Recently I read a question in an online forum asking if you should put a disabled individual’s paycheck into their Social Security Representative Payee (Rep Payee) account or an ABLE account. The short answer? NEVER put any money other than the individual’s Supplemental Security Income (SSI) and/or Social Security Disability Insurance (SSDI) into a Rep Payee account. It makes accounting for those funds extremely difficult, especially if you ever get in a situation where you need to pay Social Security back. AND Social Security tells you explicitly NOT to do so in their “Guide for Representative Payees” (or as I call it, the “Rep Payee Handbook”). Page 6, last sentence of the first paragraph under the heading ‘How to hold funds’. “Also, don’t mix the beneficiary’s funds with your own or other funds.”
Read on if you’re interested in learning more about what a Rep Payee account is and how to use one.
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