Social Security

Ask social security questions and get answers ASAP

Ask an Expert,
Get an Answer ASAP!

Will I lose SSI benefits if I put money I received from the…

Customer Question
Will I lose SSI benefits...
Will I lose SSI benefits if I put money I received from the sale of a house my siblings and I inherited from our parents in a trust?
Submitted: 2 years ago.Category: Social Security
Show More
Show Less
Ask Your Own Social Security Question
Answered in 10 minutes by:
3/2/2016
Social Security Expert: LawTalk, Attorney replied 2 years ago
LawTalk
LawTalk, Attorney
Category: Social Security
Satisfied Customers: 37,876
Experience: I have 30 years of legal and litigation experience, including representing clients before the U.S. Social Security Administration.
Verified

Good evening,

I'm Doug, and I'm sorry to hear of the confusion. My goal is to provide you with excellent service today. In order to give you a clear and concise answer, I will need some additional information about the circumstances, please.

1. What kind of a trust?

2. Do you mean SSI (the welfare payment), or are you talking about one of the several social security benefits that you paid into through taxes and are now collecting---like Social security retirement, a spouse benefit or a survivor benefit?

3, How much money are we talking about?

4. Is the home in your name---meaning is your name on the deed---or are you just getting cash at one point?

Doug

Ask Your Own Social Security Question
Customer reply replied 2 years ago
I'm not sure what trust would be best. I'm asking this for my brother who was diagnosed with schizophrenia at age 22 and is now 81. He was on the title of the house we just sold (along with me and my other brother) and now we've been told my sick brother who has been receiving SSI and Social Security may lose these benefits if he cashes his part of the money we made on the house. A disability trust was suggested to us, but I'm not sure if that's the way to go. The amount of money is nearly $28,000. I understand he can invest in a house or a car, but he would prefer to put this money in a trust, IF it won't affect his benefits. There's another complication: $8,333 of this money belongs to our daughter and son-in-law who bought the house from the three of us--the mortgage company wrapped a certain amount of money they(our daughter) wanted into the money we made on the house. We don't dare touch this check that was issued in my sick brother's name until we find out how to deal with this money.
Social Security Expert: LawTalk, Attorney replied 2 years ago

Good morning,

Your brother already has a problem. The moment that property was sold and he gained a profit from the sale he lost his eligibility for SSI benefits because he exceeded the asset limitation for SSI. Having the money in a check in his name is ***** ***** from having cash and he cannot just put it into a trust (of any kind) to avoid losing his benefits.

Preparations should have been made for the profit before the sale ever took place. At this point all he can do is notify SSI of the sale, and depending on how long the place has been sold, he may have to repay some SSI benefits back.

You wrote: We don't dare touch this check that was issued in my sick brother's name until we find out how to deal with this money. I'm not sure what you mean----but the check is the property of your brother and he must determine what he will do with it. However, he MUST immediately notify his SSI worker about the sale of the property and his money. Keeping it in check form, and not cashing it, is not protecting him. The money is still there---it belongs to him, and he no longer qualifies for SSI benefits or Medicaid.

If he is getting social security benefits of any kind he will keep those. And once the money he has is spent down below the $200 maximum threshold, he can reapply for SSI. But SSI is for certain people with limited assets and income---and your brother has this money now and is no longer lacking in assets. Therefore he no longer qualifies for SSI. There is no work around and his failure to notify SSI of this money he now has is a violation of his obligations under SSI law and he could be charged with a crime if he does not inform SSI of his money.

A disability trust or a special needs trust won't work because those are trusts that would have to be funded by other people with other people's money. Your brother cannot protect the cash by opening up a trust for himself or for anyone else. He is expected to live off the money until he gets back down below $2000 in assets and then he can re-qualify for SSI.

It simply is too late to do any strategic planning. The cash is already in hand and the idea that not cashing the check is somehow avoiding the issue is a false idea. He might as well have the money in hundred dollar bills. He has lost eligibility and needs to report it to avoid possible demands for SSI repayment and even possibly criminal charges.

