN) or State Vocational Rehabilitation (VR) agency. The EN or State VR will coordinate and provide appropriate services to help the beneficiary find or maintain employment. Free job support services include:
Ongoing support services also involves the initiative to remove barriers from achieving work goals. This can include purchasing clothing, equipment, or a vehicle when necessary for employment; or, making repairs to an existing vehicle, help with driver license restoration and purchasing car insurance. Please inquire with your chosen service provider for details on criteria and eligibility requirements for these services. Social Security will not send a paper ticket in the mail. Recipients of Social Security Disability Insurance (SSDI) or Social Supplemental Income (SSI) benefits, age 18 to 64, are eligible to participate. Eligibility is verified through service providers and you can verify your eligibility status by calling the Ticket-to-Work Helpline. Ticket-to-Work Helpline: PH: (866) 968-7842 TTY: (866) 833-2967 How to Apply for Ticket-to-Work
The worksheet will provide a list of questions you may want to ask and a space to write your answers which may help with the decision to assign your ticket. Beneficiaries may choose between an Employment Network (EN) or State Vocational Rehabilitation (VR) agency for ticket assignment based on your needs and the services provided. Beneficiaries may also receive services from a State Vocational Rehabilitation (VR) agency and then receive ongoing services from an Employment Network (EN). Work Incentives Work Incentives not only encourage beneficiaries to reduce or eliminate their reliance on social security it also helps in transitioning from benefit rolls to the workforce.
Beneficiaries who opt to participate in the Ticket-to-Work program are afforded the opportunity to safely explore work options and find the job that is right for them without immediately losing their benefits. If employment earnings surpass allowable benefit amounts, your disability case will remain open up to one (1) year should your disability impair your ability to continue to work and there is a need to return or restore social security benefits. You do not need to reapply or start a disability case over from the beginning. Social Security will not terminate your case for up to one (1) year after the start of employment. Cases where employment earnings exceed benefit amounts are held open in a "non-pay" status in case the beneficiary cannot sustain employment due to their health. After the one (1) year non-pay status period, beneficiaries must reapply. Work Incentives are designed to meet individual needs and circumstances. For a complete guide to Social Security Work Incentives consult the SSA Red Book. Beneficiaries can use a combination of Work Incentives to maximize their income until they can secure stable employment and adequate income to support themselves. Examples of Work Incentives:
These are a few examples of work incentives for recipients of Social Security disability benefits and the program is even more generous for those who are blind. Click the link for more information on Work Incentives for Blind People: Beneficiaries may register for a Work Incentive Seminar Event (WISE), a monthly online webinar provided by the Social Security Administration (SSA). The WISE webinar helps SSDI and SSI beneficiaries learn more about Ticket-to-Work and Work Incentives. WISE Webinar Registration: PH: (866) 968-7842 TTY: (866) 833-2967 Use the link to register online for a webinar: https://choosework.ssa.gov/webinar/ Continuing Disability Reviews (CDRs) Social Security recipients are periodically subject to Continuing Disability Reviews (CDRs) every three (3), five (5), or seven (7) years to determine if a recipient still meets SSA guidelines for disability. However, when a beneficiary chooses to participate in the Ticket-to-Work program they are protected from the medical Continuing Disability Review (CDR). The income and asset test will be an ongoing process through wage reporting or the Work Disability Review (WDR) process. In either process, work earnings are monitored which will be incrementally deducted until cash benefits are zeroed out. For more information about medical or work disability reviews, contact the Social Security Administration at: (800) 772-1213. Beneficiaries should also be aware that when enrolled in the Ticket-to-Work program they are expected to take certain steps toward preparing for a job, finding work, or maintaining current employment within a specified time frame. Time frames are determined by Social Security to maintain wages within a certain level and complete job training or educational program. The steps taken to meet employment goals are outlined in the work plan developed between the beneficiary and chosen Employment Network (EN). Employment Networks (EN) and State Vocational Rehabilitation (VR) Agencies An Employment Network (EN) is a private organization or public agency (including a State VR agency) which entered into an agreement to provide employment services, vocational rehabilitation services, and other types of support to beneficiaries with disabilities under the Ticket-to-Work program. Beneficiaries can contact any EN to see if the services and support offered are right for them. There are different types of service providers and each type of service provider provides different services. It is important to understand the services each provider offers before searching so you can select the best provider to suit your needs. Types of Service Providers:
Types of Services:
State Vocational Rehabilitation (VR) Agencies assists individuals who desire to return to work or obtain new employment but require more significant services for work to be possible. State VRs help beneficiaries get ready for work then refer them to an Employment Network (EN) to help them keep the job and make more money. Likewise, beneficiaries receiving services from State VRs are assumed to be using a Ticket and, therefore, exempt from Continuing Disability Reviews (CDRs). Work Plans The beneficiary and EN must agree and develop a work plan that describes the beneficiary’s employment goal. The plan serves as a roadmap that helps the beneficiary understand their responsibilities and outlines the services and support the EN will provide to help the beneficiary reach their goal. Use the Planning Your Employment Goals with the Ticket-to Work Program tool to help you define your employment goals and needs from the program. The Your Path to Work tool helps you identify your phase in making the decision to return to work, look for a job, or maintain current employment. Beneficiaries may talk to as many ENs as they wish before choosing to assign their Ticket. If a beneficiary assigns his or her Ticket to an EN and later has a change of mind about working with that EN, the beneficiary can un-assign the ticket and take it to another EN. Wage Reporting Beneficiaries who participate in the Ticket-to-Work program are required to report earned income monthly once new employment has begun. Social Security allows no more than six (6) days after the end of each month for wage reporting. Recipients may submit pay stubs by certified mail or in-person at a local Social Security office. Wages may also be reported by a representative payee, spouse, parent, or sponsor of the SSDI/SSI recipient via telephone, mobile app, or the mySocialSecurity website. PH: (800) 772-1213 TTY: (800) 325-0778 Use the Social Security Office Locator tool to find an office near you: Use the Income Reporting Chart for Social Security Benefits on wage reporting requirements. 
A link is provided below for more information on wage reporting.
How to Calculate Benefit Deductions Beneficiaries who decide to participate in the Ticket-to-Work program will either reduce or eliminate their reliance on disability benefits. While the first $85 of earnings are not counted, beneficiaries whose income rises above benefit levels will "zero out" their disability payment and lose eligibility for Medicaid health insurance. The formula to estimate your deductions where N = net earnings and D = deductions is:
That is, the first $85 of earnings are deducted from the Net Income (N). The balance of the Net Income (N) is then divided by 2 and the balance or difference becomes the Deducted Amount (D) from the Social Security payment.
Example of a Benefit Deduction:
Beneficiaries are required to report earnings after the first thirty (30) days of employment. Benefits are affected after the second thirty (30) days. Example of Wage Reporting:
That means, the beneficiary can retain their Social Security payments for the first sixty (60) days of employment without penalty as long as the income is reported. Again, if earnings exceed benefit amounts and the Social Security payment is "zeroed out" the case remains open for one (1) year in a "non-pay status."
