Understanding Equitably Adopted Children and Social Security Benefits, § 404.359

Equitably adopted children can be eligible for social security benefits under certain circumstances.

In this blog post, we will explore who qualifies as an equitably adopted child and the legal framework surrounding their eligibility for benefits.

What is an Equitably Adopted Child? An equitably adopted child is a person who was intended to be adopted by an individual (the insured) but the formal adoption process was never completed. Despite the absence of a legal adoption, an equitably adopted child may still be eligible for benefits as long as certain conditions are met.

Key Conditions for Eligibility:

1. Agreement to adopt: The insured must have agreed to adopt the child in a manner recognized under the applicable state law.
2. Inheritance rights: The equitably adopted child should be able to inherit a share of the insured’s personal property if the insured dies without a will.
3. State law requirements: The agreement to adopt and any performance requirements must conform to the state law where the insured resides.

Determining Applicable State Law: The state law that governs the determination of an equitably adopted child depends on the timing of the application for child’s benefits:

1. After the insured’s death: The law of the state where the insured had their permanent home at the time of their death will be followed.
2. During the insured’s life: The law of the state where the insured has their permanent home at the time of the application will be followed.

Example:

Jane and John Smith always wanted to adopt a child. They developed a close relationship with their neighbors, the Johnsons, who had a young daughter named Lucy. Tragically, the Johnsons were involved in a car accident, which left Lucy orphaned. The Smiths, knowing Lucy’s parents’ wishes, verbally agreed to adopt Lucy and care for her as their own child. They took her into their home and raised her alongside their biological children.

Due to various circumstances, including financial and health issues, the Smiths never legally adopted Lucy through the formal adoption process. However, they continued to treat her as their own child and provided for her needs. The Smiths and Lucy lived in a state where an oral agreement to adopt, if proven, would grant Lucy inheritance rights as if she were their biological child.

Years later, John Smith passed away, and Lucy applied for social security benefits as an equitably adopted child. Since there was a recognized agreement to adopt under state law and Lucy would be able to inherit a share of John’s personal property if he died without a will, she was considered an equitably adopted child. Therefore, Lucy was eligible to receive social security benefits based on John Smith’s work record.

Conclusion: Understanding the concept of equitably adopted children and their eligibility for social security benefits is important for families in unique situations where formal adoptions have not taken place. If you believe you or someone you know may be considered an equitably adopted child, it is crucial to consult with an attorney who specializes in family law and social security benefits to ensure you fully understand your rights and eligibility under the applicable state law.

https://www.ssa.gov/OP_Home/cfr20/404/404-0359.htm