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

[Ronbaylis65]

What is the name of your state?

 

[quincy]

More information would be helpful. Please include the name of your state. Thanks.

 

[Ronbaylis65]

What is the name of your state?

Texas

More information would be helpful. Please include the name of your state. Thanks.

I'm on disability I receive a ssa check. I wanted to know will that effect my benefits? In texas it's not alot 13,000.00 its for final expenses.

 

[doucar]

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]

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]

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]

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]

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]

The OP never came back and told us whether he/she was on SSI or SSDI.

He kind of did.

I'm on disability

 

[LdiJ]

He kind of did.

People use that word interchangeably to describe both SSI and SSDI.

 

[Zigner]

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]

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]

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.