A proposed rule by the Social Security Administration (SSA) could drastically alter how Supplemental Security Income (SSI) benefits are calculated, potentially impacting up to 400,000 Americans, particularly adults with disabilities and low-income seniors. The new rule suggests that the value of a person's living space, such as a bedroom, could be considered as income, which may lead to benefit reductions of up to 33% for some recipients. Currently, SSI provides an average monthly payment of $737 to about 7.4 million Americans with severe disabilities or limited income. This change would particularly affect those who rely on shared housing with family members, as their living arrangements could now be seen as financial support, undermining their eligibility for benefits. Additionally, the proposal would reverse a 2024 change that allowed households to qualify for assistance if at least one member received benefits, potentially tightening access to support. The rule is still under review by the White House Office of Management and Budget, and if approved, it will be opened for public comment, a process that may take a year or longer.