I want to sell my home to downsize and purchase a smaller house that will profit from the sale affect the social security benefits.?
- babyboomer1001Lv 710 months ago
No difference whatsoever. One has NOTHING to do with the other.
- Anonymous10 months ago
Down sizing is a myth in the USA
I will not address the world
assuming your not super rich and worry about the Social Security benefits
if you are super rich and have a mega expensive home ,, the SS should not be a concern one way or the other
DOWN sizing is seldom a possibility for most people
if you have a very VERY expensive home all paid for,,, OK you can sell it and buy a real nice middle income home ..
but if you live in a middle income home or/and your home is not paid off
the only way to downsize is sell and buy in a slum ,, low cost part of town, ghetto, barrio, white trash etc
there are no one bed room nice homes in gated community that cost less than middle income area for 25% the cost of the other homes...
if they did they would be filling of the low income people running it down to slum levels...
this is a myth to down size ,,,, most people claiming to down size end up spending more than the house they moved out of
- SlickterpLv 710 months ago
Retirement? No effect at all.
- SCATTY cLv 610 months ago
What country ?
In the UK, SOME benefits are means tested - which means, that if you have more than £x in savings, then you either don't receive them or the amount you receive is reduced. Other benefits, eg unemployment or sickness, you are entitled to, regardless of whether you have £1 to your name or £1m.
So, Yes, making money from a house sale MAY disqualify you from some benefits
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- JudithLv 710 months ago
Assuming you are in the US - there are 26 countries with social security benefits. If you get social security benefits in the US - it has no impact. Social Security isn't based upon financial need and your resources are immaterial.
If you get SSI (supplemental security income) that is a different story. SSI is a federal welfare program. The difference between what you sold your home for and bought the new home is a resource and if it is $2000 or more (if single) or $3000 or more (if married) then you have gone over the resource limit and will not be eligible for SSI until you present proof of spend down.
NOTE: You get notices from social security. Start reading them. They tell you what changes you are supposed to report and how to report those changes. You are to report changes within 10 days of the event. You can also read up on your reporting responsibilities at ssa.gov.
I was a SS claims rep for 32 yrs.
- SimplytheFACTSLv 710 months ago
not if its SSDI or SS retirement. if you have SSI, that will be stopped until you spend resources down. (in the US)
- 10 months ago
Make sure you do your research and contact social security to get an accurate answer . Good luck
- PearlLv 710 months ago
i would ask social security this question
- EvaLv 710 months ago
No. The income from the sale of your personal residence isn't reported on your tax return unless the profit is over $250,000 (single) or $500,000 (married). Only wage or self employment income can affect ss benefits. Investment income can have an effect on Medicare premiums, but only for higher income brackets.