Legal Help: Supplemental Security Income for Disabled Mom

[KYHorn 17,615]

So my mom recently received a kidney cancer diagnosis that qualifies her for disability. However, she didn't pay in enough the past 5 years to qualify for disability (pretty low income with high business expenses that made her taxable income real low). So, she is applying for supplemental security income (SSI) based on the disability. The extra money will be minimal, but she will automatically qualify for Medicaid if she is approved for SSI. She qualifies based on her income, especially now that she will not be able to continue her work due to cancer treatments. However, my grandmother (her mother) died fairly recently and left my mom inheritance that would disqualify her from SSI's resource limitations. Mom has only had the account for less than a year, and it is intended to be used for my brother, who has disabilities of his own, when my mom eventually passes away. 

Can we move that money into some legal arrangement that will allow mom to qualify for SSI and protect the inheritance for my brother's use? Or will the fact that the account has been in her name in the past few months prevent her from receiving SSI?

Any recommendations are appreciated. She and my brother are in a really tough spot.

[TwiceHorn 32,080]

1 hour ago, KYHorn said:

So my mom recently received a kidney cancer diagnosis that qualifies her for disability. However, she didn't pay in enough the past 5 years to qualify for disability (pretty low income with high business expenses that made her taxable income real low). So, she is applying for supplemental security income (SSI) based on the disability. The extra money will be minimal, but she will automatically qualify for Medicaid if she is approved for SSI. She qualifies based on her income, especially now that she will not be able to continue her work due to cancer treatments. However, my grandmother (her mother) died fairly recently and left my mom inheritance that would disqualify her from SSI's resource limitations. Mom has only had the account for less than a year, and it is intended to be used for my brother, who has disabilities of his own, when my mom eventually passes away. 

Can we move that money into some legal arrangement that will allow mom to qualify for SSI and protect the inheritance for my brother's use? Or will the fact that the account has been in her name in the past few months prevent her from receiving SSI?

Any recommendations are appreciated. She and my brother are in a really tough spot.

Possibly.  Will need to talk to an "elderlaw" attorney.  I think the ones that are members here are generally pretty competent. https://www.naela.org/

[ROFL BOX 6,655]

This may be an area where [mention=1241]hornian[/mention] can assist; I think this in their wheelhouse.

Somebody light up the brisket spotlight.

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[hornian 5,294]

Thanks ROFLBOX, but I refer these specific type of estate planning g cases out. In Austin I recommend Lindsey Drake: https://www.ldrakelaw.com

Edited August 20, 2021 by hornian

[KYHorn 17,615]

13 hours ago, hornian said:

Thanks ROFLBOX, but I refer these specific type of estate planning g cases out. In Austin I recommend Lindsey Drake: https://www.ldrakelaw.com

Thanks. Out of curiosity, why do you refer it out? Our regular estate attorney did the same. Is it really specialized or something?

[TwiceHorn 32,080]

2 minutes ago, KYHorn said:

Thanks. Out of curiosity, why do you refer it out? Our regular estate attorney did the same. Is it really specialized or something?

I'll answer for him, yes it is pretty specialized.  The rules are always changing, and it is a bit afield from "ordinary" estate planning.

[hornian 5,294]

47 minutes ago, KYHorn said:

Thanks. Out of curiosity, why do you refer it out? Our regular estate attorney did the same. Is it really specialized or something?

 

43 minutes ago, TwiceHorn said:

I'll answer for him, yes it is pretty specialized.  The rules are always changing, and it is a bit afield from "ordinary" estate planning.

What he said. 
 

This and tax planned estates are just very specialized and beyond “simple” estate planning. 
 

90% of estate planning is “simple” estates and living trusts, and that’s in my wheelhouse (simple is a misnomer because it can be quite intricate, but as long as it doesn’t involve trying to qualify for federal benefits or trying to avoid federal estate taxes that’s what it’s called). The other 10% I refer to people who take all the specialized trainings and certifications and stay abreast of all the relevant administrative rules and regulations that can change without a lot of notice. 

[TwiceHorn 32,080]

Yeah, most of estate planning, the will/probate part, is controlled by Texas law.

When you start getting into federal estate and gift taxation (large estates) or Medicaid planning, you're getting away from Texas law and it starts getting wild.

[Godzillatron 295]

So my mom recently received a kidney cancer diagnosis that qualifies her for disability. However, she didn't pay in enough the past 5 years to qualify for disability (pretty low income with high business expenses that made her taxable income real low). So, she is applying for supplemental security income (SSI) based on the disability. The extra money will be minimal, but she will automatically qualify for Medicaid if she is approved for SSI. She qualifies based on her income, especially now that she will not be able to continue her work due to cancer treatments. However, my grandmother (her mother) died fairly recently and left my mom inheritance that would disqualify her from SSI's resource limitations. Mom has only had the account for less than a year, and it is intended to be used for my brother, who has disabilities of his own, when my mom eventually passes away. 
Can we move that money into some legal arrangement that will allow mom to qualify for SSI and protect the inheritance for my brother's use? Or will the fact that the account has been in her name in the past few months prevent her from receiving SSI?
Any recommendations are appreciated. She and my brother are in a really tough spot.

The rules on the $2k limit of assets are pretty draconian. I would make sure you understand those if you need to dispose of assets to get her under the limit for SSI.


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