inheritance & social security disability

[bmjeanne]

my friend, a resident of florida, is in line to get a sum of money from an inheritance(in florida). my question is she is on social security disability(total), will she have to pay social security back, with any of the money she receive's, if so, is there any thing she can do to keep the money.

thanks

bmjeanne

 

[ALawyer]

Difference between SSD and SSI

IF she is on Social Security DISABILITY because she had a work history and became disabled I have some good news -- there is no "assets" or "unearned income" test -- even Bill Gates could get SSD if he became disabled. SSD operates like very restrictive private disability insurance. If your friend could not be regularly employed (in any job category that exists in the national economy) and met the duration of employment test, she'd be eligible for SSD and continue to collect after the inheritance so long as she remained "disabled" under Federal law.

BUT if she is on SSI -- Supplemental Security Income --that's very different. SSI is essentially a Federal Welfare program for those incapable of working due to most disabilities (other than those related to drugs or alcohol) who lack both assets and income. Once she is entitled to inherit, if the assets cross the threshold, she loses eligibility for SSI.

She need not return prior SSI benefits to Social Security for periods before she became legally entitled to her inheritance (better check that "when" out VERY carefully). However if she also was on State Welfare there may some obligations to repay.