since ssi’s monthly cash payments are meant to pay for food and shelter, contributions from others for such living expenses may reduce ssi or could disqualify the beneficiary completely. when an individual receiving or applying for ssi is receiving assistance from a third party for food or housing, it’s considered in-kind support and maintenance (ism). if the individual is receiving both complete food and shelter expenses from the third party, the ssi benefits for which they would otherwise be eligible will be reduced by one-third. however, if an individual receiving ssi is paying reasonable rent in order to live with relatives in a complete unit considered separate from the others, a separate household has been established and ism isn’t applicable. in others, ism has been applied if the individual lacked a separate area for the storage, preparation and consumption of food. to avoid ism, families should put in place a written rental agreement, covering the individual’s proportional share of household operating expenses and, if applicable, food.

it is important to put loan agreements in writing before the loan begins. ideally, all loan agreements should be signed and dated before the loan starts. before applying for ssi, she signs a rental agreement with her mother to rent a room in the house. contract law varies by states, so if there is not a signed agreement before the loan began, ssa may consider the laws in your state.