Moving Roth IRA funds before SSI application - will this affect my disabled son's eligibility?

This is a really important question! The $2,000 resource limit for SSI is strict, and yes, having over that amount would disqualify him. However, you need to be careful about withdrawing the money right before applying. SSA looks back 36 months for transfers of resources made for less than fair market value specifically to qualify for SSI. If they determine that's what happened, they can impose a penalty period of ineligibility. If he uses the money for his own support and maintenance (paying for food, shelter, clothing, medical needs), that's generally considered an appropriate spend down. Just make sure to keep receipts and documentation of how the money was spent. Also, be aware that if he withdraws from a Roth IRA, the earnings portion might be taxable if it's not a qualified distribution, though the contributions can come out tax-free.

my brother has disability too and we went thru same thing!! use the money for things he NEEDS before you apply. we bought my brother new glasses, paid his dentist bill, got him a used laptop for his online therapy meetings, and paid his phone bill for a few months ahead. keep ALL receipts!!!! they didnt give us any problems when we showed everything was for him.

I work with SSI applicants regularly, and I need to point out something important - SSA distinguishes between resources (assets) and income. When your son withdraws money from the Roth IRA: 1. The money becomes a countable resource if still in his possession 2. The portion that represents earnings (not contributions) could count as unearned income in the month received The best approach is to spend down appropriately (necessary items for his support) before applying, but do it gradually and naturally, not all at once the day before applying. Medical expenses, catching up on bills, necessary clothing, and essential household items are all reasonable. Also, you might want to look into an ABLE account if your son's disability occurred before age 26. These special accounts allow people with disabilities to save above the $2,000 limit without affecting SSI eligibility.

To clarify about ABLE accounts: the law requires that the disability onset must have occurred before age 26. In this case, the OP mentioned a "childhood TBI" so an ABLE account could be an option. But you're right that not all disabled adults qualify - only those whose disability began before age 26.

just withdraw it all and spend it!!!! the SSA are not gonna come to ur house and check what u bought!!!! my cousin just took all his money out and got approved no problems

I went through a similar situation with my daughter last year. Trying to reach someone at Social Security to get clear guidance was INCREDIBLY frustrating. I spent weeks calling that 800 number only to be disconnected or told the wait time was 2+ hours. I finally found this service called Claimyr (claimyr.com) that got me connected to an actual SSA agent in under 20 minutes! They have a video showing how it works: https://youtu.be/Z-BRbJw3puU The agent I spoke with explained exactly how to handle the resource spend-down and gave me documentation I could include with my daughter's application explaining the situation. It was so much better than trying to figure it out on my own or risking doing something that would delay her benefits.

My nephew has SSI. They check EVERYTHING. They wanted bank statements going back 6 months when he applied. AND they check again every year at redetermination. Be honest about the IRA. Maybe askif he can spend it down before applying but KEEP ALL RECIEPTS!!! SSI is great but they make you jump through hoops.

One more thing to consider: if your son's father is receiving (or will soon receive) Social Security retirement or disability benefits, your son might qualify for Disabled Adult Child (DAC) benefits (sometimes called Childhood Disability Benefits) on his father's record. This would provide a higher benefit than SSI in many cases and doesn't have the same strict resource limits. To qualify, your son must: - Have become disabled before age 22 - Be unmarried - Have a parent who receives Social Security retirement or disability benefits OR a parent who died but worked enough to qualify for Social Security This is definitely worth looking into as an alternative or supplement to SSI.

I'm so CONFUSED about all these different benefits!!! Is SSI the same as SSDI??? And what's this Disabled Adult Child thing??? Why does the government make this so complicated!!! 😫 I've been trying to figure out what to apply for my sister and it's a NIGHTMARE!!!

just wanted to say ur a good mom for helping ur son!!! my mom helped me get on ssi when i was 19 (im 32 now) and it changed my life. dont feel bad about not doing it sooner, ur doing it now and thats what matters!!

As someone new to navigating disability benefits, I want to say how helpful this thread has been! I'm dealing with a similar situation with my adult daughter who has developmental disabilities, and I had no idea about the 36-month lookback period or the difference between SSI and DAC benefits. One question - if someone spends down resources appropriately before applying, how long should they wait between spending the money and submitting the application? Is there a recommended timeframe to avoid any appearance of impropriety, or is it more about having proper documentation of legitimate expenses? Also, @Marcus Marsh - don't beat yourself up about waiting. Sometimes we need time to process and accept our loved one's needs, and that's completely human. You're taking action now, which is what matters.

I'm new to this community but wanted to share something that might be helpful. When my nephew was applying for SSI, we discovered that having a disability attorney or advocate can make a huge difference in navigating these complex rules about resource limits and spend-downs. Many disability attorneys work on contingency (they only get paid if you win), and they're experts at understanding exactly how SSA interprets these rules. They can help you document the spend-down properly and ensure you're not inadvertently creating problems with the lookback period. Also, I noticed several people mentioned the difficulty reaching SSA by phone. Another option is to schedule an appointment at your local Social Security office - sometimes it's easier to get clear answers in person, and you can bring documentation with you to show exactly what you're dealing with. One last thought - if your son does end up qualifying for SSI, make sure to ask about state supplemental payments. Some states add additional money on top of the federal SSI benefit, and the eligibility requirements might be slightly different.

Welcome to the community! As someone who's helped several families navigate SSI applications, I wanted to add a few practical points that might be helpful: Regarding finding disability attorneys - the National Organization of Social Security Claimants' Representatives (NOSSCR) has a lawyer referral service on their website where you can search by location. Most disability attorneys offer free consultations, so you can speak with a few to find someone you're comfortable with. For the Roth IRA situation specifically - one thing to keep in mind is that if your son withdraws the funds, any earnings portion may be subject to early withdrawal penalties and taxes since he's under 59½. However, the contributions can typically be withdrawn penalty-free. You might want to check with the IRA custodian about the contribution vs. earnings breakdown before making withdrawals. Also, I'd strongly recommend keeping a detailed log of how any withdrawn funds are spent. Create a simple spreadsheet with date, amount, what was purchased, and attach receipts. This kind of organization makes it much easier if SSA requests documentation later. The ABLE account suggestion from earlier is excellent if your son qualifies. Even if he doesn't use it for the current IRA funds, it could be valuable for any future savings or gifts from family members. @Marcus Marsh - you're doing the right thing by getting informed before moving forward. Taking time to understand the rules upfront can prevent complications later in the process.

As someone who recently went through the SSI application process for my adult son, I wanted to share a few additional resources that might be helpful. First, don't overlook your state's Department of Developmental Services or similar agency - they often have benefits specialists who can walk you through the SSI application process for free and help with the resource spend-down planning. They understand both the federal SSI rules and any state-specific programs your son might qualify for. Second, if you haven't already, consider getting a letter from your son's doctor documenting his functional limitations and how his TBI affects his daily living activities. This medical evidence will be crucial for the disability determination, and having it organized upfront can speed up the process. Finally, regarding the timing of the application - while you're figuring out the Roth IRA situation, you might want to call SSA to ask about filing a "protective filing date." This establishes your intent to apply and can sometimes preserve an earlier application date while you're gathering documentation. The fact that you're taking time to understand the rules and ask questions shows you're being a thoughtful advocate for your son. The SSI program exists specifically to help people like him, and you shouldn't feel guilty about accessing these supports.