PASS in 2026: Plan to Achieve Self Support, How to Set Aside Income, and Keep SSI While Working Toward a Job or Business

By Anthony Albert, Benefits Research Director - Updated April 30, 2026

If you're on SSI and want to work, start a business, go to school, or shift into a different career, there's a Social Security work incentive most people on SSI have never heard of. It's called PASS, short for Plan to Achieve Self Support, and it lets you set aside income and resources toward a specific work goal without those funds counting against your SSI.

That's the part that catches people off guard. Normally, every dollar of SSDI, wages, savings, or family money chips away at your SSI check. PASS flips that. With an approved PASS plan, the money you set aside for school, equipment, transportation, child care, or business start-up doesn't count as income or as a resource for SSI purposes. You get to keep the SSI you'd otherwise lose, and you get a path toward a job that could end your need for benefits altogether.

PASS isn't new. SSA has had it on the books for decades. But almost nobody uses it. As of 2025 only about 700 people had active PASS plans, in a country with 7 million SSI recipients. That's because the application is detailed, the rules are unforgiving, and most local SSA staff don't talk about PASS unless you bring it up first.

Here's how PASS actually works in 2026, who qualifies, what you can use it for, how to write a plan that gets approved, and where most people slip up.

What PASS Is

PASS stands for Plan to Achieve Self Support. It's a written plan you submit to SSA that describes a specific work goal, the steps you'll take to reach it, the items and services you need, where the money will come from, and how long the plan will run.

If SSA approves the plan, the income or resources you've set aside don't count when SSA figures your SSI eligibility or payment amount. That's the whole point. You can sock away SSDI checks, wages from a part-time job, a spouse's income, or savings without losing your SSI.

The work goal has to lead somewhere. SSA wants to see that the goal will reduce or eliminate your need for SSI, SSDI, or both. That doesn't mean the job has to pay six figures. It just has to pay enough that your dependence on benefits drops meaningfully when you reach the goal.

Approved PASS expenses can include school tuition, books, supplies, equipment, tools, transportation, child care, uniforms, assistive technology, business start-up costs, and the cost of services like vocational rehabilitation that aren't already covered by another program.

Who Qualifies for PASS

You qualify for PASS if you meet all of these:

• You receive SSI, or you'd be eligible for SSI based on disability if not for your income or resources.
• You have income other than SSI itself, or assets you can set aside.
• You have a specific work goal that's reasonable and achievable.
• Reaching that goal will reduce or end your need for SSI or SSDI benefits.

The income or assets being set aside can come from SSDI, wages, self-employment, retirement savings, a settlement, or a spouse's income. SSI itself can't be set aside in a PASS. The whole point is that the SSI keeps coming while you redirect other money toward the work goal.

If you're SSDI-only and your benefit is high enough that it disqualifies you from SSI, PASS is one of the cleanest ways to qualify for SSI. By setting aside SSDI under an approved PASS, your countable income drops below SSI limits, and you start receiving an SSI payment too. That makes you eligible for Medicaid in most states, which is often more important than the cash itself.

What PASS Money Can Pay For

SSA approves PASS expenses that have a clear connection to the work goal. The list of common approved expenses is broad.

• School tuition and fees
• Books, supplies, lab fees, software
• Vocational training programs
• Job coaching and supported employment services
• Tools, equipment, and machinery for self-employment
• Computers, tablets, and accessibility software
• Vehicle modifications for accessibility
• Transportation to school, training, or business meetings
• Child care during school or training hours
• Uniforms or specific clothing required for the work goal
• Assistive technology like screen readers, hearing aids, or mobility aids
• Business start-up costs (inventory, licensing, professional services, marketing)
• Operating expenses for a small business during start-up

What PASS won't pay for: ordinary living expenses (rent, food, utilities), recreation, debt unrelated to the work goal, things you'd buy anyway whether or not you had a work goal, or expenses already covered by another program like Vocational Rehabilitation or a Medicaid waiver. SSA expects you to pursue free or covered services first and only ask PASS to fund the gaps.

How PASS Protects Your SSI

The math behind PASS is the part that surprises people once they see it work.

Imagine you receive $1,200 a month in SSDI. That SSDI normally counts as income for SSI purposes, and at $1,200 a month you're far above the SSI income limits. You'd get zero SSI.

