[WSBAPT] PI Settlement Proceeds and SSI/Medicaid Eligibility

[Brent Williams-Ruth]

The most easy advice would be to work with the attorney to distribute to
the beneficiary on the very first day of the next eligibility month and
then SPEND IT DOWN within 25 days (just to give extra assurance she will
not exceed income levels by the next month.

I say this with a significant amount of privilege but $16,000 is not that
much in today's world for caregiving of an elderly individual. I am certain
that they can find $16,000 worth of lawful expenses where she can spend
this down.  The issue is not that she is getting this distribution, the
issue is that she cannot have it in her bank account when the next
financial period runs otherwise she will likely lose her eligibility until
she proves it has been spent down.

I know it isn't like this in reality, but I picture a massive wall with
every need-based beneficiary. On that wall is an LED light that illuminates
the day the next eligibility period runs if they are $1.00 over the
eligibility threshold and then a letter will be auto-generated the next day
advising that she exceeds her threshold amount and her benefits are
suspended effective immediately.

Good luck!!

*Brent Williams-Ruth* (pronouns: he/him)

*Attorney-At-Law*

*Law Offices of Brent Williams-Ruth, **a division of BWR Consulting, PLLC*

*Physical Address: 500 S 336th Street, Suite 214; Federal Way, WA 98003*

*Mailing Address: **PO BOX 3319; Federal Way, WA 98063 *

Office/Scheduling Phone: (253) 285-7751

For All Meetings & Scheduling: info at williams-ruthlaw.com

e-mail <Brent at Williams-RuthLaw.com> / website
<http://www.williams-ruthlaw.com/> / facebook
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On Fri, Nov 6, 2026 at 1:38 PM Setareh Mahmoodi <sm at lawofficesofsm.com>
wrote:

> Hello all,
>
> I’m looking for guidance I can pass along to the mother of one of my
> clients. She is in her mid-70s and will receive approximately $16,000 from
> a $30,000 car accident settlement after attorney fees and reimbursement of
> Medicare and Medicaid medical expenses.
>
> My understanding is that she receives SSI and Medicaid for health
> insurance purposes. She is not in a nursing home or receiving long-term
> care services. Given her limited income and resources, the family’s primary
> concern is preserving her eligibility for both programs while minimizing
> the costs associated with any planning.
>
> If anyone has experience with this and has a few minutes to chat, or can
> share resources or recommendations, I would greatly appreciate it.
>
> Thank you!
>
> *Best regards, *
>
> *___*
>
> *For streamlined communication, please remember to reply to all or include
> my paralegal on all correspondence at nazi at lawofficesofsm.com
> <nazi at lawofficesofsm.com>*
>
> *Setareh Mahmoodi *
>
> *Attorney at Law *
>
> *Law Offices of Setareh Mahmoodi, PS*
>
> 18222 104th Ave NE, Suite 103, Bothell, WA 98011
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>
> *Phone: *(425) 806-1500
>
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>
> *Email: *SM at lawofficesofsm.com
>
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