Plan to Achieve Self-Support (PASS)
PASS is yet another provision to help disabled persons who receive or qualify for Supplemental Security Income (SSI) benefits return to work. PASS allows disabled individuals set aside monies or assets that would otherwise be counted as income toward benefit amounts to pay for items or services needed to achieve a work goal. A PASS can include supplies to:
PASS can help the participant save money to pay these costs, make purchases, installment payments, or downpayments on a vehicle, computer, or wheelchair to achieve a work goal. Beneficiaries interested in participating with the PASS program can contact an Employment Network, State Vocational Rehabilitation (VR) agency, or local Social Security office to apply. Applicants must complete the SSA-545-BK form to participate. Beneficiaries with a work goal of self-employment must also submit a business plan. PASS is also an option for claimants who otherwise medically qualify for SSI but whose income and assets exceed the maximum limitations ($2,000 for individuals, $3,000 for couples). This program will help those applicants financially qualify for SSI by setting-aside monies and property to reduce those assets. A link is provided below for more information. Was this post helpful? Leave a comment and please share with your followers. If you’re in need of case management services or need additional assistance complete the confidential Contact Form. Also, consider donating to continue this important work and expand our reach to the broader community. Contact Us: http://www.canmichigan.com/reach-out-to-us.html Donate: https://www.paypal.com/donate/?token=u9ZbQw7yTRWAm9K4Yl2MKERd76oKf_lBrejXuVLAx0j5rsSTG72gmICfR9S-bVY4az_Imm&country.x=US&locale.x=US Related Posts: Disability Resources http://www.canmichigan.com/disability-resources-michigan.html State Disability Assistance (SDA) Program Structure, Benefits, and Eligibility http://www.canmichigan.com/blog/michigan-state-disability-assistance-sda-program-structure-benefits-and-eligibility Case Management Services http://www.canmichigan.com/case-management-services.html Links: Social Security Ticket to Work Overview https://www.ssa.gov/work/overview.html Find A Ticket-to-Work Service Provider https://choosework.ssa.gov/findhelp/ Finding an Employment Network (EN) and Assigning Your Ticket Worksheet https://choosework.ssa.gov/library/finding-EN-assigning-your-ticket-worksheet Protection from Medical Continuing Disability Reviews (Social Security Administration) https://www.ssa.gov/disabilityresearch/wi/cdrprotection.htm Social Security Administration Work Site https://www.ssa.gov/work/ Comprehensive Guide to Service Providers and Services https://choosework.ssa.gov/about/meet-your-employment-team/index.html Social Security Red Book https://www.ssa.gov/redbook/ How to Report Wages https://choosework.ssa.gov/about/wage-reporting/index.html PASS – Social Security Overview https://www.ssa.gov/disabilityresearch/wi/pass.htm Guide to Plans for Achieving Self-Support https://www.ssa.gov/pubs/EN-05-11017.pdf Spotlight on Plan to Achieve Self-Support – 2018 Edition https://www.ssa.gov/ssi/spotlights/spot-plans-self-support.htm The Fully Accessible Guide To Starting A Business With A Disability www.creditcards.com/credit-card-news/accessible-guide-for-disabled-entrepreneurs.php Michigan Rehabilitation Services (MRS) PH: (800)605-6722 TTY: 7-1-1 Ticket-to-Work (MDHHS) www.michigan.gov/mdhhs/0,5885,7-339-73971_25392_40237_42063---,00.html SSA Timely Progress Guideline (MRS Ticket-to-Work Program) www.michigan.gov/documents/mdhhs/78b6epub-343_--_MRS_and_Ticket_to_Work_Program_--_2015_509997_7.pdf
Category: Government Benefits and Programs
The Michigan State Disability Assistance (SDA) benefit is a state-funded cash assistance and supplemental income program administered by the Michigan Department of Health and Human Services for disabled persons, seniors (aged 65 or older), or caregivers of disabled persons. Caregivers are typically required to be a live-in family member or paid helper and must not qualify as Home Help agents to be eligible for State Disability Assistance (SDA).
State Disability Assistance (SDA) benefits are dispensed on a semi-monthly (bi-weekly) basis but may also be paid in addition to federal disability benefits such as Retirement, Survivors, and Disability Insurance (RSDI) and Supplemental Security Income (SSI).
As a supplemental income benefit to federal disability, payments are made four (4) times per year in March, June, September, and December. The current benefit amount for individual cash assistance recipients is $246.00 per month. States may reduce benefit levels based on budgetary restraints
The Social Security Amendments Act of 1972 which established the Supplemental Security Income (SSI) program in January 1974 authorized state payments as a supplement to the basic federal Supplemental Security Income (SSI) payment to needy aged, blind, and disabled persons. That is, the benefit is payable to all SSI recipients, including children, except those living non-Medicaid certified medical facilities.
It also set forth a provision for a state payment in the form of State Disability Assistance (SDA) which replaced the federal Grants-in-Aid program to former public assistance recipients (if needed to maintain the earlier income level); and, an optional provision to newly eligible persons who were transferred to the federal SSI benefit. In sum, SSI Recipients are eligible for the State Disability Assistance (SDA) supplement if the "needs standard" of the respective state indicates that their needs are greater than their Supplemental Security Income (SSI) payment plus other countable income. Federal Supplemental Security Income (SSI) regulations apply to income and asset exclusions and limitations apply to the State Disability Assistance (SDA) supplemental benefit. Table 1. Optional state supplementation payment levels, effective January 2011 (in dollars). (Source: Social Security Administration, Office of Income Security Programs, State Information) The state supplementation payment is added to the federal payment. Countable income is deducted first from the federal payment. Any income that remains to be counted after the federal payment has been reduced to zero is then deducted from the state supplementary payment (SSA, 2011).
DEFINITIONS:
Living independently. Includes all eligible recipients who are not included in any other state living arrangement, recipients residing in facilities where Medicaid is not paying more than 50 percent of the cost of care, and recipients residing in publicly operated emergency shelters throughout a month. Living in the household of another. Includes recipients with no essential person who are residing in a federal Code B living arrangement. D: Domiciliary care. Includes recipients residing in licensed nonmedical facilities that provide room, board, and supervision. The state certifies which recipients are residents requiring this level of care. E: Personal care facility. Includes recipients residing in licensed nonmedical facilities that provide general supervision, physical care, and assistance in carrying out the basic activities of daily living. The state certifies which recipients are residents requiring this level of care. F: Home for the aged. Includes recipients residing in nonmedical facilities for the aged. The state certifies which recipients are residents requiring this level of care. Such care situations include, but are not limited to, licensed homes for the aged. G: Living independently with an essential person. Includes recipients with an essential person who are not living in the household of another. Children under age 18 are excluded. Payment levels for essential person apply only to cases converted from the state rolls in 1974. H: Living in the household of another with an essential person. Includes recipients converted from the 1973 state rolls who reside in another's household and it is determined that they need assistance from someone considered essential to their well-being. There are no longer any recipients receiving payments for living in the household of another with an essential person. I: Medicaid facility. Includes recipients residing in a federal Code D living arrangement.
