Ask Larry

Would My Sister's Divorce Settlement Affect Her SSI?

Hi, my sister collects SSI Disability every month. She just recently got divorced and divorce settlement agreement was for her x-husband to pay her a lump sum of money. Would her cashing this check affect her SSI? Does she have to report it to SSI since its money she got from a divorce settlement.? Thank you for answering

Hi,

Assuming that by SSI you are referring to Supplemental Security Income and not Social Security disability benefits (SSDI), then yes the divorce settlement that your sister received could affect her SSI payment amount and/or eligibility, and yes she should report it to Social Security. Supplemental Security Income is a needs based payment, so any changes in a person's marital status, income and/or assets can affect the recipient's payment rate and eligibility.

Best, Jerry

Posted: 
Dec 5 2017 - 8:05am
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