I understand that you may be disappointed by the Answer you received, as it was not particularly favorable to your situation. Had I been able to provide an Answer which might have given you a successful legal outcome, it would have been my pleasure to do so.

If you have additional questions, you may of course reply back to me and I will be happy to continue to assist you further until your questions have been answered to your satisfaction.

Would you please take a moment to positively rate my service to you based on the understanding of the law I provided by clicking on the rating stars---three stars or more. It is that easy. That is the way I am compensated for having helped you.

Thank you in advance. I wish you the best in your future,

Doug

Ask Your Own Social Security Question
Customer reply replied 2 years ago
If he loses SSI, does he also lose Social Security and Medicare?
Social Security Expert: LawTalk, Attorney replied 2 years ago

Hi,

You asked: If he loses SSI, does he also lose Social Security and Medicare? No, absolutely not. He paid into social security and medicare and those benefits are not dependent on his wealth or income. He will keep both his social security retirement benefit, or spouse benefit, as well as his Medicare benefits. Only SSI and Medicaid will be terminated while his assets exceed the limit allowed.

You may reply back to me using the Reply link and I will be happy to continue to assist you until I am able to address your concerns, to your satisfaction.

I hope that I have been able to fully answer your question. Please be so kind as to rate my service to you. That is the only way I am credited for assisting you.

I wish you and yours the best in 2016,

Doug

Ask Your Own Social Security Question
Social Security Expert: LawTalk, Attorney replied 2 years ago

Good afternoon,

Do you have any additional questions that you would like me to address for you? In case you would like a phone call to further discuss these issues you have raised, I will make that offer to you. You are certainly not obligated to accept a call offer, but many people do find it helpful for clarification purposes, as well as to allow them to ask additional questions.

If I have provided you with the information you were seeking, would you please now rate my service to you?

Thanks in advance,

Doug

Ask Your Own Social Security Question
Was this answer helpful?
Ask LawTalk Your Own Question
LawTalk
LawTalk
LawTalk, Attorney
Category: Social Security
Satisfied Customers: 37,876
37,876 Satisfied Customers
Experience: I have 30 years of legal and litigation experience, including representing clients before the U.S. Social Security Administration.

LawTalk is online now

A new question is answered every 9 seconds

How JustAnswer works:

  • Ask an ExpertExperts are full of valuable knowledge and are ready to help with any question. Credentials confirmed by a Fortune 500 verification firm.
  • Get a Professional AnswerVia email, text message, or notification as you wait on our site. Ask follow up questions if you need to.
  • 100% Satisfaction GuaranteeRate the answer you receive.

JustAnswer in the News:

Ask-a-doc Web sites: If you've got a quick question, you can try to get an answer from sites that say they have various specialists on hand to give quick answers... Justanswer.com.
JustAnswer.com...has seen a spike since October in legal questions from readers about layoffs, unemployment and severance.
Web sites like justanswer.com/legal
...leave nothing to chance.
Traffic on JustAnswer rose 14 percent...and had nearly 400,000 page views in 30 days...inquiries related to stress, high blood pressure, drinking and heart pain jumped 33 percent.
Tory Johnson, GMA Workplace Contributor, discusses work-from-home jobs, such as JustAnswer in which verified Experts answer people’s questions.
I will tell you that...the things you have to go through to be an Expert are quite rigorous.

What Customers are Saying:

I really was impressed with the prompt response. Your expert was not only a tax expert, but a people expert!!! Her genuine and caring attitude came across in her response...

T.G.WMatteson, IL

I WON!!! I just wanted you to know that your original answer gave me the courage and confidence to go into yesterday's audit ready to fight.

BonnieChesnee, SC

Great service. Answered my complex tax question in detail and provided a lot of additional useful information for my specific situation.

JohnMinneapolis, MN

Excellent information, very quick reply. The experts really take the time to address your questions, it is well worth the fee, for the peace of mind they can provide you with.

