Navigating the Complexities of Disability Benefits and Inheritance

  • Inheriting $160,000 house puts Social Security disability income at risk
  • Special-needs trust or ABLE account can protect benefits
  • Consider disclaiming half of inheritance to brother for setting up an ABLE account

A friend inherited a house worth $160,000. The sale could put her Social Security Disability Income (SSDI) and Supplemental Security Income (SSI) at risk due to asset limits. Options include setting up a special-needs trust or an ABLE account to protect benefits while making necessary home improvements.

Factuality Level: 8
Factuality Justification: The article provides accurate information on the impact of inheritance on Social Security Disability Income (SSDI) and Supplemental Security Income (SSI), and offers potential solutions to protect the beneficiary’s benefits. It includes expert opinions from certified financial planners and provides a clear understanding of special-needs trusts, ABLE accounts, and resource limits. The article is informative and objective without any significant digressions or personal perspectives presented as facts.
Noise Level: 4
Noise Justification: The article provides specific advice for a unique financial situation involving Social Security Disability Income and Supplemental Security Income, but it is not applicable to the general public. It does not explore broader trends or provide actionable insights that can be applied by most readers.
Private Companies: Legs Financial,Creekmur Wealth Advisors,Access Financial Planning,My Retirement Network
Key People: Michael Davis (certified financial planner at Legs Financial), Clark Randall (certified financial planner and director of financial planning at Creekmur Wealth Advisors), Tricia Rosen (certified financial planner and founder of Access Financial Planning), Melissa Caro (certified financial planner and founder of the newsletter My Retirement Network)

Financial Relevance: Yes
Financial Markets Impacted: No
Financial Rating Justification: The article discusses financial topics related to Social Security Disability Income, Supplemental Security Inheritance, and the potential impact on benefits. It also mentions an ABLE account which is a financial product for people with disabilities.
Presence Of Extreme Event: No
Nature Of Extreme Event: No
Impact Rating Of The Extreme Event: No
Extreme Rating Justification: The article discusses a personal financial situation regarding inheritance and disability benefits, but it does not describe an extreme event that occurred in the last 48 hours.·
Move Size: No market move size mentioned.
Sector: No
Direction: Neutral
Magnitude: Small
Affected Instruments: SSI and SSDI benefits

Reported publicly: www.marketwatch.com