A properly drafted Special Needs Trust safeguards eligibility for Medicaid and SSI while providing funds for therapy, respite, and growth opportunities. By separating assets from the beneficiary’s direct control, families can fund essential supports without risking benefits, ensuring long-term security while respecting the beneficiary’s independence.
A thorough plan shields resources from mismanagement and reduces the risk that assets will disrupt eligibility. By directing funds through a trusted mechanism, families can provide steady care and opportunities without sacrificing essential benefits.
Hatcher Legal, PLLC brings North Carolina experience in estate planning and guardianship, with a focus on families and individuals with disabilities. We tailor strategies to fit your goals, budget, and timeline.
We assist with funding transfers, asset retitling, and post-signature governance. Ongoing follow-up ensures the plan stays aligned with changing care needs and legal requirements.
A Special Needs Trust is a legal tool designed to provide for a person with a disability without disqualifying them from essential public benefits. There are two main types: first-party (self-funded) and third-party trusts; each has distinct rules about funding, payback provisions, and administration.
The trustee can be a family member, friend, or professional fiduciary. The choice should consider reliability, understanding of the beneficiary’s needs, and ability to oversee ongoing distributions. In many cases, families appoint a trusted individual as co-trustee with a professional entity to balance accessibility and compliance.
First-party trusts are funded with assets belonging to the beneficiary and often include a payback provision to Medicaid. Third-party trusts are funded by others and do not require payback, often used to preserve public benefits while providing for future generations.
Properly drafted trusts preserve access to benefits while allowing supplemental support for care, therapy, and activities. However, mishandling distributions or ownership can jeopardize eligibility; professional guidance helps maintain compliance.
Funding sources can include family savings, life insurance, and gifts from relatives. We design funding methods that integrate with the trust’s terms and ensure ongoing availability of funds for approved needs.
Setting up a Special Needs Trust typically takes a few weeks to draft, review, and finalize after goal clarification. The timeline depends on complexity, funding arrangements, and participant availability for signatures and asset transfers.
Some trusts can be amended or revoked with court approval or as permitted by the trust terms. Dissolution may require careful planning to protect the beneficiary’s eligibility and ensure a smooth transition of funds.
Fees vary with complexity and funding strategies; we provide transparent estimates and detailed engagement letters. Expect charges for initial consultation, drafting, and periodic reviews, with potential additional costs for funding and annual administration.
No, you do not need to be NC licensed to discuss options, but enabling lawful documents generally requires a North Carolina attorney. An NC attorney ensures compliance with state statutes and benefits rules and coordinates with your financial team.
To begin, contact our office to schedule a consultation. We’ll review your family’s situation and outline suitable options. You can call 984-265-7800 or use the website to request an appointment.
