Subsidy

Excludes earnings in the determination of SGA

• Extra training additional supervision, i.e., job coaching

• Less job duties, i.e., a job or job duties carved from an existing job

• Lower production levels, i.e., time studies completed to show production rates compared to individuals doing the same or similar job

• No money changes hands, and the only one who benefits is the SSA beneficiary

• What communications needs to take place between the recipient and SSA? 3033 will be generated from SSA Work Activity Report #820/821, then every month where a change in the subsidy amount exists SSA needs to be notified immediately to avoid over payments.

Employer Wage Subsidies: A subsidy that a person receives on the job and could result in more pay than the actual value of the service that the person performs. SSA can deduct the value of subsidies before SGA is determined.

Employer calculates subsidy

Examples of Nonspecific subsidy:

• In terms of time, energy, skills and responsibilities, is the employee’s work worth the amount paid, compared with how an unimpaired worker would do the same job?
• If employer can explain how s/he derived subsidy, SSA usually accept it, provided the employer used valid calculations.

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