A common concern you may have with a Reverse Mortgage is will your benefits be affected when you receive a Reverse Mortgage? Will you still be able to collect Social Security? Will your pension be affected? What happens to your Medicare or Medicaid benefits? There are a lot of myths about what happens to your benefits, here are the facts with your benefits and getting a Reverse Mortgage.

Social Security benefits

A Reverse Mortgage does not affect your Social Security benefits*. You will still be able to receive your benefits and they will not change once you have your Reverse Mortgage. You have been paying into your Social Security while you have been working, and receiving a Reverse Mortgage will not affect your benefits.  For example, let’s say you have had three jobs over your working life time.  While you working, you paid into Social Security. Now you are retired, finally able to collect on your Social Security. Then you decide that a Reverse Mortgage makes sense for you. Deciding to have a Reverse Mortgage will not affect your Social Security benefits.

Pension benefits

Your pension benefits are something you established with your employer and this cannot be affected by receiving a Reverse Mortgage. For example, let’s say you worked for 30 years and had a well established pension when you retired. That well established pension you built up over 30 years will not be affected if you choose to take a Reverse Mortgage. Your pension is something you saved and worked hard for. In no way can your pension be affected by receiving a Reverse Mortgage.


In 1965, Congress created Medicare under a part of the Social Security Act to help seniors with healthcare costs. Medicare was a way to provide health insurance to people age 65 and older. This government program is available to assist seniors in paying for their healthcare. Like Medicare, a Home Equity Conversion Mortgage (HECM) Reverse Mortgage offered by One Reverse Mortgage is a government program that helps seniors financially. That means you keep your Medicare benefits when you received a Reverse Mortgage, and vice versa.


The only thing that could possibly be affected with a Reverse Mortgage is your Medicaid benefits. Medicaid eligibility requires applicants to have no more than $2,000 ($3,000 for a couple) in assets on any day out of the month. This however, does not affect your eligibility for a Reverse Mortgage because to your income is not a factor with a Reverse Mortgage.  You can still receive a Reverse Mortgage but you may not be able to receive your Medicaid benefits.

So for example you are on Medicaid and you received a lump sum of $6,500 from your Reverse Mortgage and only spent $4,000 of it by the end of the month. The remaining $2,500 you decide to put in the bank. After 30 days that deposit of $2,500 would become an asset and would exceed the eligibility requirements of Medicaid. To avoid that from happening to you, contact your Medicaid administrator to determine exactly how to comply with the Medicaid eligibility requirements, if you do decide to receive a Reverse Mortgage. Your Medicaid administrator will be able to help you determine if you can have a Reverse Mortgage and receive your Medicaid benefits.

Truly the only program that is affected by a Reverse Mortgage is Medicaid. If you have any questions about your benefits and a Reverse Mortgage, consult your financial advisor. If you have any questions about the Reverse Mortgage program contact us. One Reverse Mortgage is the largest reverse-only mortgage lender in America. We will work with you and help you achieve your financial goals. Call today (800) 442-6828 or contact us by email at help@onereverse.com. We will help you through every step of the process.

*May affect SSI or Medicaid. Please consult with your financial advisor.