SSI for child?

[PoorAnnie]

My child (under 18yrs) gets SSI for medical disability, is that money exempt for bankruptcy and not counted as our income since it is the child's income and it even has to be in a separate bank account.

[arami008]

My son receives SSI as well. I listed it on Schedule I line 11 where it says "Social Security and government assistance". But for the means test it doesn't count.

[lrprn]

My child (under 18yrs) gets SSI for medical disability, is that money exempt for bankruptcy and not counted as our income since it is the child's income and it even has to be in a separate bank account.

Social Security payments are protected from creditors by federal law. Only the government can collect its debts from funds originating in Social Security.

Here's what the Social Security website at http://www.ssa.gov/OP_Home/ssact/title02/0207.htm states when citing the actual SS law, "Sec. 207. [42 U.S.C. 407] (a) The right of any person to any future payment under this title shall not be transferable or assignable, at law or in equity, and none of the moneys paid or payable or rights existing under this title shall be subject to execution, levy, attachment, garnishment, or other legal process, or to the operation of any bankruptcy or insolvency law."

If the child receiving SSI is living in your household, then according the instructions on Part II, Line 10 the child's SSI income is *not* included in your six months income look-back. "Do not include any benefits received under the Social Security Act or payments received as a victim of a war crime, crime against humanity, or as a victim of international or domestic terrorism."

Of course, you need to confirm this with several experienced bk lawyers practicing in your area during your free initial consultations.

[PoorAnnie]

Thank you for your help. That is what we thought.