child support arrearage payments not income?

[mollysmom]

What is the name of your state (only U.S. law)? Ohio

I am receiving SSI disability payments. I was told that I had a overpayment due to child support arrearage payments that I receive from my exhusband for my adult children no longer living with me. There are no current support payments or alimony payments.

I did some research on the social security website and found this statement under income guidellines:
" if the individual receives money from a social services agency that is a repayment of an amount he/she previously spent, that value is not considered income to the individual."

I feel that since I was supporting my children by myself when these arrearages occurred and I am being paid back by child support bureau for money that was spent to support them, this would apply to this rule. I may even eligible for a refund of their previous deductions. Am I understanding this rule? Has anyone disputed an overpayment due to this situation before? Thanks for any help.

The web address for this rule is Program Description: 2008 SSI Report

 

[BL]

What is the name of your state (only U.S. law)? Ohio

I am receiving SSI disability payments. I was told that I had a overpayment due to child support arrearage payments that I receive from my exhusband for my adult children no longer living with me. There are no current support payments or alimony payments.

I did some research on the social security website and found this statement under income guidellines:
" if the individual receives money from a social services agency that is a repayment of an amount he/she previously spent, that value is not considered income to the individual."

I feel that since I was supporting my children by myself when these arrearages occurred and I am being paid back by child support bureau for money that was spent to support them, this would apply to this rule. I may even eligible for a refund of their previous deductions. Am I understanding this rule? Has anyone disputed an overpayment due to this situation before? Thanks for any help.

The web address for this rule is Program Description: 2008 SSI Report

Were you told , or did you receive an official notice from SSA/SSI ?

You have to report it , when you actually receive it , and it's cashable .

If you receive an official notice negative action is going to take place , apply for a reconsideration and a waiver .

Understanding Supplemental Security Income (SSI)-- SSI Resources

 

[mollysmom]

I did report it myself. I called my caseworker to see if he received it and he said that he did. He said that he didn't think it would affect my payment. That was in July.

I just recently received a notice saying there was an overpayment. I researched the Soc Sec website to see how the overpayment was calculated and how it compared with the records that I sent. They have been wrong before and had to correct my records.

While I was looking. I found the rule that I quoted in my previous post. That is my question. Can they count it against me if that rule applies? I did fill out a waiver form and sent the same info to them asking the same question. If it's money that's owed to me for past expenses that I paid for myself, it seems reasonable that it would not be counted against me. Thanks for your help.

 

[BL]

I can not answer your question with a specific answer , but sometime even when a recipient receives a lump sum ( for what ever reason ) , SSA will waive it , if the funds are spent with one month ( the month it was received ) , or invested according to SSA rules .

Speak to your worker about the waiver , and if any of what you and I have stated apply .

 

[mollysmom]

Thanks for your input BL. I will wait to hear from my caseworker on this. I don't have a problem with them saying it's an overpayment if the rule does not apply to me. I guess it was worth mentioning because you never know.

 

[BL]

Thanks for your input BL. I will wait to hear from my caseworker on this. I don't have a problem with them saying it's an overpayment if the rule does not apply to me. I guess it was worth mentioning because you never know.

If a recipient does ask , or request a waiver , or ask is there anyway they can keep a payment , then SSA will just go ahead and take the actions per rules .

I happen to be a payee , but before I was , a recipient receive 3 grand , and when she called and ask , they said send in a waiver .

She received a letter stating it would be waived as long as it all was spend ( documented of what it was spent for ) , within that month .

I believe I've read on the SSA.GOV site similar language .

 

[mollysmom]

Upon further research, I found that before June of 2002, child support arrearage income that was received by the custodial parent after the child was an adult and had moved out, was not considered income to the parent. However, there was a change in rules after that time saying that the parent of the adult child receiving arrearage payments had to consider this as income for their own SSI purposes and it would be counted against them.
So I am not sure how to interpret what I found the first time because the facts seems to contradict each other.

Now you addressed that the fact that the money had been spent could allow for a waiver if documented. The arrearages received are always spent within that month, but I have no documentation except that it's not in my account anymore at the end of the month.

I guess this will be interesting to see how they handle this. I am hoping that they will find in my favor. I will post if they do. Thanks again.

 

[mollysmom]

For anyone who would like to know the outcome of this situation, I spoke with my caseworker today.

She said that before June 2002, this would not have been counted as income, but at this time the rules were that it was. As for the quote that I found about social service agencies reimbursing money that had been spent. She said that this rule does not apply to this situation because the money is not coming from a social service agency, but from my ex husband through the child support agency.

I asked why this rule had changed and she said that in her experience, rules typically change when the money is low.

She said that she would process the paperwork to waive the overpayment though. She was very nice about it. As I told her, I had to at least ask. You never know. I have had underpayments in the past that were their mistakes.

Maybe this law will change in the future, but for now, child support arrearage payments are counted as income to be deducted from your SSI. There is an exclusion for the first thirty dollars though.