Now you set up a PASS that lets you put $1,000 a month of that SSDI into a separate account toward business start-up costs over 24 months. With an approved PASS, SSA doesn't count the $1,000 you've set aside. Only $200 of your SSDI counts as income. After the $20 general income exclusion, your countable unearned income is $180. The 2026 federal benefit rate is $994 a month. You'd receive $814 in SSI on top of the $1,200 SSDI ($994 minus $180), and the $1,000 a month in your PASS account funds your business goal.

Total income flowing in: SSDI $1,200 + SSI $814 = $2,014, plus $24,000 over 24 months in your PASS account toward the business. Without PASS you'd have $1,200 in SSDI and nothing else. With PASS you have $814 a month more in cash plus a fully funded path to a working business.

You also get Medicaid in most states because SSI eligibility usually triggers automatic Medicaid eligibility, which can be worth more than the cash benefit itself for someone with significant medical needs.

The same principle applies to wages. If you start working and earning enough that your SSI would normally drop or stop, an approved PASS can let you set aside the wages toward an even better job goal. You keep more of your SSI while building toward the next career step.

Resources Are Excluded Too

PASS doesn't only protect income. Resources you set aside under an approved PASS don't count toward the SSI resource limit either. The SSI resource limit is $2,000 for individuals and $3,000 for couples in 2026.

So if you've inherited $30,000 and want to use it to start a business, a PASS can let you keep that $30,000 over the run of the plan without losing SSI. Without PASS, the inheritance would knock you off SSI immediately because you'd be over the resource limit. PASS keeps it in a separate, dedicated account that doesn't count.

This is one of the reasons PASS pairs well with the new ABLE Age Adjustment Act eligibility (now extended through age 46) for younger working-age people who want to ramp up self-employment.

Step by Step: Writing a PASS That Gets Approved

The PASS application is Form SSA-545-BK, available on SSA.gov or at any local field office. The form looks short but PASS Specialists evaluate the plan against detailed criteria.

Define a specific work goal

"Get a job" doesn't work. "Become a licensed cosmetologist working at a salon in Denver" works. "Start a freelance graphic design business specializing in real estate marketing materials" works. The goal needs an occupation, an industry context, and enough specificity that SSA can evaluate whether your plan would actually get you there.

Self-employment goals require a separate business plan in addition to the PASS form. SSA's POMS section SI 00870.026 spells out what the business plan has to cover: title page, table of contents, business description, marketing, competition, operations, financial plan, and supporting materials. SSA can't fund a vague side hustle. They want a real plan.

Build the timeline

List every step from where you are now to where you'll be when you reach the goal. Each step needs a duration. Realistic durations matter. SSA approves plans that match the actual time required for the training, certification, or business ramp-up.

A PASS plan can run from a few months to several years. There's no hard cap, but plans longer than 48 months get extra scrutiny.

Itemize the expenses

Each expense needs a description, a quantity, a unit cost, a vendor, and a connection to the work goal. SSA cross-checks vendor pricing. Inflated estimates kill plans. So do generic round numbers.

If you're listing $5,000 for a laptop, list the model, the seller, and the actual price. If you're listing $1,200 for transportation, show the bus pass cost or the gas budget tied to specific commute distances.

Identify the funding source

This is the part that tells SSA what to exclude from countable income or resources. Show how much SSDI, how much wages, how much from savings or a settlement will go into the PASS account each month or as a lump sum.

The funding source has to be money you actually have or will have during the plan. Don't list income you hope to earn but haven't started. Don't list assets you don't actually own.

Show how the goal pays off

SSA wants to see that the work goal would meaningfully reduce or end your need for SSI or SSDI. Use realistic post-goal earnings. Show that the reduced benefit need plus your wages adds up to a better financial outcome than just staying on SSI.

For self-employment, this means showing projected business income that would let you cover your expenses without SSI. SSA's SI 00870.006 spells out the financial test the business plan has to meet.

Submit and wait for review

Send the completed Form SSA-545-BK to your local Social Security field office. The local office routes it to a regional PASS Cadre. PASS Specialists are dedicated reviewers who handle nothing but PASS plans.

