Rochester, NY asked in Social Security for New York

Q: My moms selling her house and iam getting a portion. Would this be considered earned income and do I have to report ssi

I live with my mom we will be selling our house. I will get a portion of the money Do I need to report this to ssi and will this be considered earned income?

Related Topics:
1 Lawyer Answer
Susan Michele Schaefer
Susan Michele Schaefer
  • Social Security Disability Lawyer
  • Prattville, AL

A: Yes, the income you receive from the sale of your mom's house is considered to be unearned income and it must be reported to Social Security. Since SSI is a needs-based program, the more countable income you have the less your SSI check will be and when it is over the allowable limit, you cannot receive SSI benefits. The limit for countable resources is $2,000 for an individual and $3,000 for a couple. If the value of your countable resources is over the allowable limit at the beginning of the month, you cannot receive SSI for that month. You could take the portion of the money you will be receiving and immediately purchase an item that Social Security does not count as a resource, such as a home you live in or one vehicle you use for transportation. See

Other options are for you to set up a Achieving a Better Life Experience Act (ABLE) savings account if you meet the qualifications, or to set up an irrevocable Special Needs Trust. You may want to consult with a disability lawyer before taking action on any of these options. If you do any of these options, make sure to have documentation to report to Social Security.

Justia Ask a Lawyer is a forum for consumers to get answers to basic legal questions. Any information sent through Justia Ask a Lawyer is not secure and is done so on a non-confidential basis only.

The use of this website to ask questions or receive answers does not create an attorney–client relationship between you and Justia, or between you and any attorney who receives your information or responds to your questions, nor is it intended to create such a relationship. Additionally, no responses on this forum constitute legal advice, which must be tailored to the specific circumstances of each case. You should not act upon information provided in Justia Ask a Lawyer without seeking professional counsel from an attorney admitted or authorized to practice in your jurisdiction. Justia assumes no responsibility to any person who relies on information contained on or received through this site and disclaims all liability in respect to such information.

Justia cannot guarantee that the information on this website (including any legal information provided by an attorney through this service) is accurate, complete, or up-to-date. While we intend to make every attempt to keep the information on this site current, the owners of and contributors to this site make no claims, promises or guarantees about the accuracy, completeness or adequacy of the information contained in or linked to from this site.