Establishing a special needs trust safeguards government benefits while enabling family members to contribute funds for education, recreation, and medical care. It reduces the risk that a lump sum will disrupt eligibility, providing financial stability for a disabled beneficiary. Thoughtful trust design can also simplify lifetime management and future legacy planning.
By integrating the trust with other estate tools, families reduce the risk of unintended consequences and ensure resources are available when most needed.
Choosing a law firm with experience in estate planning, guardianship, and disability planning helps families feel confident that plans will withstand changing laws and life events.
We provide ongoing support, annual reviews, and updates as laws or family circumstances change.
A special needs trust is a private trust designed to support a beneficiary with a disability without disqualifying them from means-tested benefits such as Supplemental Security Income or Medicaid. The trust is managed by a trustee who distributes funds for goods and services not covered by public programs. Funding can come from family gifts, settlements, or life insurance proceeds, and careful drafting ensures that distributions enhance quality of life while maintaining eligibility.
Yes. A special needs trust is intended to preserve eligibility for means-tested benefits while allowing funds to be used for enhanced care, education, recreation, or therapy. We typically recommend reviewing the plan regularly, because changes in laws or personal circumstances can affect benefits and funding options.
Funding sources can include settlements, judgments, gifts, or proceeds from a life insurance policy earmarked for the trust. Proper funding protects the beneficiary and ensures continued access to services without risking disqualification.
ABLE accounts are separate from special needs trusts but can complement SNTs. They provide a vehicle for modest savings to cover disability-related expenses without jeopardizing essential benefits.
Common trustees include family members, qualified donees, or professional fiduciaries. Choosing someone who understands beneficiary needs ensures timely distributions and accurate record keeping.
Typically, a properly drafted SNT does not affect eligibility if used correctly. However, improper distributions or co-mingling assets can impact benefits; professional guidance helps prevent this.
For the initial consult, bring financial statements, current benefit letters, guardianship documents if any, and a list of goals for the beneficiary. This helps tailor a plan that fits your family and ensures nothing important is overlooked.
The length of the process depends on funding, court involvement, and complexity of the plan. With thorough preparation and clear goals, drafting and funding can take a few weeks to a few months.
Yes. Trusts can be updated after creation to reflect changes in family circumstances, laws, or care needs. A simple amendment or restatement may be used to modify provisions while preserving the trust’s overall structure.
Fees vary by complexity and funding strategy. We provide clear estimates after an initial consultation. Most clients find that investing in a well-designed plan saves money and stress by avoiding preventable errors and ensuring ongoing benefit eligibility.
