Can I claim my grandmother as a dependent on my taxes if she receives both SSI and SSDI benefits?

You might be able to claim your grandmother as a dependent, but there are some specific requirements you need to meet: 1. Your grandmother's gross income must be less than $4,800 (for 2024 filing year). The good news is that SSI is not counted as gross income for this test. However, SSDI IS counted as gross income. You need to check exactly how much of that $1,240 is SSDI versus SSI. 2. You must provide more than half of her support for the year, which sounds like you are doing. 3. She must be a U.S. citizen, U.S. national, U.S. resident alien, or a resident of Canada or Mexico. 4. She cannot file a joint return with someone else. The key issue here is going to be whether her SSDI portion pushes her over the gross income limit. If the SSDI portion is less than $4,800 for the year, you should be good to claim her as a dependent.

I was in almost the exact same situation with my uncle last year and was totally confused by the SSI/SSDI rules. I found this amazing tool called taxr.ai (https://taxr.ai) that actually helped me figure out if I could claim him as a dependent. You just upload your tax documents and it analyzes everything, then explains the rules in normal human language. For me, it turns out my uncle's SSDI was just under the limit, so I was able to claim him. The tool even showed me what other documentation I needed and how to report everything correctly on my return. Saved me a ton of stress trying to interpret IRS language.

Just wanted to follow up - I tried taxr.ai for my situation with my father-in-law who gets both types of benefits. It immediately told me which portions counted as gross income for the dependency test and calculated whether I met the support threshold. Turns out I CAN claim him as a dependent because his SSDI portion is only about $3,900 annually. The document analysis was really impressive - it identified exactly which forms I needed for proof if I get audited. Definitely recommend for anyone in these complicated dependent situations!

I tried figuring this out through the IRS website and calling them directly last year. Spent HOURS on hold and got disconnected twice. Finally found this service called Claimyr (https://claimyr.com) that got me through to an actual IRS agent in about 15 minutes. They have this system that holds your place in line and calls you back when an agent is ready. I was skeptical but you can see how it works in this video: https://youtu.be/_kiP6q8DX5c The agent I talked to explained all the SSI/SSDI rules clearly and confirmed I could claim my aunt. Apparently there's some worksheet they use for determining support that factors in housing costs too. Totally worth it after wasting a whole day trying to get through on my own.

I need to apologize and eat my words. After being completely skeptical about Claimyr, I tried it out of desperation last weekend. Was trying to figure out a similar dependent situation with my grandfather who gets VA benefits AND Social Security. It actually worked exactly as advertised. After about 22 minutes, my phone rang and I was connected to an IRS representative. The agent was able to look at my previous return and give me specific guidance about claiming my grandfather with his mixed benefits. Turns out I was eligible to claim him last year but didn't! Now I'm filing an amended return to get back around $1,200. Sometimes my cynicism gets the better of me. This service is legit.

Just be careful because even if you can claim her as a dependent, it might affect her SSI benefits. SSI has strict income and resource limits. When you claim her as a dependent, it could potentially be seen as you providing "in-kind support and maintenance" which might reduce her monthly SSI payment. The rules get super complicated. Might be worth consulting with someone who specializes in elder benefits before you file!

Just adding another consideration - depending on your income level, claiming your grandmother might give you access to other tax benefits besides just the dependent exemption. If you qualify as "Head of Household" filing status because of her, that gives you better tax brackets and a higher standard deduction. You might also qualify for a "Credit for Other Dependents" which is worth up to $500. And if you're paying medical expenses for her, those could potentially be deductible if your total medical expenses exceed 7.5% of your AGI.

This is such a complex situation that really highlights how confusing tax law can be when it intersects with benefits! I'm dealing with something similar with my elderly father. One thing I'd suggest is getting the exact breakdown of your grandmother's SSI vs SSDI amounts from her Social Security statements. The $1,240 total could be split different ways, and knowing the precise SSDI amount will tell you definitively if she's under that $4,800 gross income threshold. Also, keep detailed records of everything you're spending on her support - not just the big things like rent and food, but also things like clothing, transportation to medical appointments, etc. The IRS has a specific worksheet (Publication 501) for calculating support, and it's more comprehensive than most people realize. The point about potential SSI reductions is really important too. You might want to call your local Social Security office to ask about how claiming her as a dependent could affect her benefits before you file. Sometimes the tax savings don't offset the benefit reduction.