Dedicated accounts are financial accounts (separate from those in which one’s regular monthly payments are received) required for representative payees of certain disabled children under age 18, usually eligible for certain past-due payments covering more than six months at the current benefit rate. Use of funds deposited in dedicated accounts is significantly restricted.

 The complicated nature of these restrictions discourages recipients and their representative payees from ever using the funds and places unnecessary burdens on accounting. Accordingly, we propose to revise our regulations to allow representative payees (and recipients if placed in direct pay) to use dedicated account funds for the recipient’s current maintenance. The benefit of deregulation would be reducing burden on payees.