FAIM FAQs: Family assets for Independence in Minnesota

What is earned income?
Earned income is income that comes from employment (self-employment included).

 

Will this affect any other program eligibility?
Federal law states there will be no reduction in benefits as a result of savings from FAIM accounts.

 

Can I receive Social Security and be on the program?
If you have employment income in addition to the Social Security income, you can.

 

Can I save more than $40 per month?
Yes, but only the $40/month ($480/year maximum) will be matched.

 

Can I be in more than one FAIM program at one time?
No, you can only be in one FAIM program at a time. 

 

Can I save for my child’s education?
Yes, if they are able to start their post-secondary education within up to two years of opening the account.

 

Can my spouse have a FAIM account?
Yes, as long as the spouse has earned income, they can have an account as well. They also can save for the same asset.

 

What happens if I need my money for an emergency?
If deposits are withdrawn for anything other than the stated asset, the FAIM account must be closed and you will be exited from the program. 

 

Do I have to pay taxes on FAIM money?
The only taxes to be paid would be the small amount of interest earned on
the savings account.

 

What documentation do I need for enrollment?
Proof of employment income: 
Past 3 months pays tubs, OR
Prior year W-2, OR
Prior year Federal Tax Return
Valid Social Security or ITIN Number

 

How long can you save for?
Savings can be deposited for up to 24 months.

 

How much can I save?
A maximum of $960 per account is allowed for FAIM savings.

 

For more information visit www.helpmnsave.org