Creating a business as a disabled person

[ethan]

Jurisdiction

Virginia

I am a disabled veteran(70% from injuries and 30% unemployability and also Social Security) and need some clarification on setting up a LLC or non-profit.

Recently I have been doing some drone photography and some companies would like to pay me for my work. I do not want to interfere with my disability compensation because I never know when my condition is going to flare up. Losing part of my disability would ruin things.

**Note, in no way am I trying to get around any system or trying to get over on anything put in place for my disability.

If I were to setup a LLC or non-profit under my wife, would the businesses be able to pay her so its not directly affected towards me? Also, if shes the owner and I did the work would she still have to report who was on the job?

 

[Zigner]

**Note, in no way am I trying to get around any system or trying to get over on anything put in place for my disability.

If I were to setup a LLC or non-profit under my wife, would the businesses be able to pay her so its not directly affected towards me? Also, if shes the owner and I did the work would she still have to report who was on the job?

Yes, you are trying to "get around" the system. The irony is that you probably don't need to worry about it since VA disability is not income-based.

 

[ethan]

Was not my intent to give the impression that I want to do something wrong. My words were more of wanting clarification.

I realize the VA is not income-based but they did recently switch to getting information from Social Security. I would prefer not to do anything that would cause me to lose any of the benefits currently provided. From my understanding if I were to get any income, the 30% unemployability would be removed from the rating?

Wouldn't this issue also affect Social Security?

 

[army judge]

From my understanding if I were to get any income, the 30% unemployability would be removed from the rating

If that is what you were told, I'd think about THAT before I attempted doing ANYTHING, if I wanted to protect the bird in the hand rather than chase one on the bush.

 

[adjusterjack]

If I were to setup a LLC or non-profit under my wife, would the businesses be able to pay her so its not directly affected towards me? Also, if shes the owner and I did the work would she still have to report who was on the job?

That would be fraud and the consequences could involve loss of benefits and criminal prosecution.

With SSDI you can make up to $1220 per month and not lose benefits so there isn't any reason to commit fraud.

As for the VA unemployability thing you'll have to check your benefits guide to see how that works.

 

[ethan]

That would be fraud and the consequences could involve loss of benefits and criminal prosecution.

With SSDI you can make up to $1220 per month and not lose benefits so there isn't any reason to commit fraud.

As for the VA unemployability thing you'll have to check your benefits guide to see how that works.

Thats exactly what I wanted to know. I would never try and break the law which is exactly why I came here for advice. I will be contacting SS and the VA directly just to confirm.

 

[ethan]

I also just talked to a friend who is a CPA and they said I could be a sole proprietorship business since what I do is maybe once every few months.

This legal side is extremely confusing but thank you guys for leading me in the right direction.

 

[adjusterjack]

I also just talked to a friend who is a CPA and they said I could be a sole proprietorship business

That's right. You wouldn't qualify for non-profit status and an LLC doesn't provide the kind of protection that you think you've read about.

You'll need business liability insurance when you do it for money. Your home owners insurance won't cover your liability for business activities.

That's the big issue. If you aren't willing to buy insurance, don't do it for money at all. Not even once. Getting sued when one of your drones falls on somebody will wipe you out. Trust me. It happens all the time to people who think it'll never happen.

 

[ethan]

That's right. You wouldn't qualify for non-profit status and an LLC doesn't provide the kind of protection that you think you've read about.

You'll need business liability insurance when you do it for money. Your home owners insurance won't cover your liability for business activities.

That's the big issue. If you aren't willing to buy insurance, don't do it for money at all. Not even once. Getting sued when one of your drones falls on somebody will wipe you out. Trust me. It happens all the time to people who think it'll never happen.

Yep youre exactly right. I am a member of the AMA and if I do any events or venues, I will also have a blanket policy on top of my regular AMA insurance.