Hi Larry: my adult daughter is on disability. I plan on leaving her $50000 of my life insurance is this alright or will it effect her payments? Thank You

Hi. I assume you mean that your daughter would receive $50,000 in the event of your death. In that case, the answer to your question depends on what type of disability benefits your daughter receives. If it's any type of Social Security disability benefit (e.g. Social Security Disability Insurance (SSDI), Disabled Adult Child (DAC) benefits, Disabled Widows Benefits) that your daughter is receiving, then the answer is no. There is no limit on the amount of assets and unearned income that a person can have and still be eligible for Social Security disability benefits.

However, if your daughter receives Supplemental Security Income (SSI) benefits, then receipt of a $50,000 insurance settlement would almost certainly terminate her eligibility for SSI, at least temporarily. SSI is a needs-based benefit, and a person can't be eligible for SSI if they have countable assets valued at more than $2,000.

Best, Jerry