Initial review usually takes 30 to 60 days. The PASS Specialist may call you to discuss adjustments. Most plans need at least one round of revisions. If the plan needs major changes, the Specialist works with you rather than denying outright.

Open a separate account

Once approved, set up a dedicated bank account for PASS funds. Don't mix PASS money with regular savings or checking. SSA requires the account to hold only PASS-designated funds, and you have to be able to show payments coming in and going out for approved expenses.

Track everything

Keep receipts for every PASS expense. Keep bank statements showing the deposits and withdrawals. Annual progress reviews require documentation. Lost receipts mean SSA might recharacterize money as a regular resource, which can blow up your SSI.

Submit annual progress reviews

SSA reviews each PASS annually. The PASS Cadre confirms you're following the plan, hitting milestones, and spending money on approved items. You'll send tax returns if you've been earning, plus receipts for the year's PASS expenses.

Coordination With Other Work Incentives

PASS works alongside most of SSA's other work incentives. Knowing how they stack helps maximize what you keep.

Ticket to Work pairs naturally with PASS. Your Ticket to Work provider (an Employment Network or State Vocational Rehabilitation) can help you write the PASS plan in the first place. Once your PASS is approved, having an active Ticket can also protect you from medical Continuing Disability Reviews. Our Ticket to Work 2026 article covers the CDR protection mechanics.

Trial Work Period and SGA. PASS-set-aside earnings still count toward the Trial Work Period (which is an SSDI rule, not an SSI rule). SGA also still applies to SSDI eligibility. PASS protects your SSI, but the SSDI rules run on parallel tracks. Plan for both. Our SGA 2026 article walks through 2026 limits ($1,690 non-blind / $2,830 blind).

Impairment Related Work Expenses (IRWEs). For SSI you can claim IRWEs that are also disability-related. For PASS expenses, you don't get to double-claim them as IRWEs. They're either PASS or IRWE, not both.

1619(b) extended Medicaid. If you've earned enough to lose your SSI cash payment but you'd lose Medicaid as a result, 1619(b) lets you keep Medicaid in most states up to a state-specific income threshold. PASS-protected income doesn't count toward the 1619(b) threshold either, which can keep Medicaid in place even longer.

ABLE accounts. ABLE distributions are a separate tool. PASS sets aside income toward a specific work goal during a specific timeframe. ABLE saves for broader disability-related expenses without the work-goal requirement. Many people use both. Our ABLE 2026 article covers ABLE rules and contribution limits.

Common Mistakes That Kill PASS Plans

People lose PASS approvals for predictable reasons. The biggest ones:

Vague work goals. "Find a remote job" or "work from home" doesn't qualify. The goal needs to be a specific occupation in a specific industry. Self-employment goals need a specific business with specific products or services.

Unrealistic timelines. A 12-month plan to become a registered nurse isn't credible. RN programs run 2 to 4 years. SSA cross-checks training durations against published program lengths. Set timelines that match what the training actually takes.

Inflated expenses. Listing $4,000 for a laptop when comparable models sell for $1,200 gets the line denied or revised. Use real prices from real vendors.

Mixing PASS funds with personal savings. Keep the dedicated account dedicated. Putting personal money into the PASS account, or pulling PASS money for non-PASS expenses, creates traceability problems that SSA flags fast.

Skipping the business plan. Self-employment PASS plans without a real business plan get denied. The business plan isn't optional. SI 00870.026 lays out exactly what the plan needs to cover.

Counting expenses already covered by VR or another program. If your state Vocational Rehabilitation agency is paying for tuition, you can't ask PASS to pay the same tuition. Show what VR or other sources will cover and only ask PASS to fund the gap.

Forgetting annual reviews. Missing the annual review or showing up with no receipts is the fastest way to lose PASS approval. Track expenses month by month so the annual review is straightforward.

Setting up PASS without the right Specialist. PASS Cadre Specialists vary by region. The PASS Cadre locator is at ssa.gov/disabilityresearch/wi/passcadre.htm or through 1-800-772-1213. Working with a Specialist before you submit speeds up approval significantly.

Working With a PASS Specialist

PASS Cadre Specialists exist specifically to help with PASS plans. The Cadre is a small group of SSA staff who only review PASS applications. They're the people most familiar with the rules.