State Disability Assistance (SDA) as an Interim Benefit
State Disability Assistance (SDA) is also an available benefit to eligible claimants while federal disability claims are pending for initial approval or appeal. In most cases, approval for federal disability benefits is a long, complicated process causing applicants to experience financial hardship in addition to their medical crisis. This state-administered general assistance (GA) benefit may provide some relief. State Disability Assistance (SDA) is available to SSI and SSDI applicants based on similar medically-determinable and income/asset criteria. Claimants who apply for State Disability Assistance (SDA) will be required to file a claim for federal disability benefits and may be required to reimburse the state once the claim has been approved. Federal Disability Claims Processing Procedures (SSDI and SSI) It is important to know some general information about program structures and claim processing procedures for all disability claims before applying for State Disability Assistance (SDA). Claimants who apply for State Disability Assistance (SDA) should have a basic understanding of eligibility guidelines while waiting on approval or as a supplement to federal disability benefits to assess their ability to qualify for State Disability Assistance (SDA). The first step is to know the federal definition of “disability” before making a claim for benefits. According to the Social Security Administration, the law defines disability as “the inability to engage in any substantial gainful activity (SGA) by reason of any medically determinable physical or mental impairment(s) which can be expected to result in death or which has lasted or can be expected to last for a continuous period of not less than twelve (12) months.” When an individual applies for disability the claim is processed by a local Social Security Administration (SSA) field office. The field office verifies non-medical eligibility requirements including age, marital status, employment, citizenship and residency, and Social Security coverage information. For SSI, the field office verifies income, resources, and living arrangement information. The completed application and related forms are forwarded to the Disability Determination Service (DDS) to establish eligibility for benefits. The Michigan Disability Determination Service (DDS) is a federally-funded state agency that determines the initial and continuing eligibility for benefits for the following programs:
The Office of Retirement Services (ORS) serves all State of Michigan employees including state police, judges, and public school employees covered under state employee retirement programs. Claims for retirement benefits are initially processed by the Michigan Disability Determination Service (DDS) where medical evidence is reviewed, and recommendations are made to the Office of Retirement Services (ORS). The Michigan Disability Determination Service (DDS) began processing all disability claims received from county offices (e.g. local Department of Health and Human Service and Social Security offices), effective July 1, 2015. Upon receipt of the claim, the case is assigned to a medical examiner and the process of case development begins. That is, medical evidence is developed to make the initial determination about whether the claimant is blind or disabled under the law. Medical evidence is developed in several ways:
Medical evidence is developed (collected) to give rise or substantiate the disability claim. After case development is completed, an adjudicative team consisting of medical or mental health consultants and the disability examiner in the Michigan Disability Determination Service (DDS) makes the eligibility determination. Approved claimants are referred to a State vocational rehabilitation agency such as Michigan Rehabilitation Services (MRS) where appropriate. The case is forwarded back to the appropriate Social Security Administration (SSA) field office. Approved claims are processed to complete non-medical development, compute benefit amounts, and begin paying benefits. Denied claims are retained in the field office in case of appeal. Claimants have twelve (12) months from the date of filing to make an initial appeal. Appeals and unfavorable determinations are handled by the Michigan Disability Determination Service (DDS). Requests for a redetermination hearing after an appeal is denied is handled by an administrative law judge (ALJ) in the SSA Office of Hearing Operations (OHO). Claimants may submit additional information not provided in the original filing or appeal to the administrative law judge (ALJ). A decision will be made based on the evidence of record and new evidence presented at the hearing. If additional information is needed by the administrative law judge (ALJ), the hearing office will coordinate evidence with the Disability Determination Service (DDS) or contact medical sources directly. An administrative law judge (ALJ) may issue subpoenas requiring production of evidence during the discovery process or testimony at a hearing. How long does it take to get disability In Michigan? Claims processing guidelines established the Standard of Promptness (SOP) rule which requires up to a ninety (90) day eligibility determination for State Disability Assistance (SDA) claims and twelve (12) months for all other state disability claims. Social Security Disability Insurance (SSDI)
Supplemental Security Income (SSI)
If your application for SSI or SSDI has recently been denied, the online appeal request is a starting point to request a review of the decision about your eligibility for disability benefits. If your application is denied for:
State Disability Assistance (SDA) Medical and Vocational Requirements The State Disability Assistance (SDA) and Medicaid (MA) programs have the same medical and vocational eligibility criteria. It is possible to receive State Disability Assistance (SDA), however, and not be eligible for Medicaid (MA). A claimant’s disability (mental or physical impairment) must be medically-determinable. That is, medical evidence must establish the anatomical, physiological, or psychological abnormalities through clinical diagnosis, laboratory imaging techniques (e.g. CT Scans, MRI), and medical documentation. Statements about mental and physical symptoms are insufficient. Medical Criteria
What is considered a disability in Michigan? Body systems indicated in the Social Security Administration's Listing of Impairments are subject to revision and promulgation and must be extended by the Commissioner or may no longer be eligible after effective dates. A link is provided below to the official listing, effective dates, and required evidence per each impairment. What conditions qualify as a disability in Michigan? The following is a general listing of qualifying conditions to be eligible for disability according to the Social Security Law and Regulations Listing of Impairments. Criteria applicable to claimants age 18 or over and children under age 18 where appropriate:
Vocational Criteria
Funding for State and Federal Disability Claims Social Security Disability Insurance (SSDI) is 100% federally-financed through Title II funds as required by the Social Security Act of 1935. SSDI benefits are not appropriated in state budgets. Recipients who qualify meet the minimum work requirements and have paid into the trust fund through employer Social Security tax known as the Federal Insurance Contributions Act (FICA). Supplemental Security Income (SSI) is a federal income supplement program for indigent aged, blind, and mentally or physically disabled to provide for their basic needs. The flat-grant (set monthly benefit) approach is designed to meet the minimum needs of eligible recipients. Benefits are financed through general tax revenues as required by the Title XVI section of the Social Security Act of 1935. State Disability Assistance (SDA) is 100% state-funded per each fiscal year, through the Department of Health and Human Services (DHHS) Annual Appropriations, “boilerplate” language. The current allocation is set forth in DHHS FY2015, 2014 Public Act 84, Article X. State Disability Assistance (SDA) Eligibility Requirements To qualify for State Disability Assistance (SDA) claimants must meet the following criteria:
