TN 25 (05-95)

Citations:

Social Security Act—Sec. 1612(a)(1)(D) ;

Regulations—20 CFR 416.1110(d) ; 416.1111(c)

A. Policy

Payments for services performed in a sheltered workshop or work activities center are what an individual receives for participating in a program designed to help him/her become self-supporting.

Payments for such services are a type of earned income.

Payments for such services are counted when received or when set aside for an individual's use.

B. Definitions

1. Sheltered workshop

A sheltered workshop is a nonprofit organization or institution whose purpose is:

• to carry out a recognized program of rehabilitation for handicapped workers; and/or

• to provide such individuals with remunerative employment or other occupational rehabilitating activity of an educational or therapeutic nature.

2. Work activities center

A work activities center is:

• a sheltered workshop, or

• a physically separated department of a sheltered workshop having an identifiable program, and separate supervision and records.

A work activities center is planned and designed exclusively to provide therapeutic activities for handicapped workers, whose physical or mental impairment is so severe as to make their productive capacity inconsequential.

3. Therapeutic activities

Therapeutic activities are custodial activities (such as activities where the focus is on teaching the basic skills of living), and any purposeful activity so long as work or production is not the main purpose.

C. Procedure

Follow SI 00820.115 - SI 00820.150 to develop, document, verify and estimate remuneration for services performed in a sheltered workshop or work activities center program.

NOTE: If there is any doubt that a sheltered workshop or work activities center is involved, contact the organization for verification.

For receipt of cash or items which are not remuneration for services and therefore are not earned income, see SI 00810.005 regarding whether items of this type meet the basic definition of income for SSI purposes. If so, develop such income as unearned income (SI 00830.001 ff.).

D. References

Sheltered Workshop Reporting NY MWV - New York Monthly Wage Verification Application (NY MWV)