Coons Bill Would End Asset Limits on Federal Aid
State of DE - Senator Chris Coons has introduced a new bill that would change the rules for several federal assistance programs. The bill is called the Allowing Steady Savings by Eliminating Tests Act, or the ASSET Act of 2026.
The bill focuses on programs many families rely on for basic needs. These include the Temporary Assistance for Needy Families program, the Supplemental Nutrition Assistance Program, and the Low-Income Home Energy Assistance Program. These programs help low-income families pay for food and heating, especially families with children.
Right now, these programs look at both income and assets when deciding who qualifies. That means a family's savings account or car can count against them. In many cases, the asset limit for savings is as low as $2,000.
The ASSET Act would remove asset limits for TANF, SNAP, and LIHEAP. States would no longer be allowed to apply asset or resource limits to these programs. Income limits would still apply, and states that need time to update their own laws would be given a delay before the changes take effect.
The bill would also raise asset limits for the Supplemental Security Income program. That program helps elderly people and people with disabilities. Under the bill, the asset limit would rise from $2,000 to $10,000 for an individual, and from $3,000 to $20,000 for a couple. Both limits would be tied to inflation moving forward.
Some states have already made changes like this on their own. Nine states have dropped TANF asset limits, and 37 states along with Washington, D.C. have dropped SNAP asset tests. Only Missouri and Montana still have asset tests for LIHEAP. SSI is run by the federal government, and its asset limit has not changed since 1989.
Supporters of the bill point to research on SNAP. That research found that removing asset limits increased the chances that lower-income adults had at least $500 saved by 8 percent, and increased the chances they had a bank account by 5 percent. It also found a 26 percent drop in people cycling on and off the program.
The bill has been endorsed by several organizations, including Prosperity Now, the Center for Law and Social Policy, the Local Initiatives Support Corporation, the Alliance to End Hunger, the National Women's Law Center Action Fund, the National Association of Disability Representatives, UnidosUS, The Arc, Grantmakers in the Arts, and Americans for the Arts.
