Rental Property And 100 Percent Permanent And Total Iu

[ytheydothis]

I been researching trying to find an answer...Im a 100 percent permanent and total and IU.

I have rental property and can make around 900 a month will that cause me to lose any of my benefits and is it considered work also recieves social security disability benefits... Thank You

Edited October 5, 2013 by ytheydothis

[Jim MAC]

I been researching trying to find an answer...Im a 100 percent permanent and total and IU.

I have rental property and can make around 900 a month will that cause me to lose any of my benefits and is it considered work also recieves social security disability benefits... Thank You

I was told by my VSO that as long as you do not manage the rental property you are good to go. I also have rental property but I have hired a managment company to rent them out and collect the rent. Then its no different then income from investments. If you do not have a rental company get one ASAP.

[free_spirit_etc]

Owning rental or investment property is okay. Managing such property could be considered gainful employment. I agree with JimMac - you might want to get a management company, or a family member, to manage it for you.

http://www.va.gov/vetapp13/Files2/1317141.txt

"Although the Veteran has consistently reported in written statements to VA that his PTSD has been chronic and severe since 2004, rendering him unable to sustain gainful employment and causing him total occupational impairment, and has also reported in written statements to VA that he stopped working in July 2003 as a result of his PTSD, several of the treatment records dated prior to June 7, 2008, do not corroborate this assertion. More specifically, an April 2005 psychiatry note reveals that the Veteran reported managing an investment business and taking care of real estate and was "semi-retired, but making a living;" and a November 2005 pulmonary outpatient consult note reveals that the Veteran reported current part time employment in a real estate business in sales/investments with his son. In addition, the Veteran reported being self-employed as a real estate investor at the time of the August 2004 VA examination and a December 2006 letter from Commerce Bank of Kansas was addressed to the Veteran at a lawn and tree service."

Social Security considers income from rental property to be investment income; and not earnings from employment. In fact most of the cases I found were involving people who were claiming part of their rental income as employment income for services they provided to try to qualify for having enough quarters of covereage.

http://www.ssa.gov/OP_Home/rulings/oasi/47/SSR75-18-oasi-47.html, http://www.ssa.gov/OP_Home/rulings/oasi/47/SSR65-28-oasi-47.html

Yet still, what Social Security counts as employment income for qualifying for benefits is not always the same for what they count as employment income when receiving benefits. So I still wouldn't want to push the issue by doing any substantial active management. Collecting rent and doing a small amount of management should be okay. But substantial management of anything that is earning money could be risky.

[broncovet]

If you have a tax advisor, ask him or her how you report your income. If you report this as "investment income", and dont take an active role in managing rental properties, then its likely ok.

However, if you are your own rental property manager and "fix it" man, then you are probably generating "earned income" as opposed to investment income. Ask your tax advisor which category you are in.

Veterans receiving IU are not precluded from making investments, but IU does preclude "substantial gainful employment". The difference seems to be are you actively managing your rental properties, collecting rent, fixing things, etc.

[Pete53]

Investment income is not the same as working. Includes stocks and bonds.