State Disability Assistance (SDA) Income and Assets Test The State Disability Assistance (SDA) benefit is a means-tested program. That is, it is need-based in addition to the basic criteria of having a disability. Therefore, earned and other sources of income and countable assets will be considered in determining eligibility and benefit limits. Gross income includes monies earned in the labor market (job employment), self-employment, and other sources of income (i.e. child support, rental payments, disability payments, or unemployment insurance). Having these forms of income does not necessarily disqualify you for State Disability Assistance (SDA) benefits but may reduce the amount of benefits you receive. When calculating assets, claimants should also distinguish between real property and personal property. Real property includes real estate such as your homestead (property you own and occupy), rental property, or land and anything permanently attached to it. Personal property includes retirement accounts (i.e. IRAs), investments, or life insurance policies. To qualify for State Disability Assistance (SDA) personal property assets must meet the $3000 asset threshold. As a note, real property assets cannot exceed $250,000 in value for any other “cash assistance” program administered by MDHHS. However, certain assets are omitted from the State Disability Assistance (SDA) eligibility requirement. Please use this information as a guide to how you may qualify for the Michigan State Disability Assistance (SDA) program but only a MDHHS Medical Examiner or Benefits Specialist can accurately determine eligibility for SDA benefits. Disability Determination You are considered disabled and eligible for State Disability Assistance (SDA) if:
Asset Limits The cash asset limit is $3000. Assets are cash and any other property you own. A homestead and a personal vehicle are not counted as assets for State Disability Assistance (SDA). Cash Assets include:
Income Most earned and unearned income is counted. Income is considered when determining the amount of SDA you are eligible to receive. Examples of countable income are:
Residency Requirements The following residency requirements apply:
State Disability Assistance (SDA) Application Process
You may apply for State Disability Assistance on the MI Bridges website or in person at a local Department of Human Services (DHS) office in your area. Allow sixty (60) to process the application. It is recommended that applicants print and complete the application form and return it to a DHS Benefit Specialist who can expedite the process. A link is provided below to MDHHS Applications, Forms, and Publications. Rights and Responsibilities The Michigan Department of Health and Human Services (MDHHS) rules and regulations for income reporting including changes in income, employment, and disability status apply. State Disability Assistance (SDA) benefits may be required in the Total Household Resources for the Michigan Homestead Property and Home Heating Tax Credits. Was this post helpful? Leave a comment. If you’re in need of case management services or have questions, you may reach out to us by completing the confidential contact form. Contact Us: http://www.canmichigan.com/reach-out-to-us.html Related Posts: Death and Burial – Social Security Death Benefits http://www.canmichigan.com/death-and-burial.html Disability Resources http://www.canmichigan.com/disability-resources-michigan.html Links: State Disability Assistance https://www.michigan.gov/mdhhs/0,5885,7-339-71547_5526_7766---,00.html Cash Assistance Application Process https://www.michigan.gov/mdhhs/0,5885,7-339-71547_5526_7028---,00.html Do You Qualify for Michigan State Disability Benefits? https://www.babutlawssd.com/Articles/Do-you-qualify-for-Michigan-State-Disability-Assistance-benefits.shtml MDHHS Applications, Forms, and Publications https://www.michigan.gov/mdhhs/0,5885,7-339-71551_7338---,00.html MI Bridges https://www.mibridges.michigan.gov/access/ Michigan Combined Application Program (MICAP) https://www.michigan.gov/mdhhs/0,5885,7-339-71547_7774-213851--,00.html State Assistance Programs for SSI Recipients https://www.ssa.gov/policy/docs/progdesc/ssi_st_asst/2011/mi.html Disability Resource Links: Social Security Disability Evaluation – General Rules https://www.ssa.gov/disability/professionals/bluebook/general-info.htm Disability Evaluation Under Social Security https://www.ssa.gov/disability/professionals/bluebook/evidentiary.htm Code of Federal Regulations – Listing of Impairments https://www.ssa.gov/OP_Home/cfr20/404/404-app-p01.htm Social Security Benefits for People with Disabilities https://www.ssa.gov/disability/ Benefits Eligibility Screening Tool https://ssabest.benefits.gov/ Online Appeal Request and Appeal Disability Report https://secure.ssa.gov/iApplsRe/start Michigan Rehabilitation Services (MRS) https://www.michigan.gov/mdhhs/0,5885,7-339-73971_25392---,00.html
Category: Government Benefits and Programs
Benefits are payable for eligible applicants in five (5) broad areas:
Eligibility Requirements for State Emergency Relief (SER) The State of Michigan provides this temporary assistance through a network of contracts with local community organizations including the Salvation Army and Community Action Agencies (CAA). Applicants Do Not need to be participants or recipients of other MDHHS benefits to be approved for SER emergency assistance. Approval for service and benefits must meet three (3) conditions:
Scenarios covered under the State Emergency Relief (SER) program:
Client-Caused Emergencies State Emergency Relief (SER) funds will not be issued unless the household has "good cause" for not making the payments. "Good cause" means household income was below a specified amount, or if available monies in the household were not used to make payments during the time shelter or utility costs were unpaid and led to the emergency. See the chart below of Household Income Limits for Energy and Non-Related Energy Assistance. Burial Assistance State Emergency Relief (SER) will make assistance payments toward a burial or cremation when the deceased person's estate and contributions are not sufficient. A relative or representative with legal rights to arrange the burial must apply for assistance within ten (10) days of the burial or cremation. The family member or representative arranging the burial should inform the funeral home that public assistance will be requested. They may be able to assist with the application process. Relocation Assistance State Emergency Relief (SER) assistance may be approved to:
Rent Assistance and Foreclosure Prevention State Emergency Relief (SER) assistance payments are available to prevent the loss of a home due to foreclosure, a land contract forfeiture, the loss of a mobile home, and the non-payment of rent. Property taxes may be paid to stop a tax sale when a foreclosure hearing has been scheduled. Home Repairs State Emergency Relief (SER) funds are available for home repairs to correct unsafe conditions or to restore essential services such as water, water disposal, heat, or electricity. Eligible home repairs may include but are not limited to: replacement of a non-functioning furnace, hot water heaters, or septic systems. Qualifying households are eligible for payment toward service repairs under the following conditions:
A household may be approved for home repair services under the following conditions:
Home improvements and non-essential repairs do not qualify for the SER benefit. Maximum Benefit Allowances for Home Repairs Energy-Related Furnace Repairs:
Non-Energy Related Repairs
Utility Assistance State Emergency Relief (SER) will make a one-time annual (once per year) payment to prevent shut-offs, or restore heat, electric, or water service. Migrant Hospitalization Migrant families with children may have the cost of hospitalization covered under State Emergency Relief (SER), within certain limits, for up to thirty (30) days in a one-year period. Financial Eligibility State Emergency Relief (SER) is a means-tested program. That is, household size, income, and countable assets valued over $50 are assessed to determine eligibility for benefits. It also means that the income-test may affect the benefit amount and that a copayment may be required towards the benefit amount paid. Assets such as a homestead (a home you own and occupy), one (1) vehicle, personal and household goods are excluded. Applicants requesting burial assistance are exempt from the asset-test. Income It should be noted that all household income for all household members expected to be received within the thirty (30) day period from the SER application is used to determine eligibility. Follow the income limit charts below for energy and non-energy assistance. The income limit is based on the number of people in the household. Applicants will be charged a copayment (out-of-pocket expense) for any income above the amount listed to help pay for the emergency need. Any required copayment must be paid within the thirty (30) day approval period. Assets A household with more than $50 in cash assets must pay the amount over $50 toward the emergency. The payment must be made within the thirty (30) day approval period. Cash assets include:
The value of non-cash assets (e.g. a boat or second vehicle) cannot exceed the following limits:
SER Income Limits for Energy Assistance
Households with monthly incomes above the amounts listed are not eligible for energy-related assistance.
