State criminal charges were brought against A. While this action was pending, A was adjudicated to be insane and was committed to a state mental hospital. He was later awarded social security disability benefits.

A’s relative, H, was selected as his representative payee to receive his social security disability benefits and apply them for his use and benefit.

H would send A money from time to time, but would deposit the majority of A’s disability benefits into a savings account for A to use when he was discharged from the hospital.

The State Department of Mental Hygiene made a demand upon H for payment of $50 per month as a customary charge for A’s care and maintenance. H objected, complaining that A was committed to the hospital by the state due to criminal insanity.

However, under state law, A’s estate was liable for customary charges for his care and maintenance. Under social security law a representative payee must give highest priority to a beneficiary’s current maintenance needs, including customary charges made by the institution providing the care or maintenance. There is no “customary” charge unless the beneficiary’s estate is legally liable for the beneficiary’s care and maintenance.

In the instant case, because state law made A’s estate liable for his care and maintenance, payment of the $50 per month customary charge as demanded by the state was an appropriate use of A’s benefits.

See Social Security Ruling (SSR) 66-20.

This material should not be construed as legal advice for any particular fact situation, but is intended for general informational purposes only. For advice specific to any individual situation, an experienced attorney should be contacted.