OrvilleHesperia, California

Wonderful service, prompt, efficient, and accurate. Couldn't have asked for more. I cannot thank you enough for your help.

Mary C.Freshfield, Liverpool, UK

This expert is wonderful. They truly know what they are talking about, and they actually care about you. They really helped put my nerves at ease. Thank you so much!!!!

AlexLos Angeles, CA

Thank you for all your help. It is nice to know that this service is here for people like myself, who need answers fast and are not sure who to consult.

GPHesperia, CA

< Previous | Next >

Meet the Experts:

dylatess

dylatess

ATTORNEY

3,441 satisfied customers

37 plus years of SSD practice

Megan C

Megan C

Certified Public Accountant (CPA)

4,565 satisfied customers

Licensed CPA, CMA, CFE, CGMA M.Accy Also Teach Accounting courses at Master's Level

LawTalk

LawTalk

Attorney

37,876 satisfied customers

I have 30 years of legal and litigation experience, including representing clients before the U.S. Social Security Administration.

R. Klein, EA

R. Klein, EA

Accountant

334 satisfied customers

Tax & Social Security Benefits specialist

Dimitry K., Esq.

Dimitry K., Esq.

Attorney

233 satisfied customers

Licensed in multiple jurisdictions, experienced business attorney.

AttorneyTom

AttorneyTom

Attorney

16 satisfied customers

Attorney

Stephanie O Joy, Esq

Stephanie O Joy, Esq

Soc. Sec. Attorney

3,234 satisfied customers

22+ years legal exp. - 12+ years owning/operating her own SSD Law practice.