SER Income Limits for Non-Energy Related Assistance
Income that exceeds the above limits will be assessed as a copayment towards eligible benefits.
Source: Michigan Department of Health and Human Services (MDHHS)
How to Apply for State Emergency Relief (SER) The best way to apply for State Emergency Relief (SER) funds is to print the online application, fill it out completely, attach any supporting documents, and turn it in to a local Department of Human Services (DHS) office. By hand-delivering the application there is an opportunity to explain your situation to a DHS benefits specialist. Benefits are approved at the discretion of the DHS Benefits Specialist. A link is provided below to the SER application. You can also apply for benefits online at the MI Bridges website or request that the application be mailed to you. You will receive a response within ten (10) days. Applicants must complete the DHS-1514 (Application for State Emergency Relief) form. Applicants may be required to apply for other qualifying benefits by completing the following forms to be placed on file:
Applications must provide proof of the immediate need for utility bill payment assistance (e.g. past due or shut-off notice, a court documented eviction notice) or verified need for deliverable fuel (e.g. fuel oil), and energy-related home repairs. Applicants are not required to complete a new application for additional services requested within the thirty (30) day approval period of the original application. Applicants have the right to request a hearing for any action, failure to act,, or undue delay in application processing by the Department of Health and Human Services (DHHS). Was this post helpful? Leave a comment and share your thoughts. If you’re in need of case management services or assistance please Contact Us by completing the confidential contact form. Also, consider donating to continue this important work and expand our reach to the broader community. Contact Us: http://www.canmichigan.com/reach-out-to-us.html Related Posts: Housing www.canmichigan.com/housing.html Michigan Energy Assistance Grants http://www.canmichigan.com/blog/michigan-energy-assistance-grants Energy Security in Michigan: The Funding Factor http://www.canmichigan.com/blog/energy-security-in-michigan-the-funding-factor Michigan Energy Assistance Program Grantees Announced michigan-energy-assistance-program-grantees-announced.html Community Resources - Utility Assistance http://www.canmichigan.com/community-resources-michigan.html Links: MDHHS Asset Limit Changes 2019 www.michigan.gov/documents/mdhhs/Asset_tests_QandA_668891_7.pdf MDHHS Assistance Programs www.michigan.gov/mdhhs/0,5885,7-339-71547---,00.html Locate a DHS office in your county/district https://www.michigan.gov/mdhhs/0,5885,7-339-73970_5461---,00.html State of Michigan Emergency Relief: Home, Utilities, and Burial https://www.michigan.gov/mdhhs/0,5885,7-339-71547_5531---,00.html State Emergency Relief Income Requirements https://www.michigan.gov/mdhhs/0,5885,7-339-71547_5531-15410--,00.html State Emergency Relief Q&A Grid mfia.state.mi.us/SI-Screens/nes_SG/WebHelp/SER_Answer_Grid.pdf State Emergency Relief Home Repairs www.michigan.gov/mdhhs/0,5885,7-339-71547_5531_62129---,00.html
Category: Government Benefits and Programs
A homestead is your permanent, primary residence and must be located in the State of Michigan. You must be the owner and occupant or contracted to pay rent and occupy the residence at least six (6) months out of the year. According to Michigan state law, vacation homes, cottages, second homes, property you rent to others, and college/university operated housing does not qualify for the credit. You can only have one (1) homestead at a time. This is a summary of the homestead tax credit. You may claim a property tax credit if all of the following apply:
Homeowners and renters whose total household resources (100%) are received from the Michigan Department of Health and Human Services (i.e. FIP cash assistance, FAP food assistance, etc.), you do not qualify. This rule does not apply to recipients of social security and other disability payments. To calculate your total household resources: www.michigan.gov/documents/taxes/ChecklistDetermineTHR_444822_7.pdf Checklist for preparing a Michigan Homestead Property Tax Credit Claim https://www.michigan.gov/documents/taxes/MI-1040CR-Checklist_405711_7.pdf Sample Property Tax Statement https://www.michigan.gov/documents/TaxStmt_139884_7.pdf You may submit your Michigan Homestead Property Tax Credit Claim (MI-1040CR) with your MI-1040, if you are required to file an individual tax return. However, you are not required to file a Michigan tax return to claim the homestead property tax credit. You have four (4) years from the original due date to file your claim. Additional Recommendations Active military personnel, eligible veterans, or surviving spouse of a veteran should complete both the MI-1040CR and the MI-1040CR-2 (Michigan Homestead Property Tax Credit Claim for Veterans and Blind People). Submit the form that gives you the larger credit. Blind homeowners should also complete both the MI-1040CR and the MI-1040CR-2 and file the form that gives you the larger credit. Renters who are blind must file the MI-1040CR. Total Household Resources The goal in tax planning is to find ways to reduce your taxable income. You begin that process by analyzing your household income and assets. Total household resources include all income received by all household members during the year, including income that might be exempt from federal adjusted gross income. Losses from business activity may not be used to reduce total household resources. Some things to consider as household resources include:
Special Qualifying Circumstances
Renters aged 65 or older qualify for the Alternate Property Tax Credit whose rent is 40% of their total household resources. Visit the Michigan Homestead Property Tax Credit – Homepage for further information on the worksheet and estimator. For cooperative housing you may claim your share of the property taxes on the building and land under the building. If rent is paid on the land, you may claim 20% of that land rent. Association fees do not apply. Family Independence Program (FIP) recipients who receive cash assistance from the Michigan Department of Health and Human Services (MDHHS) can claim a prorated credit based on income from other sources compared to your total income. FIP recipients who receive 100% of their total household resources from MDHHS do not qualify for this credit. Visit the Michigan Homestead Property Tax Credit – Homepage for further information on the Individual Tax Credit instructional booklet and how to calculate the credit. Homeowners involved in a mortgage foreclosure or home repossession will have an impact on their Individual Income Tax Return (MI-1040) and Homestead Property Tax Credit (MI-1040CR). Visit the Michigan Homestead Property Tax Credit – Homepage on Information for Mortgage Foreclosure or Home Repossession and Your Michigan Income Tax Return. Mobile home park residents qualify to claim $3/month specific tax up to $36 and 20% of their annual rent expense less the maximum $36 specific tax. You may also claim tax payments on attached buildings (i.e. garage, tool sheds, etc.). Homeowners and renters must know the move-in and move-out dates from a home. Renters must know the date you rented and move-out date. Homeowners must know the purchase date and the date you sold a home. Homeowners with more than one property may only claim the prorated taxes for homes with a taxable value of $135,000 or less. The taxable value is the value on which property taxes are calculated (See your tax statement or contact your local city/township/county assessor’s office). If you sell your home for more than you paid, plus improvements, it is considered a capital gain. In general, capital gains are not taxable but must still be added to your total household resources from the sale of your home. When buying or selling a home you must prorate only the taxes levied (billed) to determine the taxes that can be claimed for credit. Taxes are prorated by using the amount billed during the tax year on each homestead and divide based on the days of occupancy. The combined property taxes and/or rent may not exceed twelve (12) months. Residents of “special care” facilities (nursing home, home for the aged, adult foster care) may claim the credit for rent only. If the rent includes other services, you can calculate the portion that constitutes the rent by determining your portion of the property taxes by square footage, or, by dividing the amount of property taxes by the number of residents the home is licensed for. You may be required to submit the landlord’s documentation to verify the claim.
