Yes, you can have a savings account on SSI, but there are strict limits on how much money you can hold

The Supplemental Security Income (SSI) program allows you to have a savings account, but the federal resource limit is $2,000 for an individual and $3,000 for a couple as of 2024. If your total resources exceed these amounts, you lose SSI payments for that month. This limit has not changed since 1989, which is why it catches many people by surprise — your savings can grow only so far before the program stops paying you.

The resource limit applies to all your countable resources combined: savings accounts, checking accounts, cash on hand, stocks, bonds, and vehicles over a certain value. Some things do not count toward the limit, which is where strategy matters. Understanding what counts and what does not is the difference between keeping your SSI and losing it.

Key Takeaways

  • SSI recipients can hold up to $2,000 in countable resources (individual) or $3,000 (couple) without losing benefits.
  • Your home, one vehicle, household goods, and certain retirement accounts do not count toward the resource limit.
  • Money in a dedicated account for a specific purpose — such as a Plan to Achieve Self-Support (PASS) account — may not count if you report it correctly to Social Security.
  • If you exceed the limit, you lose SSI for that month only; you do not lose Medicaid in most states, and you can get back on SSI the next month if your resources drop below the limit.

What counts and what does not count toward your resource limit

A countable resource is money or property you own that Social Security counts when deciding whether you stay within the $2,000 limit. Savings accounts, checking accounts, and cash all count. So do stocks, bonds, and most investment accounts. A vehicle counts only if you own more than one; your primary vehicle does not count. Money in a dedicated PASS account (described below) does not count if you set it up correctly and report it to Social Security.

Things that do not count include your home (no matter its value), one vehicle, household goods and personal items, life insurance with a face value under $1,500, and certain retirement accounts like IRAs and 401(k)s. Some states also exclude burial funds up to a certain amount. The key is that Social Security only counts liquid resources — money you can access quickly — not the roof over your head or the car you drive to work.

If you receive a lump-sum payment (a back-pay settlement, an inheritance, a tax refund), it counts toward your resource limit the moment you receive it. You do not have a grace period. This is why many SSI recipients plan carefully before accepting large payments.

How a Plan to Achieve Self-Support (PASS) account works

A PASS account is a separate savings account you set up to save money for a specific work goal — finishing school, starting a business, buying equipment, or paying for training. Money in a PASS account does not count toward your $2,000 resource limit as long as you follow the rules. This is one of the few ways SSI recipients can build savings without losing benefits.

To set up a PASS, you must write a plan describing your work goal, how much money you need, when you will spend it, and how the spending supports your goal. You submit this plan to Social Security for approval before you start depositing money. Once approved, you keep the money separate in its own account and spend it only on things listed in your plan. If you use the money for something else, Social Security may count it against your resource limit retroactively.

PASS accounts require paperwork and ongoing reporting, but they are the legitimate way to save beyond $2,000 while on SSI. You can have only one PASS at a time, and Social Security must approve it before you start. Contact your local Social Security office or a benefits planning organization to help you draft a PASS that Social Security will accept.

What happens if you go over the resource limit

If your countable resources exceed $2,000 in any month, you do not receive an SSI payment for that month. You do not lose the program permanently — you simply do not get paid that month. The next month, if your resources drop back below $2,000, your SSI payments resume. This is different from other benefit programs that may terminate you entirely.

In most states, losing SSI for a month does not mean you lose Medicaid. Medicaid may be able to access is separate from the SSI payment itself, so you can still use your health coverage even if you are over the resource limit. Check with your state Medicaid office to confirm, because a few states tie Medicaid directly to SSI status.

If you know you are about to receive money that will push you over the limit, you have options: spend it on things that do not count (home repairs, a vehicle, medical care), put it into a PASS account, or give it away. Giving money away has tax and legal implications, so talk to a benefits planner before you do it.

How to report changes in your savings to Social Security

You are required to report changes in your resources to Social Security within 10 days of the month in which the change happens. If you receive a large deposit, inheritance, or tax refund, contact your local Social Security office or call 1-800-772-1213 to report it. Do not wait for Social Security to find out on its own — reporting it yourself shows good faith and gives you a chance to discuss options like a PASS account before your benefits are affected.

Social Security may verify your account balances by asking your bank directly, especially if you report a sudden increase. Keep records of deposits and withdrawals so you can explain where money came from and where it went. If you have questions about whether something counts, ask Social Security in writing and keep a copy of your question and their answer.

Strategies for saving while on SSI

If you want to build savings without losing SSI, a PASS account is the primary tool. Beyond that, you can save money by spending it on things that do not count as resources: paying down your mortgage, making home improvements, buying a vehicle, or paying medical bills. These are not "savings" in the traditional sense, but they free up future income that you can then save.

Some SSI recipients use a representative payee (a trusted person who manages their benefits) to help them budget and avoid accidentally going over the limit. Others work with a benefits planning organization, which can help you understand how work income, PASS accounts, and other programs interact with your SSI. These organizations are free and can save you thousands in lost benefits.

If you are working or planning to work, SSI has work incentives that let you keep more of your earnings without losing benefits. These include the Student Earned Income Exclusion (if you are under 22 and a student), the General Earned Income Exclusion, and Impairment Related Work Expenses. These are separate from the resource limit but can help you earn money without hitting it.

State variations in resource limits and exclusions

The federal SSI resource limit of $2,000 applies in most states, but some states run their own supplemental SSI programs with different limits. California, Massachusetts, New York, and a few others have state supplements that may have higher or lower resource limits. If you live in one of these states, contact your state SSI office to learn your specific limit.

Some states also exclude certain resources that the federal program counts. For example, a few states exclude burial funds or vehicles beyond the first one. These variations are not widely publicized, so it is worth asking your local Social Security office whether your state has any special rules that might help you.

Frequently Asked Questions

If I get a tax refund, does it count against my resource limit right away?

Yes. The moment the refund hits your account, it counts as a resource. If it pushes you over $2,000, you lose SSI for that month. Report it to Social Security within 10 days and ask whether a PASS account or spending on non-countable items (like home repair) might help you keep the money without losing benefits.

Can I give money to family members to stay under the limit?

Giving money away can have tax consequences and may be treated as a transfer of resources, which some programs penalize. Before you give away money, talk to a benefits planner or Social Security directly about whether it will affect your SSI or other programs. In some cases it is allowed; in others it is not.

Does my child's savings account count toward my SSI resource limit?

No. Only resources you own or control count toward your limit. If your child has their own account in their name only, it does not affect your SSI. If you are the account owner or have signing authority, it may count.

What if I inherit money while on SSI?

An inheritance counts as a resource the moment you receive it. If it pushes you over $2,000, you lose SSI for that month. You may be able to put it into a PASS account if you have a work goal, or spend it on non-countable items like home improvements. Contact Social Security or a benefits planner before you accept the inheritance to plan your next steps.

Can I open a savings account specifically for emergencies without it counting?

Not unless it is set up as a PASS account with Social Security approval. A regular savings account counts toward your $2,000 limit no matter what you call it or what you plan to use it for. A PASS account is the only way to set aside money for a specific purpose without it counting against your resource limit.