Anyone else want to take my money?

[stephie]

This is a lot to get off my chest, so please bare with me! We are living on a teacher's salary and my husband's social security disability. We have 2 kids, ages 11 and 17. Until last year, my husband was receiving long term disability payments from his employer. Last June we were informed that over the course of 3 years, they over-payed him $12,000. They have not payed him since last June and we have to pay them $500 a month. By June 1st of this year, we will have to pay the remaining $6,000. My husband will likely not live that long, so I may be paying them back after he dies.

A month ago we got a letter from the IRS that our 2009 taxes were done incorrectly. It was the first year we paid a tax company to do our taxes and they reported the income wrong. To make a long story short, I just had to pay an additional $2,400 for our 2009 taxes. That is on top of the $1,500 I paid for our 2010 taxes. My husband only makes $20,000 a year in social security, and he has to pay 10% back in taxes!

Last night we received an "updated financial aid statement" for our daughter who will start college next year. We thought we had everything figured out when she received the financial aid package in February. Since February, (thanks to the new federal bill cutting the budget for education) $7,000 of her state and federal aid disappeared. We now have to come up with $14,000 instead of $7,000.

We pay $700 a month for home health care 3 mornings a week. It is all we can afford, so I do the rest. I am desperate for more help but there is no money. I am tired of working so hard and trying to make the finances work when people keep taking away our modest income!

 

[Essbo]

Gee Stephie, Tell the disability people that it's not your mistake and not your problem, but you're willing to help them out by paying a portion. Negotiate a settlement. The guy that did your taxes should be responsible for penalties/interest.

Drink heavily.

 

[stephie]

You think like I do, Essbo!

 

[wheeler641]

i was a tax accountant for over 30 yeras and the figures just do not compute, someone with an income of only 20,000 in ss benefits should not have to pay any taxes at all. What you need to do is to file an amended return, just do not blindly pay them. I have found throuh the years that most irs agents are pretty understanding as long as the proper paper work is filed in a timely manner, margaret

 

[stephie]

Margaret.
His SSDI is taxable because it is combined with my income. I don't make a lot, but it is just barely enough to put him in the taxable range.

 

[toby1414]

Long-term disability will always subtract the amount you get from SSDI from their payment. It doesn't seem likely they didn't check on or ask you how much his SSDI amount was in 3 years. My husband's long-term hounds us all the time about it so they know they are not overpaying. Smells fishy to me. Trust me they won't pay more a month than they have to. Sounds like they made their own mistake somewhere. I would consider asking a few more questions. Like I said smells funny to me.

 

[toby1414]

Also, keep receipts on everything, you should be able to come up with enough medical expense deductions to keep from paying taxes.

 

[brooksea]

These disability insurance companies do this all the time. It's on you to make sure they are paying you the proper amount. That's just the way it is! It happened to us. We are still paying them back. When you are dealing with ALS, you don't think about double checking every little financial matter initially, as you trust that "everyone understands and can read financials," especially when you have such a mountain of paperwork with SSDI and private disability and so many people to talk to that keep telling you all will be taken care of. They would never screw you over...

Believe me, they know how much your husband was getting from SSDI! My husband's disability company sent him a letter saying they got the info from SSDI. (you have to sign some paperwork to let them access that info from SSDI, from the very beginning.)

I agree, you should be able to re-negotiate a payment plan by explaining your situation. Hopefully, you will have a compassionate "Ability Manager" to talk to! LOL

Good luck! I hope you will let us know if you get anywhere.

 

[Bad Balance]

Margaret:

I also recommend a "Margaret's nite off" once a week where you go out and do something just for you. My wife belongs to a book group and there are many other no cost reliefs you might find.

Sorry; I know this must be wearing you down.

- Jerry

 

[cukita99]

i know what u mean. i paid 8,000 in taxes for 2010. i pay 1,500 a month for 5 days of care, when does it stop.