Starting a LLC While Collecting SSDI or Long-Term Disability
I have been on long-term disability from a large corporation for over 10 years. I am considered an active employee and my benifits continue as long as I am deemed disabled. A friend has a startup that he has asked my help with. (I will not be working on this full-time because I can't, but am able to provide valuable software expertise on a limited basis) He would like to compensate me but I can't risk losing SSDI or my LTD. I can retire from my LTD employer in a few years and lock in my insurance coverage but I can't risk losing my SSDI or the insurance benefits from my employer. (My medical bills without insurance would be astronomical.) The startup is willing to compensate me with shares but I don't know the best way to do this and not risk my benefits. I am trying to find out how to proceed other than providing my services for free. Another thing to note is that I lost everything but my 401K's a few years ago and have kids in college who qualify for all kinds of financial aid because of my situation. That is also factoring into my dilema. Would forming an LLC be a a way to proceed where the shares could be put in the name of the LLC, as well as some actual financial compensation for expenses incurred? The upside potential is credibly phenomenal, and as such, I don't want to miss out on this opportunity.
Re: Ssdi, Corporate Long-Term Disability, Impact Forming LLC
"If you do not want to miss out on the potential, take advantage of it without defrauding the government or your employer.
Re: Ssdi, Corporate Long-Term Disability, Impact Forming LLC
so, you are looking for a way to scam your former employer as well as the federal government? Sorry dude but if you are capable of earning a living, you have no right to SSDI or the benefits from your former employer.
Re: Ssdi, Corporate Long-Term Disability, Impact Forming LLC
What a jerk. I don't want to scam anyone. This is a temporary situation which I have been asked to help out on which may turn out to be nothing but it could also enable me to get off of all aid. I just can't risk losing it if it fails. Must be nice to be so perfect and financially secure that you can judge others without really knkwing the whole situation. If you don't have anything nice or helpful to say keep your mouth (and keyboard) shut! You have no idea what hell I have been through and are in no position to judge me.
Re: Ssdi, Corporate Long-Term Disability, Impact Forming LLC
Quote:
Quoting
Ctalakot
What a jerk. I don't want to scam anyone. This is a temporary situation which I have been asked to help out on which may turn out to be nothing but it could also enable me to get off of all aid. I just can't risk losing it if it fails. Must be nice to be so perfect and financially secure that you can judge others without really knkwing the whole situation. If you don't have anything nice or helpful to say keep your mouth (and keyboard) shut! You have no idea what hell I have been through and are in no position to judge me.
You asked advice on how to conceal your income from social security and your former employer.
This is expertlaw not expertwelfarefraud
Re: Ssdi, Corporate Long-Term Disability, Impact Forming LLC
what I see:
I and every other citizen of the US is paying to support you because you are disabled.
You have insurance through your former company because you are disabled
You have been retrained or somehow gained the skills to be able to obtain gainful employment. You want to start earning from using those skills but you do not wish to give up the other sources of income unless it works out for you.
To me, that is a scam. Either you are disabled and not able to work or you are not disabled and able to work.
There is a trial work period possible while receiving SSDI. It allows you to work and earn a limited amount of money for a limited period of time without terminating your SSDI benefits.
http://www.ssa.gov/redbook/eng/ssdi-...ports.htm#a0=0
as far as your former employer benefits are concerned; that is a matter between you and them. It is determined by policy, not law.
Re: Ssdi, Corporate Long-Term Disability, Impact Forming LLC
I didn't see it like that. I am not trying to hide anything just protect myself from losing things I need and could not survive without. It would suck to lose all of my benefits because I helped out a friend and then when and if it doesn't pan out be unable to work, unable to get medical care and have nowhere to live. It is pathetic that to even try to help a friend I could lose so much and in trying to protect myself have it construed as fraud. What a crazy world we live in. No wonder why so many people stay on government assistance!
Re: Ssdi, Corporate Long-Term Disability, Impact Forming LLC
You would not lose your welfare for helping a friend. But you will lose it if you try to conceal income--which is exactly what yor stated intention was for creating an LLC. That is welfare fraud
Re: Ssdi, Corporate Long-Term Disability, Impact Forming LLC
I guess it looks that way, but I wasn't intending on concealing it. I guess I can see how it would be misinterpreted that way. My mistake in poorly explaining my intentions, which definitely are not to commit fraud. It was my understanding that everything in an LLC is reported under my ssn anyways, so how is that concealing it? Isn't an LLC a good idea for a consulting situation? Perhaps I should just not bother. It is amazing to me how jaded and vicious people can be. I have been through so much and didn't go on disability until I had been in the workforce for over 25 years. It definitely appears like it is a bad idea just to even try to work a little. That really sucks but you law experts have made it clear that it is better to not risk what I have, even for a friend. Thank-you for clarifying things.
Re: Ssdi, Corporate Long-Term Disability, Impact Forming LLC
If you are performing a service for a business and you receive some kind of remuneration (paycheck, stock) you are working. If you want to a favor for a friend, then do the favor without expecting to be paid. If you want to be paid, report your income to SSA. Someone provided the link to work incentive rules. There is a trial work period, extended period of eligibility, expedited reinstatement. Read the rules and figure out how to apply them to your situation. Or work for free.
You have made a deal with SSA. You will follow the rules and you will get a check and Medicare.