Money from a reverse mortgage is not considered earned income. Your proceeds are not taxable income* and there is no affect on your Social Security or Medicare Benefits.  Some people who receive Medicaid, SSI or any kind of public assistant and receive advances from their reverse mortgage will need to make sure that you do not keep them in an account past the end of the calender month.  If you do keep them in an account past the end of the calender month you should make sure it is not greater than the amounts allowed by these specific public assistant programs because it is considered liquid assets if you do.

* As in anything it is always wise to consult a tax advisor
 

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1. How safe are Reverse Mortgage?
2. What will happen to my house when I die?
3. What are my responsibilities once I get a reverse mortgage?

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