- September 2, 2023
- Posted by: legaleseblogger
- Category: Related News
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## Situation: Transition from SSI to DAC
My son is currently transitioning from receiving Supplemental Security Income (SSI) to a special category of disability called Disabled Adult Child (DAC). This shift in benefits entails a higher DAC benefit compared to his previous SSI benefit. As a result, he will receive a back payment of approximately $1500, which covers the difference between the two benefit amounts.
## Concern: Medicaid Implications
In light of this transition, our primary concern revolves around the potential ramifications for his Medicaid coverage. Specifically, we are uncertain about how the back payment, once deposited, will affect his eligibility for Medicaid, considering that it might exceed the allowable asset limit. This concern arises because we live in Florida and are unsure if there will be a disregard period to account for the temporary increase in his assets, thereby preventing the loss of his Medicaid benefits.
## How AI Legalese Decoder Can Help
Fortunately, the AI Legalese Decoder can provide valuable assistance in navigating this situation. This advanced tool utilizes artificial intelligence algorithms to interpret and demystify legal jargon, making it easier for individuals to understand their legal rights and obligations.
In this particular scenario, the AI Legalese Decoder can help by providing clear and accessible explanations regarding the Medicaid asset limit, potential disregard periods, and the specific Medicaid rules and regulations that apply in the state of Florida. By using the Decoder, we can gain a better understanding of the situation and make informed decisions regarding my son’s eligibility for Medicaid.
Furthermore, the AI Legalese Decoder can serve as a valuable resource to track the progress of the back payment process. By estimating the likely timeframe for receiving the back payment, we can better plan for the potential impact on my son’s Medicaid benefits and alleviate any concerns or panic that may arise.
In essence, the AI Legalese Decoder equips us with the knowledge and insights needed to navigate the complex legal landscape surrounding my son’s transition from SSI to DAC and its implications for his Medicaid coverage.
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If he’s on SSI and gets a back payment from another Social Security benefit like DAC after the offset is applied, then yes, it would be excludable from his bank account for a certain number of months (I believe 12 months, but may be 9. I know income tax refunds are excludable for 9). If the funds are still in there after that exclusion period, then it becomes countable toward the $2,000 limit.
The issue you may have is that the back payment may be counted as unearned income for the month when he receives it, and that would be over the income limit and he would not be due an SSI check for that month. After that, the backpay would be an excludable resource in the bank account., and his SSI check going forward would be adjusted/reduced to reflect the new continuing amount of DAC he receives.
Someone would need to double check me on that exclusion period and income rule for backpay, but I’m pretty sure any RSDI payment counts as unearned income when it’s received even if it’s a lump sum from backpay.