If you live in public housing and the owner does not pay property taxes or a service fee, you are not eligible for the homestead property tax credit. If you live in Section 8 housing and a portion of your rent is paid by MSHDA, or any government agency, you may claim your portion of the rent that you actually paid. If you live in Service-Fee Housing you may claim only 10% of the rent for the homestead property tax credit. Service-Fee Housing is a program where the property owner and the municipality agree on a service-fee payment instead of property taxes. Service-fee housing are typically low-income or senior-citizen housing and may be an apartment or single-family home. Service-fees are usually less than property taxes. In shared housing situations, it should be noted that in all scenarios you are required to include gifts of cash or expenses paid on your behalf in your total household resources. This includes all contributions from other occupants in the home used to pay taxes, rent, utilities, etc. Eligibility criteria for shared housing:
Principle Residence Exemption (PRE) Owner/occupants of their principle residence may be exempt from a portion of your local school operating taxes. The PRE (formerly, the Homestead Exemption) exempts a principle residence from taxes levied by a school district for school operating purposes up to 18 mills. You must be a Michigan resident who owns and occupies the property as a principle residence. The PRE is a separate program from the Homestead Property Tax Credit. A property owner may claim a PRE by submitting Affidavit Form 2368 (link below) to the assessor for the city or township where the home is located. The first deadline is June 1 and a second deadline is November 1 each year. However, when you no longer own or occupy the property as a primary residence, you must file a Request to Rescind Homeowner’s Principle Residence Exemption (PRE) – Form 2602. You must request to rescind the PRE by submitting From 2602 to the city assessor within ninety (90) days of the change or be penalized. Failure to rescind a PRE may result in additional taxes, interest and penalties. A conditional rescission allows an owner to receive a PRE on their current property and previously exempted property simultaneously up to three (3) years. The owner must submit a Conditional Rescission of Principle Residence Exemption (PRE) – Form 4640 to their city or township assessor before June 1 or November 1 of the first year of the claim. Disabled Veterans Property Tax Exemption Disabled veterans may be eligible to receive a full exemption from paying property taxes on their primary residence if 100% disabled, service-connected. They are also eligible for the Homestead Property Tax Credit separate from the property tax exemption program. Disabled veterans or surviving spouse may request the exemption by filing an affidavit to the Michigan Department of Treasury the first two (2) months of the assessment year (January or February). This benefit also qualifies disabled veterans for specially adapted housing. Please contact the Michigan Department of Treasury for more information. First-Time Homebuyers and Homesteaded Properties One final note, first-time home buyers should also verify if their property has been homesteaded. In such cases, this means that your property taxes are significantly reduced. In Michigan, the tax break for “homesteaded” properties equate to the millage amount of a school district, which is about one-half of your tax bill. The benefits of a homesteaded property are not only lower taxes, but, lower taxes also mean lower mortgage payments. Be sure to inquire with your realtor regarding properties that are homesteaded vs. non-homestead before you purchase a home. When submitting a request for review if your credit was less than expected, use the following checklists depending on your occupancy status. Homeowner’s Checklist: https://www.michigan.gov/documents/taxes/MI-1040CROwnersChecklist_405714_7.pdf Renter’s Checklist: https://www.michigan.gov/documents/taxes/MI-1040CRRentersChecklist_405697_7.pdf Be sure to visit the Homestead Property Tax Information – Homepage for more information regarding frequently used homestead property tax credit forms and instructions. If you still have questions, it is advised that you contact a local tax professional for further assistance. Was this post helpful? Leave a comment and share your thoughts. If you’re in need of case management services or assistance please Contact Us by completing the confidential contact form. Also, consider donating to continue this important work and expand our reach to the broader community. Contact Us: http://www.canmichigan.com/reach-out-to-us.html Donate: https://www.paypal.com/donate/?token=u9ZbQw7yTRWAm9K4Yl2MKERd76oKf_lBrejXuVLAx0j5rsSTG72gmICfR9S-bVY4az_Imm&country.x=US&locale.x=US Related Posts: Utility Assistance: The Michigan Home Heating Credit http://www.canmichigan.com/blog/the-michigan-home-heating-credit Free Tax Preparation Services http://www.canmichigan.com/wraparound-services.html Links: Michigan Homestead Property Tax Information – Homepage https://www.michigan.gov/taxes/0,4676,7-238-43535_43538-155081--,00.html Michigan Homestead Property Tax Information for Separated or Divorced Taxpayers https://www.michigan.gov/documents/taxes/2105_509978_7.pdf Worksheet for Married, Filing Separately, and Divorced or Separated Claimants https://www.michigan.gov/documents/taxes/5049_609035_7.pdf Checklist for Total Household Resources https://www.michigan.gov/documents/taxes/ChecklistDetermineTHR_444822_7.pdf List of Income and Deductible Items from Total Household Resources https://www.michigan.gov/documents/taxes/CC-41011_608354_7.pdf Qualified Health Insurance Premiums https://www.michigan.gov/taxes/0%2C1607%2C7-238-43535_43538-228583--%2C00.html Information for Mortgage Foreclosure or Home Repossession and Your Michigan Income Tax Return https://www.michigan.gov/taxes/0,4676,7-238-43513-228580--,00.html Michigan Department of Treasury – Individual Income Tax Division https://www.michigan.gov/taxes/0,4676,7-238-43513---,00.html Principle Residence Exemption – Homepage https://www.michigan.gov/taxes/0,4676,7-238-43535_43539-210891--,00.html Homeowner’s Principle Residence Exemption Affidavit – Form 2368 https://www.michigan.gov/documents/2368f_2605_7.pdf Principle Residence Exemption Guidelines https://www.michigan.gov/documents/taxes/2856_PRE_guidelines_607370_7.pdf Request to Rescind Homeowner’s Principle Residence Exemption (PRE) – Form 2602 https://www.michigan.gov/documents/2602f_2607_7.pdf Conditional Rescission of Principle Residence Exemption (PRE) – Form 4640 https://www.michigan.gov/documents/taxes/4640_231633_7.pdf Michigan Homestead Property Tax Credits for Separated or Divorced Taxpayers https://www.michigan.gov/documents/taxes/2105_509978_7.pdf Michigan Married Filing Separately or Divorced and Separated Claimants Schedule https://www.michigan.gov/documents/taxes/5049_609035_7.pdf
Category: Government Benefits and Programs
But, before delving into the tenets of the Michigan Home Heating Credit, let us begin by first stating for the record that understanding tax code is certainly not my strong suit (area of expertise) but I wanted to expound on this important tax credit because it has some strong implications for low-income households. Although, tax season is technically over it is always an appropriate time for tax preparation and planning. Tax preparation is not just filling out forms and putting them in the mail, it is also an active planning process of making informed decisions throughout the year that are most beneficial in maximizing your returns when it’s time to file.
