Do DAC benefits count as SSI? Confused about asset limits for disabled adult child benefits

DAC benefits (officially called Childhood Disability Benefits) are definitely NOT SSI. They're part of Title II (Social Security Disability Insurance) and do NOT have asset limits. Your brother can have unlimited savings, investments, or inheritance without affecting his DAC benefits. SSI is the program with the $2,000 resource limit. The only things that could affect his DAC benefits would be if he: 1. Gets married (unless to another DAC beneficiary in some cases) 2. Earns income above SGA (Substantial Gainful Activity) level, which is $1,550/month in 2025 for non-blind individuals 3. Medically recovers from his disability That inheritance won't affect his DAC benefits at all. Just make sure he's not also receiving SSI concurrently, which does have asset limits.

SSA is SO confusing!!! My daughter gets DAC benefits and we had the same question. The caseworker at our local office actually gave us WRONG info at first and scared us to death! But then a supervisor clarified that DAC is NOT SSI and has NO asset test. Your bro can have millions in the bank (I wish lol) and it doesn't affect DAC at all! BUT!!!! If he also gets SSI (some people get both), then the asset limits DO apply for that part. And the inheritance would count as a resource for SSI purposes after the month he receives it.

Ur brother is fine DAC benefits dont have asset limits like SSI does. SSI is the one with the $2000 limit not SSDI which is what DAC falls under. He can keep the money no problem

To add a bit more detail: DAC benefits (sometimes called CDB - Childhood Disability Benefits) are provided under Title II of the Social Security Act, just like retirement and regular SSDI benefits. There are no resource/asset limits for any Title II benefits. However, it's worth noting that if your brother is also receiving Medicaid through your state (not Medicare), you should check with your state Medicaid office about their resource rules, as those can sometimes be different. Some states have Medicaid programs with asset limits that apply even when SSI isn't involved. Regarding the inheritance, if it generates significant income (interest, dividends), that income might be taxable and could potentially make his Social Security benefits taxable if his total income exceeds certain thresholds. But that's a tax issue, not a benefit eligibility issue.

If hes not on SSI he should be fine with the money. DAC is like SSDI not like SSI

I spent two hours on hold with Social Security last month trying to get an answer to almost this exact question for my sister! So frustrating! I found a service called Claimyr that got me through to an actual SSA agent in under 5 minutes. Saved me hours of frustration. They have a video showing how it works at https://youtu.be/Z-BRbJw3puU - basically they call SSA for you and then connect you when they reach a rep. The agent confirmed that DAC benefits have no asset limits whatsoever. Just to be extra safe, my sister put her inheritance in an ABLE account anyway (she qualifies since her disability began before 26), which offers additional protection for Medicaid purposes in our state.

my cousins on SSDI and has like 50k in the bank so i think ur brother is fine. the 2000 limit is just for SSI which is different. i always mix them up to lol

To address your question about ABLE accounts - yes, that would be an excellent option if your state's Medicaid program does have asset limits. ABLE accounts allow disabled individuals to save up to $100,000 without affecting benefits that have resource limits. Since your brother's disability began before age 22, he definitely qualifies. The money in an ABLE account can be used for qualified disability expenses, which is a very broad category including housing, transportation, healthcare expenses, education, and basic living expenses. As for reporting the inheritance - there's no requirement to report assets/resources for DAC benefits, but if your brother is receiving any means-tested benefits (like Medicaid, SNAP, etc.), those programs might have reporting requirements.

One more thing I forgot to mention!!! If your brother works at all, make sure he stays under the SGA limit ($1,550/month in 2025)! That WILL affect DAC benefits regardless of assets. My daughter lost benefits for 3 months when she accidentally went over before we understood the rules. Such a headache getting them restarted!