My mother in law is selling us her house - my brother in law is getting his inheritance from the proceeds of the sale. My mother in law receives social security and will net more than $2000 from the sale of the house will she loose her benefits? Does the money she is giving to my brother in law count in that formula?
Hi. Sale of her home would have no effect on any type of Social Security benefits that your mother receives. The only benefits administered by the Social Security Administration that can be affected a sale of a home are Supplemental Security Income (SSI) payments. SSI is a needs based program for people who are blind, disabled or at least age 65 who have little or no income and resources. So, if your mother receives SSI and if she ends up with more than $2000 in countable assets including her proceeds from the sale, then it could cause her SSI payments to stop.
Best, Jerry