Even more relevant to the topic, for our purposes, is that new work requirement legislation has passed in Michigan. It will mandate all able-bodied adults to return to work, school, or job training for a minimum of 29 hours a week to keep their Medicaid. This new legislation termed the “workforce engagement rule” is actually a revisit to President Clinton’s “welfare-to-work” initiative under the Personal Responsibility and Work Opportunity Act (PRWORA) of 1996 that created TANF. Temporary Aid to Needy to Families (TANF) is our current system of welfare benefits that replaced Aid to Dependent Children (ADC), created by President Roosevelt’s New Deal during the 1930s Great Depression. It later became Aid to Families with Dependent Children (AFDC) in the 70s. Of course, the open-ended benefit structure of ADC/AFDC is a thing of the past and lawmakers are doing everything possible to be sure of it. To the point, the new “workforce engagement rule” passed in the Michigan Senate in April 2018 and will go into effect in October 2019. One month after the expiration of the Michigan Energy Assistance Program (MEAP) which funds utility bill payment assistance programs across the state. Needless to say, lots of changes are coming and many will be required to enter the workforce and encounter tax laws that they may not understand. Still, many others who are already employed may not be fully aware of the existing tax structures and how they may benefit or be adversely affected by them. This information is critically important to recipients of unearned income (i.e. state cash assistance (FIP), disability, etc.) and low-wage earners, particularly those who supplement their incomes with food stamps (FAP). The first issue with the Home Heating Credit is to understand what a “homestead” is and what it isn’t. The short answer is that a homestead is your primary residence. A homestead is not the house that you use for rental property, a vacation home, cottage, college or university operated housing (i.e. dorms, apartments, resident halls), or a home you have in another state. You are only qualified to claim the Homestead Credit for your permanent home where you live in Michigan. You must be the owner and occupant or contracted to pay rent and occupy the home. You can only have one (1) homestead at a time. General eligibility criteria are as follows:
The Standard Credit You must be eligible to use the standard method and indicate on the Home Heating Claim if your heating costs are in someone else’s name or included in the rent. The standard credit computation is based on the standard allowances for the number of exemptions you claimed. You may be eligible to use the standard method if:
Table A - Standard Allowance Table
(Note: If you lived in your homestead less than 12 months, the standard allowance must be prorated)
The Alternate Credit
The alternate credit allowance utilizes home heating costs to calculate your credit. You must add up the amounts you were billed for heat from November 1, 2016 to October 31, 2017. If you buy bulk fuel (oil, coal, wood, or bottled gas), add your receipts to get your total heating cost. Be sure to maintain receipts as treasury may request them to verify your claim. You Are Not eligible to calculate the credit using the Alternate method if:
Table B – Alternate Credit Computation Table
Total Household Resources
The goal in tax planning is to find ways to reduce your taxable income. You begin that process by analyzing your household income and assets. Total household resources include all income received by all household members during the year, including income that might be exempt from federal adjusted gross income. Losses from business activity may not be used to reduce total household resources. Some things to consider as household resources include:
Other Qualifying Special Circumstances
You may claim the credit if you share a home with another contracted renter who pays a share of the rent (i.e. roommates). Each occupant should file a claim based on their individual total household resources and share of the standard allowance. Use Table A to determine the standard allowance for the number of occupants in the home. You may qualify for the credit as a Part-Year Resident if you occupied your Michigan home (own or rent) for less than twelve (12) months. See the link “Michigan Home Heating Credit – Homepage” for information on how to calculate the credit. You do not qualify for the credit if you live in a licensed care facility (i.e. Adult Foster Care, Licensed Home for the Aged, Nursing Home, and Substance Abuse Treatment Centers). However, subsidized senior apartments are not licensed care facilities and senior citizens may apply for the credit.
If a claimant dies before the end of the tax year, a personal representative or surviving spouse may claim the standard heating credit but may not claim the alternate credit. In the case of a surviving spouse, file a joint claim using the same number of exemptions you would have used had your spouse lived all year. You must report the deceased’s income, date of death, and write that you are “Filing as a Surviving Spouse” in the appropriate sections of the claim. There are additional special instructions if you are filing as a personal representative for a deceased single taxpayer or if both taxpayers are deceased. See the Michigan Home Heating Credit – Homepage link below. Other important factors to keep in mind:
People rarely think of tax credits as a utility assistance program such as the Michigan Energy Assistance Program (MEAP) or Low-Income Self-Sufficiency Program (LSP) both of which we have previously discussed. But, the Home Heating Credit is, in fact, a federally-funded energy assistance program, administered by several State of Michigan agencies and designed to benefit low-income households. But it is important to know that the Home Heating Credit can affect the amount food assistance benefits you receive. According to the Michigan Department of Health and Human Services, food benefits for some renters may be increased if the household received a home heating credit greater than $20 in the current month or previous twelve (12) months. This is important for renters whose heating costs are included in their rent. You can make sure that your home heating credit is used to calculate your food benefits by informing your DHS worker or indicating it on your MDHHS public assistance application. If you receive any type of public assistance your Home Heating Credit will be paid directly to your utility provider and credited to your account. Be sure to visit the Michigan Home Heating Credit – Homepage for more important information regarding mistakes to avoid in filing your claim, the payment process, how to check the status of your home heating credit, forms and instructions, and other helpful information. Click the links below for more information on free tax preparation services, tax planning, how to calculate your Total Household Resources, qualified health insurance premiums, and how to file your Michigan Home Heating Claim. See the link “Home Heating Credit and Shared Housing Situations” for information on how to calculate the credit. Was this post helpful? Leave a comment and share your thoughts. If you’re in need of case management services or assistance please Contact Us by completing the confidential contact form. Also, consider donating to continue this important work and expand our reach to the broader community. Contact Us: www.canmichigan.com/reach-out-to-us.html Donate wih PayPal Related Posts: Free Tax Preparation Services www.canmichigan.com/wraparound-services.html Community Resources - Utility Assistance http://www.canmichigan.com/community-resources-michigan.html Links: Tax Planning for Beginners (Turbo Tax article) turbotax.intuit.com/tax-tips/tax-planning-and-checklists/tax-planning-for-beginners/L1zd34qfu Michigan Home Heating Claim Instruction Booklet www.michigan.gov/documents/taxes/MI1040CR7_BOOK_610872_7.pdf Michigan Home Heating Credit - Homepage www.michigan.gov/taxes/0,4676,7-238-43513_66852-330928--,00.html Checklist for Total Household Resources www.michigan.gov/documents/taxes/ChecklistDetermineTHR_444822_7.pdf List of Income and Deductible Items from Total Household Resources https://www.michigan.gov/documents/taxes/CC-41011_608354_7.pdf Qualified Health Insurance Premiums https://www.michigan.gov/taxes/0%2C1607%2C7-238-43535_43538-228583--%2C00.html Home Heating Credit and Shared Housing Situations https://www.michigan.gov/taxes/0,4676,7-238-43513-228582--,00.html MI Bridges: Apply for Assistance or Manage Your Account https://www.mibridges.michigan.gov/access/
Category: Government Benefits and Programs
On October 24, 2017, the Michigan Agency for Energy (MAE) and the Michigan Department of Health and Human Services (MDHHS) announced the ten (10) community agencies who will share in the $45.5 million dollars in energy grants provided by the State of Michigan. The Michigan Energy Assistance Program (MEAP) allows low-income residents who fall behind on their gas and electric bills to stay safely in their homes and become energy self-sufficient through utility bill payment assistance and an array of other support programs.
