Food Stamps: Social Insurance Or Welfare?

Food stamps, now known as the Supplemental Nutrition Assistance Program (SNAP), are not considered social insurance. SNAP is a federal program that provides monthly benefits to low-income households to enhance their food budgets and help them make healthy, self-sufficient food choices. SNAP is administered by state agencies, and eligibility is based on income and resources. Seniors and individuals with disabilities may be eligible for SNAP if their net income is at or below the federal poverty line and their assets do not exceed a certain threshold.

Food stamps and eligibility for other government programs

Food stamps, now known as the Supplemental Nutrition Assistance Program (SNAP), is a federal nutrition assistance program that provides monthly benefits to low-income households to enhance their food budgets. SNAP is not considered a social insurance program. However, eligibility for SNAP can affect eligibility for other government programs.

Eligibility for Other Government Programs

SNAP is a federal program, but it is administered by state agencies, and eligibility requirements can vary by state. In most states, eligibility for SNAP is based on income and resources. To qualify for SNAP benefits, most applicants must meet limits on gross income (before deductions) and net income (after deductions), as well as limits on countable resources. Seniors over 60 years old and applicants with disabilities only have to meet the net income limit, and they have a higher limit on countable resources.

Eligibility for SNAP can affect eligibility for other government programs, and vice versa. For example:

• In most states, if you are an SSI (Supplemental Security Income) recipient, you may be automatically eligible for Medicaid, and your SSI application will also serve as a Medicaid application.
• If you are receiving TANF (Temporary Assistance for Needy Families) payments, you will only receive SSI payments if you are an adult or child who is blind, has a qualifying disability, or is 65 or older.
• If you are receiving SNAP benefits, you can still receive Social Security benefits. In fact, almost half of SNAP recipients also receive Social Security benefits.
• SNAP benefits count in computing eligibility for other government programs. For example, in some states, the SSI application may serve as a SNAP application if the individual lives alone.

Income limits for food stamps

Food stamps are now provided under the federal Supplemental Nutrition Assistance Program (SNAP), which is administered by the United States Department of Agriculture (USDA). Food stamp eligibility is based on income and resources.

To be eligible for SNAP benefits, most applicants must meet limits on gross income (before deductions) and net income (after deductions). Gross income refers to a household's total, non-excluded income before any deductions have been made. Net income is gross income minus allowable deductions.

The income limits for SNAP are updated annually. For the period of October 1, 2023, through September 30, 2024, the gross monthly income limit was 130% of the federal poverty guidelines for the previous year. After certain allowed deductions, the net monthly income could not exceed 100% of the poverty standard.

For example, in 2004, the gross monthly income limit for SNAP was $973 for a single individual and $1,313 for two persons. The net monthly income limit was $845 for a single individual and $1,180 for two persons.

However, households with elderly or disabled members only have to meet the net income limit. For the period of October 1, 2023, through September 30, 2024, the net monthly income limit was $1,084 for a household of two people, both of whom are elderly or disabled.

Countable Resources

In addition to income limits, there are also limits on countable resources to be eligible for SNAP. Countable resources include cash or money in a bank account, and certain vehicles. The limit on countable resources is generally $2,750, but this is higher if at least one member of the household is age 60 or older, or is disabled. In this case, the limit is $4,250.

However, certain resources are not counted towards the limit, including:

• Resources of people who receive Supplemental Security Income (SSI)
• Resources of people who receive Temporary Assistance for Needy Families (TANF)
• Most retirement and pension plans

Countable resources for food stamps

The Supplemental Nutrition Assistance Program (SNAP), formerly known as the Food Stamp Program, provides monthly benefits to increase food security and help low-income households make nutritious food choices.

Countable resources are used to determine whether a household passes the Resource Test. Countable resources refer to the value of all assets that are available and not explicitly excluded. Assets are available if a household member has both the legal authority and the actual ability to use the assets for self-support.

Countable resources have either a cash value (liquid) or an equity value (non-liquid). Liquid assets include cash-on-hand, uncashed checks, and money in checking accounts or credit unions. Non-liquid assets include certificates of deposit, stocks or bonds, and pension plans.

Certain resources are not counted when determining eligibility for SNAP, including:

• Resources of people who receive Supplemental Security Income (SSI)
• Resources of people who receive Temporary Assistance for Needy Families (TANF)
• Most retirement and pension plans

The current countable resource limits for SNAP are $2,750 for households without a member aged 60 or older or with a disability, and $4,250 for households with such a member. These amounts are updated annually.

Applying for food stamps

Secondly, you need to contact your local or state SNAP office to obtain and fill out an application form. You can usually find this information online, but if not, you may need to visit or call the office. Depending on your state, you may be able to apply online, in person, by mail, or by fax.

Thirdly, you may need to participate in an interview, either in person or over the phone, where you will be asked to provide proof of your financial eligibility. This process must be completed within 30 days of submitting your application, and you will be notified of your eligibility status. If approved, you will receive an Electronic Benefits Transfer (EBT) card, which works like a debit card and is automatically refilled with your SNAP benefits each month.

Food stamps for seniors

Food stamps, now known as the Supplemental Nutrition Assistance Program (SNAP), are available to seniors and others who receive Social Security. The SNAP program is a federal program that provides monthly benefits to enhance the food budgets of families in need, so they can make healthy, self-sufficient food choices.

Eligibility for Seniors

Seniors over 60 years old and applicants with disabilities only have to meet the net income limit, which is set at the federal poverty line (FPL) and varies by state. Their limit on countable resources is also higher than for other applicants—$4,250 for seniors, compared to $2,750 for other households. Countable resources include bank accounts and some vehicles. However, homes, Social Security income, and most retirement or pension plans are not considered countable resources.

Applying for SNAP

Although SNAP is a federal program, it is administered by state agencies, so the application process differs for each state. To apply, you must fill out an application form from your local SNAP office, which will be processed within 30 days. During that time, you'll have an interview in which you'll provide proof of your financial eligibility. If you are accepted into the SNAP program, your benefits will begin based on the day your application was received.

SNAP Benefits

Your SNAP benefit depends on the size of your household and your monthly income, and you are expected to spend 30% of your own income on food. Your monthly benefit is calculated by the maximum allotment for the size of your household minus the amount of that 30%. Benefits are provided through an Electronic Benefit Transfer (EBT) card, which works like a debit card and can be used at participating grocery stores.

Frequently asked questions