On November 21, 2012, the Ministry of Social Development (MSD) announced the first phase of annualized earnings exemptions for people who are receiving the Persons with Disabilities (PWD) benefit. The idea of an annualized earnings exemption was proposed by a number of disability groups. The BC Coalition of People with Disabilities is pleased that MSD has acted on this recommendation.

The annual earnings exemptions will be phased in over the next year. In the first phase, which goes from January 1, 2013 to December 31, 2013, 5,000 people receiving PWD will be invited to participate. In the second phase, starting in January 2014, the annual earnings exemptions will be available to everyone receiving PWD.

As noted, only about 5,000 people will be part of the first phase of the new annualized earnings exemption. They will be receiving a letter from MSD in the near future, inviting them to participate in the new program. Participation is optional. According to MSD, participants in the first phase must have:

• Had the PWD designation for at least the past 12 months
• Received PWD in at least the past two consecutive months
• In at least one of the past 12 months, had earnings over $500 for families with one adult receiving PWD and $750 for families where both adults are receiving PWD.

These are the annualized earnings exemptions maximums, announced by MSD for the period of January 1^st to December 31^st:

• $9,600 for one-adult families, where the adult is receiving PWD
• $12,000 for two-adult families, where only one adult is receiving PWD
• $19,200 for two-adult families, where both adults are receiving PWD

For more information:

The link to the provincial government’s news release on the annualized earnings exemption is: http://www2.news.gov.bc.ca/news_releases_2009-2013/2012SD0029-001829.htm

You can also contact Advocacy Access at 604-872-1278 or toll free 1-800-663-1278

In June, the Ministry of Social Development (MSD) announced a number of changes to the welfare regulations that will affect people on income and disability assistance. These changes are generally positive steps that include such things as increasing the asset limits and earnings exemptions for most people on assistance. Unless otherwise indicated, these changes take effect October 1, 2012

On July 3, the Minister of Social Development announced that funding for some of the medical equipment and supplies that was cut in April 2010 would be restored. These changes will be implemented in October 2012

Listed below are the new rules and benefits that impact people on disability assistance (PWD):

New medical items that will be covered by MSD: Ventilator supplies, Bariatric Scooters, Standing frames, Positioning Chairs, Non-conventional glucose meters, Inhaler accessory devices, Apnea monitors, Toe orthoses, Underliners for orthoses, Syringes for medication, A second floor-to-ceiling pole, Foot abduction orthosis, Transfer aids, Positioning items on a bed, Tracheostomy supplies, Nebulizers, Humidifiers for tracheostomy patients.

New exemptions and limits for PWD

• Increasing the asset limits for individuals to $5,000 (up from $3,000)
• Increasing the asset limits for couples and families to $10,000 (up from $5,000)
• Increasing the earnings exemption for singles on PWD to $800 per month (up from $500)
• Increasing the earnings exemption for couples who both have the PWD designation to $1,600 per month (up from $750)
• Increasing the non-discretionary trust exemption lifetime limit to $200,000 (up from $100,000)
• Increasing the trust disbursement exemption for “promoting independence” to $8,000 per year (up from $5,484) and allowing the person on PWD to decide how this money can be spent to promote their independence (rather than MSD)
• Exempting income tax refunds (previously tax refunds have been exempt to the earning exemption limit)
• Reducing the wait period for earnings exemptions to one month for new applicants, and eliminating the waiting period for PWDs returning to assistance (previously the wait period has been 3 months)

About the earnings exemption

It should be noted that recipients can take advantage of the new earnings exemption as early as August 2012. For example, if someone on PWD earns $700 in August 2012, they are required to report the income on their cheque stub that must be returned to MSD by September 5, 2012; then the new earnings exemption of $800 is applied by MSD to their October disability assistance cheque (sent out in the last week of September) which means that there would be no deductions as $700 is under the new exemption limit.

Furthermore, MSD has agreed to consult with the BCCPD and other members of the Disability Without Poverty Network on a new annual earning exemption for PWDs that will be introduced next year. An annual exemption benefits people who earn high amounts over a short period of time.

Other changes in welfare regulations

Additional changes announced by MSD include:

• Mandatory income tax filing starting in 2013 – there will be exemptions for those who are at risk, such as fleeing an abusive spouse
• For people on basic income assistance, a new $200 per month earnings exemption
• For families with children, an increase in the annual school start up supplement (effective July 1, 2012)
• Extended work search requirements for new applicants for basic income assistance who are able to look for work. This period will be 5 weeks instead of 3 weeks

For more information

The link to the provincial government’s news release and backgrounder on restoring medical equipment and supplies is: http://www2.news.gov.bc.ca/news_releases_2009-2013/2012SD0016-000962.pdf

The link to the news release and backgrounder on changes to earnings exemptions, asset limits, and other regulations is: http://www2.news.gov.bc.ca/news_releases_2009-2013/2012PREM0079-000835.htm

Or, you can contact Advocacy Access at 604-872-1278 or toll free 1-800-663-1278

The Minister of Social Development, Stephanie Cadieux, made a surprise announcement today that the provincial government is restoring funding for medical equipment and supplies for people on income and disability assistance. In April 2010, a wide range of medical equipment and supplies were cut from the MSD’s health benefit program. Starting October 2012, MSD will now fund items such as: ventilator supplies, positioning chairs, syringes for medication delivery and transfer aids. For a list of items, see the provincial government’s news release and backgrounder: http://www2.news.gov.bc.ca/news_releases_2009-2013/2012SD0016-000962.pdf