SSI
Mel Cohen
Background: Husband passed away on 6/29/24 at age 68. Wife is 59 years old.
She worked until a few years ago when she suffered a brain injury due to a fall. She is still under the care of a neurologist. She never applied for SSI. She plans on waiting for her full retirement age to collect 100% of her late husband’s Social Security.
Question: If she applies for SSI, will this affect her potential Social Security in any way? Is there any downside to applying for SSI?
Mel
Lee Reams
Social Security Survivor Benefits
· Eligibility: Since the wife is 59 years old and has a disability, she may be eligible for Social Security survivor benefits as a disabled widow. Generally, a disabled widow or widower aged 50 through 59 can receive 71.5% of the deceased spouse's benefit.
· Full Retirement Age: If she waits until her full retirement age (which is likely 67 for someone born in 1965), she can receive 100% of her late husband's Social Security benefit.
Supplemental Security Income (SSI)
· SSI Overview: SSI is a needs-based program that provides monthly payments to adults and children with a disability or blindness who have income and resources below specific financial limits. It is different from Social Security Disability Insurance (SSDI), which is based on work history.
· Impact on Social Security Benefits: Applying for SSI will not affect her potential Social Security survivor benefits. SSI is a separate program and receiving SSI does not reduce the amount of Social Security benefits she can receive in the future.
Considerations for Applying for SSI
· Financial Need: If she has limited income and resources, applying for SSI could provide immediate financial assistance. SSI can help cover basic needs such as food, clothing, and shelter.
· Medical Coverage: In many states, receiving SSI automatically qualifies an individual for Medicaid, which can help cover medical expenses.
· No Impact on Future Social Security: Receiving SSI now will not reduce the amount of Social Security survivor benefits she can receive when she reaches full retirement age.
Potential Downsides
· Resource Limits: SSI has strict income and resource limits. If her financial situation changes (e.g., receiving an inheritance), she may become ineligible for SSI.
· Periodic Reviews: SSI recipients are subject to periodic reviews to ensure they still meet the eligibility criteria, which can be a hassle.
Conclusion
Applying for SSI can provide immediate financial support without affecting her future Social Security survivor benefits. Given her disability and financial needs, it may be beneficial to apply for SSI now. However, she should also consider consulting with a Social Security expert or an attorney specializing in disability benefits to get personalized advice based on her specific circumstances.
References:
- IRS Publication 3920 (09/2014), Tax Relief for Vic...
- Death Of a Loved One
- Social Security Survivor Benefits
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