Ask Larry

Would Transferring My Daughter's Benefits To Her Account Make The Funds Safe From Being Returned To Social Security?

I have also received a letter from social security wanting the funds returned. I have saved it in a account but it is attached to mine. We have just taken me off her account so she is the sole owner.. I can transfer these funds to her account. Would that make these funds safe from being returned?

Hi. My answer assumes that you've been acting as representative payee for your daughter and that she is now age 18. If Social Security has asked you to return conserved funds, you shouldn't transfer the funds to your daughter without Social Security's authorization. Social Security can permit a former payee to transfer conserved funds directly to a capable beneficiary rather than returning them to SSA if it serves the best interest of the beneficiary, but whether or not to authorize such a transfer is decided on a case-by-case basis. For more information, refer to the following section of Social Security's operations manual:

Best, Jerry

Mar 21 2021 - 10:45am
MaxiFi software running on a laptop
Get What's Yours!
Discover tens of thousands in extra retirement dollars with Maximize My Social Security software!
  • Find your maximized strategy
  • Unlimited what-ifs
  • Step-by-Step filing instructions
  • Our software's lifetime-benefit increase for an illustrative couple earning $65K each and planning to take retirement benefits at 62.

    Results will differ based on your specific case and filing strategy.

Getting Started is Easy
Web-based software. Works on ALL browsers. No download.