Will inheritance from parent's retirement account affect my Social Security at FRA?

Good news - a one-time distribution from your father's retirement account won't affect your Social Security retirement or survivor benefits. These lump-sum inheritances don't count as income for Social Security purposes, even though they're taxable. However, if you decide to invest that money and it generates ongoing income (interest, dividends, etc.), that investment income MIGHT affect your benefits IF you're under full retirement age AND working with earnings over the annual limit. But since you mentioned you're at FRA, this shouldn't be an issue for you. No need to reschedule your appointment - just focus on the survivor benefit discussion. The retirement account distribution is a separate matter.

my sister got money from our dads retirement when he passed and it didn't effect her ss disability at all. different situation i guess but might help to know

The previous responses are correct that the lump sum itself won't affect your Social Security benefits. But I want to add that since you're talking about ex-spouse survivor benefits, make sure you meet all the requirements: you must have been married for at least 10 years, you must be unmarried currently (or married after 60), and your ex must be deceased. Also, if you're eligible for your own retirement benefits, you'll generally receive whichever amount is higher, not both. As for the retirement account distribution, check if it's a traditional IRA or 401(k) - those are subject to income tax. If it's a Roth account that was established more than 5 years ago, you might not owe taxes at all. The administrator should be able to clarify this on Monday.

I got an inheritance last year and the SSA TOOK AWAY my benefits for THREE MONTHS!!! They said it counted as income!!!! Had to fight with them for WEEKS to get it sorted out. The left hand doesn't know what the right hand is doing in that place!!!

I had the exact same worries when my mom passed and left me some money from her IRA. Turned out it didn't affect my SS benefits at all. It's not counted as earned income for the earnings test. Since you mentioned you're at full retirement age anyway, the earnings test doesn't even apply to you anymore, so you're doubly in the clear!

One important distinction: if you were receiving SSI (Supplemental Security Income), which is needs-based, then an inheritance would absolutely affect your benefits because SSI has strict asset limits. But regular Social Security retirement or survivor benefits are not affected by assets or unearned income like inheritances. The taxes being withheld seem appropriate (20% federal is standard for retirement account distributions), but you might want to check if you qualify for an exception to the early withdrawal penalty if the original account holder was under 59½. The retirement plan administrator should be able to help with this on Monday. Go ahead with your appointment - the inheritance won't complicate your survivor benefit discussion.

Has anyone here had success actually REACHING someone at SSA lately? I've been trying for weeks to get someone on the phone about my widow's benefits and keep getting disconnected or told the wait time is 2+ hours. OP, did you have to wait long for your appointment? I'm at my wit's end trying to talk to a human being there.

my aunt says you should ask them about the tax withholding cuz sometimes you can do less than 20% if you want. not sure if thats right but might save you some money up front instead of waiting till tax time next year

Thanks everyone for the helpful responses! I feel much better now. To summarize what I've learned: 1. The inheritance from my father's retirement account won't affect my Social Security benefits 2. Since I'm at FRA, I don't need to worry about the earnings test regardless 3. The 20% tax withholding is standard but I might be able to adjust it 4. I should keep my SSA appointment to discuss the survivor benefits from my ex-spouse I'll call the retirement plan administrator on Monday to get more details about the account type and tax implications, but I won't stress about it affecting my Social Security. Really appreciate all the insights!

Great advice from everyone here! Just wanted to add that when you do receive the distribution, make sure to save all the paperwork (1099-R form, etc.) that the retirement plan sends you. Even though this won't affect your Social Security benefits, you'll definitely need those documents for tax filing purposes. Also, since you mentioned you're new to navigating all these Social Security rules - the SSA website has a really helpful benefit calculator tool that can give you estimates for different scenarios. It's under the "Retirement Estimator" section. Might be worth checking out before your appointment so you have a better sense of what to expect with the survivor benefits vs. your own retirement benefit. Good luck with your appointment next week!