@Warbirdluvr sorry for our confusion.
In such a case , the personal rep. can file a final return for the deceased covering monies received post passing. See this --> Topic no. 356, Decedents | Internal Revenue Service
If there was an Estate of the decedent , then one can also recognize these incomes at the Estate level. Think in most cases it is simpler to file a final return.
As far as I know ( and based on my own experience ), the city health dept. updates the local SSA office ( I just went to the local SSA office with a copy of the death cert)
Hope this helps
