Social Security Grandchild Benefits in Kentucky

Many grandparents raising grandchildren in Kentucky worry that taking in a child will reduce their Social Security check or disqualify them from benefits. Here is what actually happens — and what the child may be entitled to independently.

Your Social Security Does Not Change

Raising a grandchild does not reduce your Social Security retirement, SSDI, or SSI payment. The Social Security Administration does not adjust your benefit because a child lives in your home. Your monthly amount is based on your work record and claiming age — household composition does not enter the calculation.

This also means your Social Security income is irrelevant for the child's K-TAP eligibility. Under Kentucky's child-only K-TAP rules (921 KAR Chapter 2), the caregiver's income — including Social Security retirement, SSDI, SSI, pensions, wages, and savings — is completely excluded from the eligibility determination. Only the child's own income counts.

Benefits the Child May Be Entitled To

A child in your care may qualify for Social Security benefits on a parent's record:

Survivor benefits — if a parent is deceased, the child may receive monthly survivor benefits on that parent's work record. The child can receive up to 75% of the deceased parent's benefit amount. These payments are for the child and are paid to a representative payee if one is appointed. Benefits generally continue until age 18 (or age 19 if the child is a full-time student in an elementary or secondary school).

Dependent benefits on a living parent's record — if a parent is receiving Social Security retirement or disability benefits, the child may qualify for a dependent benefit of up to 50% of the parent's amount, subject to the family maximum.

SSI (Supplemental Security Income) — if the child has a qualifying disability, the child may be eligible for SSI payments. When the child lives with a non-parent relative, that relative's income is not deemed to the child, though the child's own income, resources, and living arrangement remain relevant to eligibility and payment.

How Child Social Security Income Affects K-TAP

Here is where it gets specific. If the child receives Social Security survivor benefits or dependent benefits, that money counts as the child's unearned income for K-TAP purposes. It is evaluated against the K-TAP benefit standard:

• For one child, the standard of need is $481 and the payment maximum is $372
• The first $50 of monthly child support is disregarded, but Social Security benefits are not subject to the child support disregard

If the child's Social Security benefit exceeds the gross income limit (185% of the standard of need), the child is over-income for K-TAP. For one child, that threshold is $890 per month. Many children's survivor benefits fall below this level, meaning K-TAP and survivor benefits can stack.

SSI works differently. The child's SSI payment is direct child income and affects child-only K-TAP eligibility. In a sibling group, ask DCBS how the SSI-recipient child's status affects the benefit group. Do not assume SSI can be stacked with child-only K-TAP for that same child.

GPO and WEP Are Repealed

If you are a retired government employee worried about the Government Pension Offset or Windfall Elimination Provision reducing your Social Security — those provisions were repealed by the Social Security Fairness Act (signed January 5, 2025). If your benefits were previously offset, SSA issued retroactive adjustments back to January 2024. If you never applied because you assumed the offset would zero out your benefit, file a new claim — it is not automatic.

Practical Next Steps

If a parent is deceased or disabled and you believe the child may qualify for Social Security benefits, contact SSA at 1-800-772-1213 or visit your local Social Security office. Bring the child's birth certificate, the parent's Social Security number, and the death certificate or disability documentation.

Most children under 18 need a representative payee. If SSA selects and appoints you, you must use the funds for the child's current needs (food, clothing, shelter, medical care) and keep records of how the money is spent.

For a complete breakdown of every Kentucky benefit available to kinship caregivers — including how K-TAP, SNAP, Medicaid, and CCAP interact with Social Security — see the Financial Help for Grandparents and Relatives Raising a Child in Kentucky guide.

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