Generally, SSI  recipients are eligible to receive up to a maximum benefit rate, with  married couple recipients eligible for a lower maximum benefit rate  approximately equal to 75 percent of the benefit rate for nonmarried  individuals. Medicaid and SNAP are not the only other federal assistance programs  available to aged, blind, or disabled individuals with limited means. Multiple SSI Recipient Households Represented an Estimated 15 Percent of All SSI Households in May 2013

		Households with Multiple SSI Recipients Represented an Estimated 15 Percent of All Households with SSI Recipients and Typically Included Two Nonmarried Recipients

In May 2013, an estimated 15 percent of all households with SSI  recipients included more than one SSI recipient (1.1 million households),  according to our analysis of matched administrative and survey data. The vast majority of multiple  recipient households reported having a one-family household (an  estimated 86.7 percent or 941,000 households), with “family” defined as a  group of two or more persons related by birth, marriage, or adoption who  reside together. 2). Most Multiple Recipient Households Included Adult Recipients Who Did Not Have Any Earned Income

An estimated 695,000 of 1.1 million multiple recipient households  included at least one working-age adult recipient in May 2013 (see fig. 4). For multiple recipient  households with SSI recipient children in May 2013, most included only  one child recipient, and it was rare for these households to have three or  more child recipients. Because the total amount  of SSI benefits received by a household includes benefits for all recipient  residents, households with multiple recipients received higher monthly  average SSI benefit payments (an estimated $1,131) compared to  households with one recipient (an estimated $507). Households with nonmarried multiple recipients received a  higher estimated average monthly benefit payment than married recipient  households (see table 2). The Effects of Changing Benefits for Multiple SSI Recipient Households Are Largely Unknown, and SSA Has Limited Ability to Electronically Manage Claims for Some of These Households

		Options for Restructuring Benefits for Multiple SSI Recipient Households Have Been Discussed, but the Effects on SSI Program Costs, Households, and Other Programs Are Largely Unknown

Since the 1990s, members of Congress, SSA officials, and some  advocacy groups have discussed alternative benefit structures for  individuals living in multiple recipient households. Potential Effects on Benefit and Administrative Costs  If the maximum benefit rate for additional multiple SSI recipient  households was reduced, SSI benefit costs would likely decrease,  according to analyses we reviewed. For example,  if a mother lives with two of her children who are both SSI recipients, and  the mother reports a change in her earned income, SSA’s system does  not automatically adjust both children’s benefit amounts to account for the  mother’s change in income. Without the ability to automatically connect  and adjust the claim records for individuals living in multiple recipient  households whose benefits are inter-related, SSA is at increased risk for  improper payments because staff may not adjust benefits for all recipients  in a multiple recipient household after a relevant change. Furthermore, SSA staff reported that processing claims for SSI recipients  who marry another recipient or separate from another recipient are not  possible in the claims management system. Although an SSA official  told us that improper payments made in married couple claims in fiscal  year 2014 were attributed to recipient errors, staff from 3 of the 5 SSA  field offices with whom we spoke said processing claims outside of the  claims management system is time consuming and error prone. Moreover, Standards for Internal Control in the Federal  Government states that agencies should identify and address risks to  achieving their objectives, including significant changes to both external  and internal conditions, as well as design their information systems to  support the completeness, accuracy, and validity of information needed to  achieve objectives. However, SSA has not assessed the risks these systems limitations pose,  despite its plans to make changes to its data systems. Recommendation for Executive Action

To ensure the agency has sufficient information about risks to SSI  program integrity when making decisions about efforts to address them,  we recommend that the Commissioner of the Social Security  Administration conduct a risk assessment of the current manual process  for connecting and adjusting claim records of SSI recipients who live in  households with other SSI recipients, and, as appropriate, take steps to  make cost-effective improvements to SSA’s claims management system  to address identified risks. However, we continue to believe that the manual processing currently  used to connect and adjust claim records of SSI recipients who live in  households with other SSI recipients leaves the agency at risk. Appendix I: Scope and Methodology

