1610.What is the usual order of preference in selecting a payee for a beneficiary age 18 or over?

1610.1What is the usual order of preference in selecting a payee for a beneficiary age 18 or over?

The usual order of preference in selecting a payee for a beneficiary age 18 or over is:

  1. A spouse, parent or other relative with custody or who shows strong concern;

  2. A legal guardian/conservator with custody or who shows strong concern;

  3. A friend with custody;

  4. A public or nonprofit agency or institution;

  5. A Federal or State institution;

  6. A statutory guardian (see GN 00502.139);

  7. A voluntary conservator (see GN 00502.139);

  8. A private, for-profit institution with custody and is licensed under State law;

  9. A friend without custody, but who shows strong concern for the beneficiary’s well-being, including persons with power of attorney;

  10. Anyone not listed above who is qualified and able to act as payee, and who is willing to do so;

  11. An organization that charges a fee for its service.

1610.2What is the usual order of preference in selecting a payee for a beneficiary age 18 or over who has a substance abuse condition?

The usual order of preference in selecting a payee for a disabled beneficiary who has a substance abuse condition is:

  1. A community-based nonprofit social service agency bonded and licensed (if required) by the State;

  2. A Federal, State or local government agency whose mission is to carry out income maintenance, social service, or health care-related activities;

  3. A State or local government agency with fiduciary responsibilities;

  4. A designee of an agency (other than of a Federal agency) referred to above, if appropriate; or

  5. A family member who demonstrates strong concern and is able and willing to exercise adequate supervision of the beneficiary’s behavior.

1610.3Who is selected if the preferred payees are not available for a beneficiary age 18 or over who has a substance abuse condition?

When none of the preferred payees are available, select the best payee from this list of alternate sources:

  1. A legal guardian with custody or who shows strong concern for the beneficiary’s well-being;

  2. A relative or friend with custody who shows strong concern for the beneficiary’s well-being;

  3. A public or nonprofit agency or institution with custody;

  4. A private, for-profit institution with custody and is licensed under State law; or

  5. Anyone not listed above who is qualified and able to act as payee, and who is willing to do so.

Last Revised: Aug. 1, 2011