According to the Social Security website:
“Social Security's Representative Payment Program provides financial management for the Social Security and SSI payments of our beneficiaries who are incapable of managing their Social Security or SSI payments.”
Social Security states - “Generally, (we) look for family or friends to serve as representative payees.”…
“When friends or family are not able to serve as payees, Social Security looks for qualified organizations to be representative payees.”
A person (or organization) who is a representative payee helps Social Security beneficiaries in managing their benefits.
What are the duties of a representative payee?
“A representative payee’s responsibilities include: Using benefits to pay for the current and foreseeable needs of the beneficiaries; appropriately saving any remaining benefits; and keeping good records of how you spend the benefits.”
A Representative Payee can be an individual..or it can be an organization (Organizational Representative Payee).
One such organization in Colorado is CFPD (www.cfpd.org)
According the their website: “CFPD was approved as an Organizational Representative Payee (RP or Rep Payee) by the Social Security Administration in 2010, and receives regular audits.”
What does CFPD do?
“CFPD can receive any government benefit payments on behalf of beneficiaries; deposit those funds into a special account; and disburse them based on a personalized budget created with beneficiaries and their support teams.”
There is a charge for their service, allowable by Social Security. The charge comes from the beneficiary’s account (or from the beneficiary’s trust if one exists) each month.
CFPD offers other services for beneficiaries.
Keep in mind that a Representative Payee is not the same as an adult guardianship, although both are not mutually exclusive, and a complete analysis of both is beyond the scope of this article.
Only a court can determine if an adult needs a guardian. In Colorado – “The Court may appoint a guardian for an adult with or without restrictions when the Respondent *is determined to be incapacitated.**”…
* Respondent is a person for whom the appointment of a Guardian is required. A Ward is a person for whom a Guardian has been appointed.
**“An incapacitated adult is defined (by the Court) as one who is unable to effectively receive or evaluate information or both or make or communicate decisions to such an extent that the individual lacks the ability to satisfy essential requirements for physical health, safety, or self-care, even with appropriate and reasonably available technological assistance.”
Note: Application for Guardianship is a legal process and best handled with the help of a legal professional.
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