Pursuant to new Federal Regulations, the U.S. Department of the Treasury has initiated a “Go Direct” program by which all federal benefits are to be paid electronically.  These benefits include social security, supplemental security income, railroad retirement, and civil (non-military) retirement.  All nursing home residents who still receive their federal benefits by paper check are to establish direct deposit accounts to a bank or credit union by March 1, 2013.

Federal benefit funds may be deposited into either a resident’s own bank or credit union account or into a Resident Trust Account established and maintained by the Nursing Home.  Residents may also deposit funds into a Direct Express card, but the Treasury Department recommends the direct deposit option for nursing home residents.

The Treasury Department has provided a form (FMS form 1200) to enroll residents into direct deposit with a bank or credit union.  Residents may also be enrolled online at www.godirect.org.  Information required to complete the form include the resident’s account number, routing number and claim number.  A resident may also choose to have their benefits deposited directly with the nursing home in a Resident Trust Account.

For more information on the “Go Direct” initiative and the move toward direct deposit of federal benefits, please visit www.godirect.org or speak with our attorneys.