• FreeAdvice has a new Terms of Service and Privacy Policy, effective May 25, 2018.
    By continuing to use this site, you are consenting to our Terms of Service and use of cookies.

Will me being a beneficiary of my moms holee life insurance hurt my benefits

Accident - Bankruptcy - Criminal Law / DUI - Business - Consumer - Employment - Family - Immigration - Real Estate - Tax - Traffic - Wills   Please click a topic or scroll down for more.



doucar

Junior Member
If you are on SSI, it could, at least termporarily affect your benefits, if you are on SSD, it will have no effect on benefits.
 

LdiJ

Senior Member
If you are on SSI, it could, at least termporarily affect your benefits, if you are on SSD, it will have no effect on benefits.
I agree, and since this would be a federal issue, not a state issue (except perhaps in the one or two states that have state SSI) the particular state that the OP is in does not effect the answer on a federal level.
 

FlyingRon

Senior Member
LdiJ is right. Any money you retain (over your $2000 exclusion) will count against your SSI. You can't even refuse the money because the SSA expects you to use other means available before you take the SSI (it's a last resort only).

Depending on how the policy is set up, her "final expenses" may come out before you receive the remainder and not count against you. If mom is still living, she may be able to set up a special needs trust as the beneficiary rather than just dumping the money on you.
 

Janke

Member
https://secure.ssa.gov/poms.nsf/lnx/0500830545

"Death benefits provided to an individual are income to such individual to the extent that the total amount exceeds the expenses of the deceased person's last illness and burial paid by the individual.
Last illness and burial expenses include: related hospital and medical expenses; funeral, burial plot, and interment expenses; and other related expenses."

Whatever you don't spend on the funeral and her final expenses will be considered income to you. Keep receipts. Use the bank account for a paper trail. Even if you don't report it, there will be a 1099 issued and SSI will find out.
 

LdiJ

Senior Member
https://secure.ssa.gov/poms.nsf/lnx/0500830545

"Death benefits provided to an individual are income to such individual to the extent that the total amount exceeds the expenses of the deceased person's last illness and burial paid by the individual.
Last illness and burial expenses include: related hospital and medical expenses; funeral, burial plot, and interment expenses; and other related expenses."

Whatever you don't spend on the funeral and her final expenses will be considered income to you. Keep receipts. Use the bank account for a paper trail. Even if you don't report it, there will be a 1099 issued and SSI will find out.
The OP never came back and told us whether he/she was on SSI or SSDI.
 

Zigner

Senior Member, Non-Attorney
People use that word interchangeably to describe both SSI and SSDI.
The OP used a very specific word. I've heard people say that they get "social security" when they mean SSDI, but not the other way around.
 

LdiJ

Senior Member
The OP used a very specific word. I've heard people say that they get "social security" when they mean SSDI, but not the other way around.
I've heard it both ways...in fact, only SSDI has the word "disability" in the name. I have heard tons of people, both on these forums and in the real world, use the term disability to refer to SSI.
 

doucar

Junior Member
When I worked for legal aid, I heard it all the time, probably because most of the people I worked with were on SSI were disabled.
 

Find the Right Lawyer for Your Legal Issue!

Fast, Free, and Confidential
data-ad-format="auto">
Top