A question for parents whose children receive social security

[jfranklyn]

My children will soon begin receiving social security payments, and I'm wondering how much is involved in the accounting process for this money. I know from what Social Security sent to us that we need to keep the accounting through the year. Do you just report it once at the end of the year? Do you keep receipts for everything and submit those too? How do you account for things like food that feeds the whole family? They didn't really give any specifics, except to say that things like food, clothing, etc was all included. I want to make sure we do this correctly from the beginning. Thanks!

 

[flamom]

ss will send you a representative payee report for a 12 month period at the end of the 12 months. it lists the amount of benefits paid to you for the child(ren) and you fill out how much of the benefits you used for the care and support of the child(ren) and how much if any you saved. you don't send anything else to them if they need anything more they would contact you. i write down what i buy and how much it cost for my recordsjust for backup. the form is easy to fill out you can send it in or do it online, they give you instructions and you can always call them if you have more questions. hope this helps.

 

[minkydog]

Both of my younger kids get SS due to my husband's permanent disability. We have to send documentation once a year. This money is not to be banked. It is money that must be used for the care and upkeep of the child. We send in representation of our monthly household expenses, everything from the grocery bills to utilities to mortgage to cable. Divided by 4 people=their portion. Every bit of their SS is gobbled up by their monthly expenses. I know it sounds callous--these are after all, our children. We don't consider that they should "pay their way." But as far as SS goes, that's what they want to see, that they "paid their way" with the SS money. We have been doing this for several years. As long as your documentation is thorough and above board, you will have no problems.

 

[PatsMom]

Actually, the money does not HAVE to be spent. If you can afford the household bills on your own, as well as the routine expenses that children generate like school fees, you can save the money for your child. It just has to be in an account that is clearly for the benefit of the child (or payee that you are a representative for).

Social security gives the example of buying US Savings bonds in the name of the child. We opened a 529 education savings account for my daughter and deposited an amount equal to the social security check monthly. When it came time to do the accounting, I had to tell social security where the money was, the account number, registration, etc. The form actually asks how much was spent and how much was saved. I was never asked to produce statements but I had them if they were ever needed.

 

[daraddg]

we recieve it in the form of "s.s.survivor benefits" from my husband passing away.there is a paper that comes once a year that just says how much of $X did you spend on the kids,in our case it is all of it so I put down that number ,mail it back and thats it,,,have never been asked for receipts etc. In our case I am allowed to work and make upto around $13000 a year and not have benefits affected,anything over that and I lose $1 for every $2 earned. You also are allowed to bank some but not more than $2000 per person or it is viewed you do not need the help and you may be cut off

 

[trip]

we recieve it in the form of "s.s.survivor benefits" from my husband passing away.there is a paper that comes once a year that just says how much of $X did you spend on the kids,in our case it is all of it so I put down that number ,mail it back and thats it,,,have never been asked for receipts etc. In our case I am allowed to work and make upto around $13000 a year and not have benefits affected,anything over that and I lose $1 for every $2 earned. You also are allowed to bank some but not more than $2000 per person or it is viewed you do not need the help and you may be cut off

Really? I didn't think that survivor benefits were needs based.

 

[happily single]

When my ds began receiving SS I was very concerned with keeping very accurate records and receipts but never needed it. Once a year (although it seems like 2x a year) I receive a form from SS letting me they paid ds xxx amount of money, did we spend it all, was I solely responsible for the money, etc. basic, easy questions. And they even give you a self-addressed postage pre-paid envelope!

 

[Cindy B]

we recieve it in the form of "s.s.survivor benefits" from my husband passing away.there is a paper that comes once a year that just says how much of $X did you spend on the kids,in our case it is all of it so I put down that number ,mail it back and thats it,,,have never been asked for receipts etc. In our case I am allowed to work and make upto around $13000 a year and not have benefits affected,anything over that and I lose $1 for every $2 earned. You also are allowed to bank some but not more than $2000 per person or it is viewed you do not need the help and you may be cut off

$2000 is for SSI, NOT survivor benefits. Survivor benefits are NOT needs based. (Social Security employee as of yesterday!)

 

[jfranklyn]

These responses have all been very helpful. Thanks to everyone.

 

[Eeyore'sthebest]

We've been receiving the benefits for years for DD (DH is disabled). All I do is check the box that we used all the expenses for her support and that's it. I don't provide documentation. However, her tuition at Catholic school pretty much matches her payments so I figure I'm okay.