Autistic son and his SSI

[Jana4862]

My autistic 18 year old son recently (lat August) began receiving SSI. We had established a 3rd party special needs trust to hold monies that he received as gifts, graduation, etc... Unfortunately I opened the checking account of the trust with monies ($200) from his SSI (oops). To make matters worse a few months later I also deposited my son's savings bonds ($1,280) into the same account. The rest of the $7,300 account are all from 3rd parties.

In a recent letter SSA now regards the 3rd party trust as a "mixed trust" and counts ALL of the monies as an available resource - effectively stating that all SSI payments since last August should have been $0.00. Is there a way, on appeal (which we have filed), to show that only the two deposits should be counted against his SSI?

 

[Just Blue]

My autistic 18 year old son recently (lat August) began receiving SSI. We had established a 3rd party special needs trust to hold monies that he received as gifts, graduation, etc... Unfortunately I opened the checking account of the trust with monies ($200) from his SSI (oops). To make matters worse a few months later I also deposited my son's savings bonds ($1,280) into the same account. The rest of the $7,300 account are all from 3rd parties.

In a recent letter SSA now regards the 3rd party trust as a "mixed trust" and counts ALL of the monies as an available resource - effectively stating that all SSI payments since last August should have been $0.00. Is there a way, on appeal (which we have filed), to show that only the two deposits should be counted against his SSI?

Does your son have an attorney handling the appeal??

 

[Janke]

You can pursue an appeal, even up to the ALJ, but you are the one who created the problem by putting his money into a third party trust, effectively creating a mixed trust. I don't think saying "oops" at this point is going to fix it.

 

[Jana4862]

Thank you Janke....does the SSA ever allow a "fix" to this?

 

[Janke]

A fix?

Well, anyone who has excess resources can spend them down to get to the $2000 resource level. He can pay for room and board, he can purchase household goods or personal effects for himself, he can pay for his personal spending needs. He can't give away excess resources in order to qualify, since there will be a penalty period. It is not unusual for people to run out of savings and then file for SSI.

He can also pay back his overpayment.

You are probably asking if there is a way he can keep this mixed money trust and get SSI. I doubt it.

I can't find the SSA instructions on this. Don't know why.

 

[Jana4862]

Janke:

Thank you so much for taking the time to reply to my situation. Your willingness to share your expertise and knowledge is truly a reflection of your generosity and compassion. Thank you again.

You are correct: my hope is to somehow save the 3rd party monies from being spent down (this is the amount attorneys want to handle my case without any guarantee).

It seems harsh for the SSA to “poison” the entire trust fund because of my error in depositing 1st party money. The SSA initially accepted the 3rd party trust and exempted the 3rd party monies - that is until my error.

For us to permanently lose the previously exempted money seems harsh - even for the SSA.

 

[LdiJ]

Janke:

Thank you so much for taking the time to reply to my situation. Your willingness to share your expertise and knowledge is truly a reflection of your generosity and compassion. Thank you again.

You are correct: my hope is to somehow save the 3rd party monies from being spent down (this is the amount attorneys want to handle my case without any guarantee).

It seems harsh for the SSA to “poison” the entire trust fund because of my error in depositing 1st party money. The SSA initially accepted the 3rd party trust and exempted the 3rd party monies - that is until my error.

For us to permanently lose the previously exempted money seems harsh - even for the SSA.

Sadly it is harsh, and it is harsh on purpose. It is harsh because the rules are strict and you broke them. Your best bet at this point is to spend down the money in whatever way makes sense for your son, and then to start over, and do things absolutely correctly.

 

[Jana4862]

Janke - do you know of any other informational resources that I might be able to find out an answer to possibly saving the previously exempted monies?

 

[PayrollHRGuy]

Janke - do you know of any other informational resources that I might be able to find out an answer to possibly saving the previously exempted monies?

You can save all the previously existing savings you want. Your son just isn't going to get SSI until it is gone.

 

[Janke]

https://secure.ssa.gov/apps10/poms.nsf/chapterlist!openview&restricttocategory=05
Here is a link to a part of the employee manual called POMS. However, for some reason I cannot explain, the entire chapter on Resources Chapter 011, is missing. Makes no sense to me. But there are instructions in that chapter if you can find it.

There could be more instructions in the Social Security Handbook. SSI is section 1611.

I understand the feeling that SSI is heartless. Well, individuals have heart; an agency has policy. If employees could just follow their own heart, there would be no consistency in decision making. Much more sense to expect every employee to come to the same conclusion given the same evidence. Throwing in a personal point of view would make the process subject to the whim of an employee who may not be feeling generous.