Brother asks me how to pay property taxes when he doesn't have much money? - AgingCare.com

Brother asks me how to pay property taxes when he doesn't have much money?

Follow
Share

Mom left the house to my brother. Not good choice. He is on SS I and food stamps.He Will have $ 700 in his bank account when the bill is due. Payed in half. Almost $2000. Is due in September. The trust can't pay the bill I don't think. It's a housing expence. What am I supposed to do. He doesn't have intellectual disabilities. Really, he should be responsible for himself. He won't even think of moving.

This question has been closed for answers. Ask a New Question.
24

Answers

Show:
1 3
The trust can't pay for taxes. But the SSI isn't reduced or temporarily ended unless brother gets money directly. Or maybe they find out trust is paying for stuff not supposed to.I'm personally going to pay the summer taxes. And I hope by winter he is approved for tax credit. And can afford the taxes. If not he has to sell home.
Helpful Answer (1)
Report

Rainmom I was not referring to what the trust fund can or cannot pay for, but how his SSI disibility benefits might be affected by household expenses being paid for out of the trust. It could reduce his SSI benefits.
Helpful Answer (0)
Report

ArmyRetired - I'm going to beg to differ regarding what a Special Needs Trust can and can't pay for. It can vary depending on how it's written. My sons trust has a somewhat vague clause that simply says the trust can not pay for anything that can be paid for another way. So if there is no other way available at the time of need... And I hate to say this out loud - but since I am the only trustee, who's really going to know what I use the money for - there is certainly no interested party looking over my shoulder when it comes to my sons care - basically the main reason the trust was established- so he has resources after hubby and I are gone. It is my whole hearted intention to never touch a dime of that money - and I haven't in the twenty years it's been in existence. I have complete faith that my sons trust is legally written as it was done by the premier law firm in Oregon - specializing in trusts, estate planning etc. Not bragging - it was my mother who insisted this firm was used and she footed the bill.
Helpful Answer (0)
Report

Your brother's SSI benefits could be affected by the payout of real estate taxes from the trust. It depends on what type of a trust it is. Maybe that is why he is required to pay the taxes out of his SSI income. A special needs trust funds cannot be used for payment of bills for housing-related expenses like mortgage payments, real estate taxes, utilities and condo fees.
Helpful Answer (0)
Report

The lawyer tried to tell mom the realities about her house and the commercial property she owned. And tried to encourage her to sell at least the property. Mom refused. Partly she was scared of brother and partly was protective and didnt want him homeless and expected the property to bring in money for upkeep of home She couldn't see reality any better than brother. Running the trust is not an issue yet. I'm still in the settle the estate and figure out how to get things from mom run and paid to brother run and paid. Complicating the process is a trust that is not allowed to pay for housing or food. But is alowed to pay the telephone bill, home insurance and other stuff. But brother has to pay from SSI taxes, utilities, etc. Mom only died less than three months ago. It takes time to straighten every thing out.
Helpful Answer (0)
Report

Barbara, the lawyer who drafted the trust must have taken the property taxes into account. Is the lawyer that you're talking to the one who drafted the trust? Did she forsee that your brother would be able to continue to live in the house and maintain it?

It sounds as though your brother needs for someone to be in charge of his life...and it shouldn't be you. Agreed with paying the lawyer (out of the assets of the trust) to manage it, and to be the one to explain the facts on the ground to your brother.

Barbara, your brother is mentally ill. This is neither his fault nor yours, but it IS a factor in this mess. You (along with any other human being) will have a limited ability to change your brother's mind about things, since he doesn't see reality the way most people do.

For the sake of your mental health, you need to get someone else, preferably a lawyer, to be in charge of your brother's trust.
Helpful Answer (1)
Report

Can you simply pay the taxes out of the money you are waiting to put in the trust?
Helpful Answer (2)
Report

More money can be put in the trust as soon as the lawyer says you can. And that is likely to be ... ??

When more money is put in the trust, can the tax be paid out of the trust then? Or is this problem going to come up every year?

Can the lawyer simply manage this for you, for an additional fee, of course?
Helpful Answer (0)
Report

She was afraid that she would need the money so she didn't want me to put a lot in the trust before she died. But almost all her money in her estate will be put in the trust as soon as the lawyer says I can. But I'm sure mom didnt think about property taxes. And I know she didn't know that the trust wasn't allowed to pay property taxes. She wasn't rich. But she kept her expences down so she would have more for my brother. A lot of her money was spent on things she had to the
last few years of her life. And she was constantly worried about my brother. Making herself sick. So I started telling her I would help brother. To keep her from a nervice breakdown. The trust can pay insurance and house maintenance.
Helpful Answer (0)
Report

Mom planed to put all the money she had into the trust -- but she didn't? What did she do with the rest of the money?

I don't think this is your problem. Let a lawyer take over the trust management duties. If there is not enough money in the trust to cover taxes and insurance and maintenance, and your brother's disability income is not enough to cover those expenses, then your mother simply did not succeed in her intention to take care of him, did she? This is Not Your Fault. Given the nature of your relationship with your brother I think that you are justified in stepping out of the management role.

How did it happen Mother did not provide for him as she intended? What happened with the rest of the estate? Maybe that will provide some clues.
Helpful Answer (4)
Report

1 3
This question has been closed for answers. Ask a New Question.
Related
Questions