Thank you David. That's part of the problem, we don't actually know what this was for. We are assuming it's some sort of beneficiary payment but the statement only said "Benefit for 2025" with no other info. I just looked up a copy of the actual check and a note at the bottom states "Soc Sec For Ins." I remember I had tried calling the SS office a while back and they were of little help, just basically telling me that something was owed and it went to my husband as my father-in-laws beneficiary. I'm just concerned that if we don't categorize this correctly then it might mess up our taxes, either overpaid or underpaid. It's not huge $$s but we certainly don't want trouble with the IRS for not handling it properly. Does it ultimately matter if we choose lump sum payment or not? Do you know how that impacts the calculation of taxes?