The Michigan Energy Assistance Program (MEAP) is sustained by two funding sources: the state-funded Low-Income Energy Assistance Fund (LIEAF) and the federally-funded Low-Income Home Energy Assistance Program (LIHEAP). The Low-Income Energy Assistance Fund (LIEAF) was signed into law on July 13, 2013 by Michigan Public Act 95 which created the program. On July 31, 2017, the Michigan Public Service Commission (MPSC) established a monthly .93 cents per meter surcharge on all participating electric utilities who have opted-in to fund the program. The Michigan Public Service Commission (MPSC) is the regulatory authority for all utility providers in the State of Michigan. Michigan Public Act 95 allows the Michigan Public Service Commission (MPSC) to approve a low-income energy assistance “funding factor” (a surcharge on utilities), not to exceed $50 million dollars, every year to fund the program. The Act also designates the Michigan Department of Health and Human Services (MDHHS) to administer the program. Michigan Public Act 615, established on March 28, 2013, set forth the purpose for MDHHS to administer MEAP funds to community organizations across the state who will provide energy assistance and self-sufficiency programs to eligible low-income households. Michigan Public Act 147, signed into law by Governor Rick Snyder on July 8, 2016 extended the Michigan Energy Assistance Program (MEAP) for three (3) years to expire on September 30, 2019. Related Posts: Michigan Energy Assistance Grants http://www.canmichigan.com/michigan-energy-assistance-grants.html Community Resources - Utility Assistance http://www.canmichigan.com/community-resources-michigan.html Click the links below to view Michigan legislation for MEAP funds, the history of the program, and outcome reports. Links: Michigan Agency for Energy https://www.michigan.gov/energy/0,4580,7-230--450586--,00.html Michigan Energy Assistance Program https://www.michigan.gov/mpsc/0,4639,7-159-52493---,00.html Michigan Public Act 615 http://www.legislature.mi.gov/documents/2011-2012/publicact/pdf/2012-PA-0615.pdf Michigan Public Act 95 http://www.legislature.mi.gov/documents/2013-2014/publicact/pdf/2013-PA-0095.pdf Michigan Public Act 147 http://www.legislature.mi.gov/documents/2015-2016/publicact/pdf/2016-PA-0147.pdf Michigan Public Service Commission – Case #U-17377 https://www.michigan.gov/documents/energy/0105_603220_7.pdf
Category: Government Benefits and Programs
The first energy grant is the Low-Income Home Energy Assistance Program (LIHEAP), a federally-funded block grant government program. LIHEAP funds are administered by the Department of Health and Human Services. The Department of Health and Human Services (DHHS) administer these funds on an emergency basis through the Michigan State Emergency Relief (SER) program either to prevent service interruption, restore services, or aid in qualifying for long-term aid with other utility assistance programs.
The second is the state-funded Michigan Energy Assistance Program (MEAP). MEAP funds are administered by the Michigan Department of Health and Human Services (MDHHS) and allocated to contracted community organizations. Several community organizations in Michigan dispense MEAP funds under varied program designs, program names and eligibility requirements within funding guidelines but are not directly handled by utility companies. The Heat and Warmth Fund (THAW) and Neighborhood Organization Services (NSO) are two such agencies that provide utility assistance to consumers with MEAP funds. Visit the Community Resources section for a complete list of utility assistance programs. Each agency has implemented their programs with special names but monies are distributed from the same fund and divided among participating agencies to provide consumer services. Community organizations submit proposals to participate in the program each fiscal year and develop partnerships for the continuity of care. Continuity of care is a social services term that simply refers to other services a client may need to maintain low-energy costs or other financial needs, for example. That means, each community organization will assess your household needs such as employment, budgeting classes, etc. and coordinate those services to provide them directly through their agency or other partnerships in the community. The Low-Income Self-Sufficiency Program (LSP) funded by the Michigan Energy Assistance Program (MEAP) is a utility assistance program with monies allocated to most MEAP participating community organizations by MDHHS. The Low-Income Self-Sufficiency Program (LSP), most commonly administered by United Way, is a long-term utility assistance program with a specific structure to prevent utility shut-offs, reduce energy costs over time, and promote financial self-sufficiency. Community organizations dispense LSP funds but not under special program names. They are contracted with the Michigan Department of Health and Human Services (MDHHS) to process enrollment applications for qualifying households based on predetermined eligibility criteria. DTE and Consumer’s Energy (the main energy providers in Michigan) do not handle LSP enrollment but does offer support services for LSP enrollees. LSP funds are also available through community organizations such as THAW and NSO but are not handled directly by utility companies or Department of Human Services (DHS), formerly, the Family Independence Agency (FIA). Please check the Community Resources section for participating agencies, income and other eligibility criteria for LSP enrollment which allows an affordable structured payment plan (usually about 5% of the total bill) for energy consumers up to two (2) years. Approved applicants also remain eligible for the Home Heating Credit tax refund program. Energy consumers should not confuse these funding sources with internal protection plans offered by the utility company. For example, DTE Energy offers a Shut-off Protection Plan that requires high deposits and monthly bills that are usually not affordable for consumers to sustain. We recommend that you apply for utility assistance. LIHEAP and MEAP grants are available to energy consumers who are both in the “Past Due” or “Shut-Off” status and after service interruption. Assistance through the Low-Income Self-Sufficiency Program (LSP) are not available after utility services are disconnected. Open enrollment for United Way's LSP FY18, closed Wednesday, April 25, 2018 and new enrollment is expected to begin October 1, 2018 pending state and federal appropriation budget approvals. We will keep you posted. LIHEAP funds are available through the State Emergency Relief (SER) program year-round pending funding availability. This program is helpful in preventing shut-offs prior to October 1 as well as restoring services that have been terminated. For added protection, the State of Michigan also prohibits utility shut-offs due to non-payment during the winter season beginning November 1st to March 31st. You may contact the Michigan Public Service Commission (the utility regulatory authority in Michigan) to file a complaint in case of illegal service interruption. See the Community Resources section for contact information. If you need further information or assistance please complete the confidential Contact Form. Related Posts; COMMUNITY RESOURCES - UTILITY ASSISTANCE SECTION http://www.canmichigan.com/community-resources-michigan.html |
Deborah Mitchell2016 Wayne State University Alumni - Bachelors of Science in Social Work, social services professional and Registered Social Work Technician. Human service background since 2007 which includes medical case management and service navigation for the indigent population, outpatient mental health counseling for SUD disorders with comorbidities (experienced in medication-assisted and social model treatment modalities), supportive employment and job development for mental health consumers, and structured living domicile management. Archives
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