You can talk to a Cadre Specialist before submitting a plan. Call 1-800-772-1213 and ask for the PASS Cadre Specialist for your region, or look up the regional contact at ssa.gov/disabilityresearch/wi/passcadre.htm.

Bring a draft of your work goal, your expense list, and your funding source. The Specialist can flag problems before you submit. The local field office handles the SSA-545-BK paperwork, but the Cadre is who decides whether the plan gets approved.

Where to Get Help Writing a PASS

You don't have to write a PASS alone. Several free resources exist:

• Work Incentives Planning and Assistance (WIPA) programs. Federally funded, free, and trained specifically on SSI and SSDI work incentives including PASS. Find your local WIPA at choosework.ssa.gov or by calling 1-866-968-7842.
• State Vocational Rehabilitation (VR) agencies. Most state VRs have benefits counselors who help with PASS. California's DOR, Texas TWC-VR, New York ACCES-VR, Florida DVR, Pennsylvania OVR, and other state VR agencies provide free benefits counseling.
• Protection and Advocacy for Beneficiaries of Social Security (PABSS). Each state has a PABSS program funded by SSA. They can help with PASS and represent you if a PASS gets denied.
• Employment Networks under Ticket to Work. Many ENs have benefits counselors on staff.
• Local Centers for Independent Living. Disability-led organizations that often have benefits counselors trained on PASS.

What Happens When the PASS Ends

PASS plans run for a defined period, usually tied to the work goal timeline. When the plan ends, three things can happen.

If you reached the goal and your earnings now cover your expenses, your SSI usually phases out. You may stay on Medicaid through 1619(b) for a while, but the cash benefit ends because your earnings are too high. That's the whole point of the program.

If you reached the goal but earnings are lower than projected, the PASS-set-aside income converts back to countable income. Your SSI recalculates. You might still get reduced SSI payments, or SSI might end, depending on the exact math.

If you didn't reach the goal, SSA reviews what happened. If circumstances changed (medical worsening, training program closed, vendor failed), the Cadre can extend the plan or modify it. If you simply stopped working the plan, the Specialist may close it and reclassify the set-aside money as countable, which can trigger an overpayment.

Real Example: Self-Employment PASS

Maria gets $1,400 a month in SSDI for a back injury that ended her job in nursing. She wants to start a medical billing business from home. She has $8,000 in savings from a settlement.

She writes a PASS with a 24-month timeline. The plan covers:

• Medical billing certification course: $3,200 (online program, 6 months)
• Computer and second monitor: $1,800
• Practice management software: $400 a year
• Business license, insurance, professional fees: $1,500
• Marketing and website: $2,500
• Office equipment (printer, scanner, ergonomic chair): $1,800
• Operating reserve for first 6 months of business: $6,000

Total plan cost: about $17,200 over 24 months.

Funding sources: $8,000 from her savings plus $400 a month from her SSDI ($9,600 over 24 months) for a total of $17,600.

Once approved, SSA excludes the $8,000 from her resource count and excludes $400 a month of her SSDI from her countable income. Her countable SSDI drops from $1,400 to $1,000 a month. After the $20 general income exclusion, $980 counts. Her SSI math: $994 federal benefit rate minus $980 equals $14 SSI a month plus 1619(b) Medicaid.

Maria's setup: $1,400 SSDI plus $14 SSI plus full Medicaid plus a fully funded path to a billing business. Without PASS she'd have $1,400 SSDI and nothing else, plus the savings would be slowly depleted on living costs without any business to show for it.

State and Local Considerations

PASS rules are uniform federally, but a few state factors matter.

State supplementary payments (SSPs) interact with PASS the same way they interact with SSI. California's SSP kicks in alongside SSI, so PASS-protected SSI flows through to higher SSP. Same for New York, Massachusetts, Connecticut, and other SSP states.

Medicaid 1619(b) thresholds vary by state. In high-threshold states like Connecticut and Hawaii you can earn more before losing extended Medicaid. PASS extends the working period before 1619(b) thresholds matter, but knowing your state's number helps with long-range planning.

Vocational Rehabilitation agencies vary in how they coordinate with PASS. Some VR offices know PASS well and integrate it into the Individual Plan for Employment. Others have never written one. Ask early in the VR process.

