Social Security Disability, like Social Security, is not a means tested program. Therefore, your Social Security Disability benefits will not be affected by any change in your assets or your income. Furthermore, receiving an inheritance will not have any effect on your monthly Social Security Disability benefits.

Can a person on SSI receive an inheritance?

In general, inheritance money will only have an effect if you receive Supplemental Security Income (SSI), but will not if you are receiving Disability Insurance Benefits (SSDI). If you receive Supplemental Security Income (SSI), then you likely will have your benefits cut or potentially eliminated.

How do you avoid being cut off SSI benefits when you get a sum of money?

1) Timing: In order to minimize the loss of SSI and Medicaid, goods and services must be purchased in the same calendar month in which the lump sum is received. See SI 01110.600. Note that the individual does not have a period of a month or 30 days to complete the spend down.

How much money can a person on SSI have in the bank?

It means that a person’s “resources,” or assets, are taken into consideration. Currently, to receive SSI (after being determined to be medically disabled according to the SSA’s rules), an individual cannot have more than $2,000 in countable assets.

How does an inheritance affect your eligibility for SSI?

According to the SSA, an inheritance won’t affect your eligibility for SSDI. To determine your eligibility for SSI, the SSA considers your income and available resources, referred to together as “countable resources.”

What happens when a Medicaid recipient receives an inheritance?

What Happens When a Medicaid Recipient Receives an Inheritance? Within 10 days of receiving an inheritance, each Medicaid recipient is obligated to report the change in circumstance to the Social Security Administration and Department of Children and Families along with an explanation of what happened to the inherited funds or assets.

Can a gift make a disabled person ineligible for SSI?

If an SSI beneficiary receives a lump-sum through a gift, inheritance or otherwise, this may serve to make him or her ineligible because of having too many resources. Additionally, a disabled individual may even lose these benefits if he or she simply refuses the gift or inheritance.

Are there income limits for Medicaid and SSI?

To be eligible for SSI and/or Medicaid, an individual usually is limited to $2,000 in resources (or $3,000 for a couple). For SSI, there also is a very low income ceiling. Because the resource limits for SSI and Medicaid are so low, the receipt of a lump sum, including an inheritance or a settlement, can easily disqualify the individual.