I have an 18 year old special needs daughter. When she was an infant I set up a mutual fund with me as the custodian for her with a unif trans to minor act. Now that she is 18 we have applied for SSI. It is my understanding that she can't have more than $2,000 in her name. The acct has almost $4,000. Can I begin to withdrawal money from this account for her expenses (rent in our home, household expenses, eyeglasses, birthday party expenses, anything that is for her)? If so, what kind of records do I need to keep? Do I need to claim this as income? Are there tax issues related to this for her or I?
Thanks so much. Any information is appreciated.