What Are the Advantages of a Payee Social Security Program?


Quick Answer

Advantages of the Social Security Representative Payee Program are that it ensures that the recipient's basic needs are addressed prior to other expenditures. Basic needs include food, housing, clothing and medical care not otherwise covered.

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Full Answer

The program encourages payees to assist the recipient in other ways as well, such as reporting changes in residence and helping them access needed medical services. The payee program enables individuals to live independently and safely within their income. It minimizes risks related to financial management for those suffering from mental illness, dementia, drug or alcohol addiction and those with physical conditions that increase their vulnerability to exploitation.

Payees work within the boundaries of Social Security regulations. Social Security requires a separate bank account for the management of the recipient's funds, accurate record keeping and reporting of all transactions and maintenance of a savings account for any excess funds. It is the payee's responsibility to ensure that all the recipient's basic needs are met while providing the recipient with discretionary funds, as possible, for entertainment and other personal needs.

Social Security usually appoints a family member or friend as payee and requires that all payees complete an application and interview prior to being appointed a payee.

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