To better understand multiple Supplemental Security Income (SSI)  recipient households and the potential effects of implementing a change  in the amount of benefits received by these households on program  administration and other factors, we employed several methods,  including: analysis of matched data from Social Security Administration (SSA)
Supplemental Security Record (SSR) and U.S. Census Bureau  (Bureau) Survey of Income and Program Participation (SIPP)  review of relevant program laws, regulations, and other reports for  other federal programs for low-income individuals and families  interviews with SSA staff.
Why GAO Did This Study

SSA administers SSI, which provides cash benefits to eligible aged, blind, and disabled individuals with limited financial means. Generally, SSI recipients are eligible to receive up to a maximum benefit amount, though the maximum is lower for married couple recipients. Other households with multiple SSI recipients are not subject to this benefit reduction. GAO was asked to review households that include multiple SSI recipients.
GAO examined what is known about (1) SSI recipients who live in households with other SSI recipients, (2) SSI benefits received by households with multiple SSI recipients, and (3) potential effects of implementing a change in the benefits received by households with multiple SSI recipients. GAO reviewed relevant federal laws, and regulations; analyzed May 2013 SSA administrative data on SSI recipients that was matched with U.S. Census survey data, the most recent matched data available; and interviewed researchers, disability advocates, and SSA officials in headquarters and five field offices selected for geographic dispersion, a higher concentration of multiple SSI recipient households, and overall population density.

What GAO Found

In May 2013, an estimated 15 percent of the 7.2 million households with blind, aged, and disabled individuals receiving Supplemental Security Income (SSI) cash benefits included more than one SSI recipient, according to GAO's data analysis. Of the estimated 1.1 million households with multiple SSI recipients, most included two recipients (953,000) and at least one adult recipient between ages 18 and 64 (695,000). Most households with multiple recipients did not have any child recipients, though an estimated 190,000 had one child recipient, 111,000 had two, and 30,000 had three or more. Few households reported having married couple recipients (an estimated 90,000). Most multiple recipient households reported that members of one family—those related by birth, marriage, or adoption—lived in the household (an estimated 941,000). GAO was unable to determine the specific relationships of recipients in these households.
The Social Security Administration (SSA) provided households with multiple SSI recipients almost 30 percent, or an estimated $1.2 billion, of the total $4.3 billion paid in SSI benefits in May 2013, according to GAO's data analysis. In that month, multiple recipient households received an estimated average of $1,131 in SSI benefits, compared to $507 for single recipient households. Further, consistent with federal law that applies a lower maximum benefit rate to married couple recipients, GAO's analysis found that households with nonmarried multiple recipients received a higher estimated average monthly benefit payment than married recipient households.
Since the 1990s, several alternative benefit structures for households with multiple SSI recipients have been discussed, but the potential effects of any such change on program costs and recipients are largely unknown. Specifically, reducing the maximum benefit limit for these households would likely decrease benefit costs, according to analyses GAO reviewed; however, the potential effects of such a change on program administrative costs and SSI recipients have not been studied. Further, according to SSA staff, SSA's claims management system lacks the ability to automatically connect and adjust claim records of those living in households with other SSI recipients, as it is structured around providing benefits to individuals. For example, if a mother lives with two of her children who are both SSI recipients, and the mother reports changes to her income, SSA's system does not automatically adjust both children's benefit amounts to account for this change in income. In addition, the system is unable to automatically process claims when two SSI recipients marry or separate, so staff must manually complete forms and calculate benefits outside the claims management system, which is time consuming and error prone, according to staff GAO spoke with in three of five selected field offices. SSA officials said the agency has not assessed the risks associated with the system's limited ability to automatically process claims for multiple recipient households, and has no plans to improve the claims management system to address related issues. According to federal internal control standards, agencies should design their information systems to support the completeness, accuracy, and validity of information needed to achieve objectives. Without assessing risks and making changes to address the issues related to households with multiple SSI recipients, SSA is at increased risk of making improper payments to recipients who live with, marry, or separate from other recipients.

What GAO Recommends

GAO recommends that SSA assess risks associated with the manual process for adjusting claim records for SSI multiple recipient households, and, as appropriate, take steps to make system improvements. SSA disagreed, based in part on its prior payment and accuracy reviews, but GAO continues to believe an assessment is warranted, as discussed in the report.