< Previous | Next >

Related Social Security Questions
i havent received my monthly check from social security this
i haven't received my monthly check from social security this month. When can i expect the check.… read more
LawTalk
LawTalk
Attorney
37,876 satisfied customers
If you were married to the same person twice do both marriages
If you were married to the same person twice do both marriages count toward the 10year requirement to be able to receive former spouses benefits… read more
KUMI95
KUMI95
Attorney
Doctoral Degree
17 satisfied customers
Can a spouse draw on her husbands social security if he is
Can a spouse draw on her husbands social security if he is still alive,and if she did what would this do to his benifit?… read more
Megan C
Megan C
Certified Public Accountant (CPA)
Master's Degree
4,565 satisfied customers
Requesting a Social Security Attorney please) My spouse and
Requesting a Social Security Attorney please) My spouse and child were recently added to my SSDI to receive auxiliary benefits. After our appointment with a very kind, and knowledgeable SSA office emp… read more
Stephanie O Joy, Esq
Stephanie O Joy, Esq
Soc. Sec. Attorney
Doctoral Degree
3,234 satisfied customers
My child and spouse are receiving auxiliary benefits through
My child and spouse are receiving auxiliary benefits through my SSDI. My spouse is the designated payee for my child. However, both my SSDI benefits, my child's auxiliary benefits and spouse's auxilia… read more
Stephanie O Joy, Esq
Stephanie O Joy, Esq
Soc. Sec. Attorney
Doctoral Degree
3,234 satisfied customers
If your spouse passes, both of u are seniors. Is the
If your spouse passes, both of u are seniors. Is the survivor entitled to … read more
abci168
abci168
Principal
27 satisfied customers
How do I apply to receive spouse's benefits while spoue is
How do I apply to receive spouse's benefits while spoue is currently receiving benefits? … read more
LEV
LEV
Retired
Bachelor's Degree
14,896 satisfied customers
Spouse is disabled. Ex-wife is receiving ssdi check in
Spouse is disabled. Ex-wife is receiving ssdi check in behalf of minor child (in excess of child support) Is spouse entitled to this money (he's the disabled one - custody is 50/50) … read more
Bryan M.
Bryan M.
Owner
Masters of Accountancy
125 satisfied customers
Date of Death 08/28.2016..Spouse, ***** ******. Husband was
******- ******* Date of Death 08/28.2016..Spouse, ***** ******. Husband was drawing $1664.00 before death. My SS was $1255. Why is my SS so low AFTER his death? … read more
PaulmoJD
PaulmoJD
Attorney At Law
Doctoral Degree
106 satisfied customers
How to precede after spouse has died. My spouse has died.
My spouse has died. How to apply for benefits? I already receive a small benefit … read more
Barbara
Barbara
Enrolled Agent, Paralegal
5,119 satisfied customers
How do I apply for death benefit of spouse, My spouse passed
My spouse passed away 12-9-17. I'm told there is a $250 burial benefit payable to the surviving spouse. … read more
LEV
LEV
Retired
Bachelor's Degree
14,896 satisfied customers
If a spouse dies and the deceased spouse ss has been
If a spouse dies and the deceased spouse ss has been activated and the others has not, can the surviving spouse collect the ss of the deceased until 70 when they then activate their own ss? They make … read more
emc011075
emc011075
Senior Tax Specialist
Bachelor's Degree
16 satisfied customers
My mother died on 1/15/14 the same day her SS check was deposited.
My mother died on 1/15/14 the same day her SS check was deposited. I am of the understanding that SS pays benefits in arrears. With that in mind, the 1/15 deposit would have been for Dec. 2012. Social… read more
KUMI95
KUMI95
Attorney
Doctoral Degree
17 satisfied customers
My checking account has a pending tcs treas 449 xxxsoc sec
My checking account has a pending tcs treas 449 xxxsoc sec on it. I just applied for SS in Jan but haven't heard what the final amount will be since I get a teaching pension. I do have enough credits … read more
Dr Arthur Rubin
Dr Arthur Rubin
Doctoral Degree
24 satisfied customers
What is the minimum Social Security income required to earn
What is the minimum Social Security income required to earn 4 credits per year beginning in 2010? Are future increases known?… read more
dylatess
dylatess
ATTORNEY
JD
3,441 satisfied customers
I need a replacement 2016 Form SSA-1099, Social Security
I need a replacement 2016 Form SSA-1099, Social Security Benefit Statement for my deceased spouse. … read more
keeperumiami
keeperumiami
Sr Financial & Tax Consultant
Bachelor\u0027s Degree
1 satisfied customers
how to apply for early social security at 59 1/2
how to apply for early social security at 59 1/2… read more
dylatess
dylatess
ATTORNEY
JD
3,441 satisfied customers
If I overestimate our income and pay a higher IRMAA, will I
If I overestimate our income and pay a higher IRMAA, will I get that back at a later date. Conversely, if I underestimate our income, is there a penalty in addition to the make up for the underpayment… read more
NPVAdvisor
NPVAdvisor
CFP Licensee and Practitioner
Master's Degree
180 satisfied customers
Disclaimer: Information in questions, answers, and other posts on this site ("Posts") comes from individual users, not JustAnswer; JustAnswer is not responsible for Posts. Posts are for general information, are not intended to substitute for informed professional advice (medical, legal, veterinary, financial, etc.), or to establish a professional-client relationship. The site and services are provided "as is" with no warranty or representations by JustAnswer regarding the qualifications of Experts. To see what credentials have been verified by a third-party service, please click on the "Verified" symbol in some Experts' profiles. JustAnswer is not intended or designed for EMERGENCY questions which should be directed immediately by telephone or in-person to qualified professionals.

Disclaimer: Information in questions, answers, and other posts on this site ("Posts") comes from individual users, not JustAnswer; JustAnswer is not responsible for Posts. Posts are for general information, are not intended to substitute for informed professional advice (medical, legal, veterinary, financial, etc.), or to establish a professional-client relationship. The site and services are provided "as is" with no warranty or representations by JustAnswer regarding the qualifications of Experts. To see what credentials have been verified by a third-party service, please click on the "Verified" symbol in some Experts' profiles. JustAnswer is not intended or designed for EMERGENCY questions which should be directed immediately by telephone or in-person to qualified professionals.

Show MoreShow Less

Ask Your Question

x