2026 Updates Worth Knowing

PASS itself didn't change in 2026, but a few related changes affect how PASS sits in the broader work-incentive picture:

• The federal benefit rate is $994 a month for individuals (up from $943 in 2024 and $967 in 2025).
• SGA is $1,690 (non-blind) and $2,830 (blind).
• Trial Work Period threshold is $1,210 a month or 80+ hours of self-employment.
• The September 2024 SSI rules removing food from ISM and adding SNAP to public assistance household stay in full effect for 2026.
• The ABLE Age Adjustment Act took effect January 1, 2026, opening ABLE to people whose disability began before age 46.

None of those change PASS mechanics directly, but they shift how a PASS plan plays out alongside other rules. Higher SGA gives more room for the post-goal job to pay well without ending SSDI. ABLE-46 means more people can pair PASS with an ABLE account.

Putting It All Together

PASS is one of the most underused tools in the SSI program. The application takes work and the rules are picky, but the payoff is real. People who use PASS keep their SSI while funding training, equipment, and start-up costs that would otherwise be impossible to afford on a fixed income.

The right starting move is talking to a free benefits counselor. WIPA, state VR, PABSS, Ticket to Work providers, and Centers for Independent Living all employ counselors who know PASS. They can help you decide whether PASS fits your situation, and if it does, they can walk you through the SSA-545-BK form and the business plan if you need one.

If you're sitting on SSDI plus assets and assuming SSI is out of reach, PASS may be exactly the route you're missing. The math often works out better than people expect once you see it on paper.

FAQ

What does PASS stand for?

PASS stands for Plan to Achieve Self Support. It's a written plan you submit to SSA on Form SSA-545-BK that lets you set aside income or resources for a specific work goal. SSA doesn't count the set-aside money when calculating your SSI eligibility or payment, so you keep more SSI while building toward a job, business, or training that ends your need for benefits.

Who qualifies for a PASS plan?

You qualify if you receive SSI or could be eligible for SSI based on disability and you have income other than SSI or assets you can set aside for a work goal. The work goal has to be specific, achievable, and likely to reduce or eliminate your need for SSI or SSDI. SSDI-only recipients with too much income for SSI often use PASS to qualify for SSI by setting aside their SSDI.

What can PASS money pay for?

PASS funds can cover school tuition, books, vocational training, tools and equipment, business start-up costs, computers and accessibility software, transportation, child care during training, uniforms, assistive technology, and operating expenses for a new business. PASS won't cover ordinary living expenses like rent and food, recreation, or anything already covered by Vocational Rehabilitation or another program.

How long does it take to get a PASS approved?

Initial review usually takes 30 to 60 days after submission. Most plans need at least one round of revisions, which extends the timeline by another few weeks. Plans for self-employment goals usually take longer because they require a separate business plan that the PASS Cadre Specialist reviews against detailed criteria. Working with a free benefits counselor through WIPA before submitting speeds up approval significantly.

How does PASS protect SSI?

Income or resources you set aside under an approved PASS don't count when SSA calculates your countable income or resources for SSI. So if you set aside $1,000 a month of SSDI for a PASS, that $1,000 doesn't reduce your SSI. The same applies to wages, savings, settlements, and other income. The result is higher SSI payments while you build toward the work goal, plus continued Medicaid eligibility in most states.

Can I have a PASS and work at the same time?

Yes. PASS is designed for people who are working or moving toward work. You can be employed, self-employed, or in training while a PASS is active. PASS pairs naturally with other work incentives like Ticket to Work, Trial Work Period, IRWEs, and Section 1619(b) extended Medicaid. The wages or earnings you set aside in your PASS don't count against SSI, and they help fund the next step in your work goal.

Where do I get help writing a PASS?

Free help is available from WIPA programs (1-866-968-7842 or choosework.ssa.gov), State Vocational Rehabilitation agencies, Protection and Advocacy for Beneficiaries of Social Security (PABSS), Ticket to Work Employment Networks, and Centers for Independent Living. SSA's PASS Cadre Specialists can also discuss your draft plan before submission. Call 1-800-772-1213 and ask for the PASS Cadre Specialist for your region.