Hello,

I’m on disability and am worried about when my Father dies and I inherit his estate ( such as any money, home )will I lose my disability when I have to sell his home and receive that money? I’m worried about what I should do before it happens because I cannot afford to lose my disability! Thank you for your time!

- Jacob

Hi Jacob. Any effect on your benefits that an inheritance could have depends on what type of disability benefits you receive. Receipt of an inheritance would have absolutely no effect on Social Security disability benefits, including survivor benefits such as disabled widow's benefits or disabled adult child benefits.

The only type of disability benefit administered by Social Security that could be affected by the receipt of an inheritance is Supplemental Security Income (SSI). If you're being paid SSI benefits and if you receive an inheritance that causes your countable assets to exceed the $2000 limit for SSI eligibility, then your SSI benefits would stop. Any cash you inherit would certainly count against the $2000 limit, but a home in which you live is excluded from counting as an asset for SSI purposes. One motor vehicle can also be excluded from counting as an asset. But, if you inherit a house that you don't live in, the value of that house would count against the $2000 limit.

The simple fact of the matter is that people aren't eligible for SSI benefits if they have more than $2000 in countable assets. SSI is intended to be a last resort source of support for people who have little or no other means of supporting themselves. If a person is eligible for SSI benefits but then accumulates more than $2000 in countable assets, their SSI benefits stop unless and until their countable resources drop back down below $2000.

Best, Jerry