Special Needs Trusts can safeguard eligibility for Medicaid and SSI while providing funds for therapy, housing support, education, and recreational activities. When set up correctly, they reduce risk of disqualification and preserve quality of life. Our approach emphasizes compliance, transparency, and ongoing review to adapt to changing circumstances.
Integrating family goals with trust terms minimizes surprises and aligns caregiving plans. This coordination protects assets, preserves benefits, and supports a stable caregiving environment for years to come.
Our team blends experience in estate planning, asset protection, and disability planning to deliver comprehensive solutions. We offer plain-language explanations, transparent pricing, and a collaborative approach that keeps families informed at every stage.
Ongoing monitoring addresses investment performance, compliance, and beneficiary needs. We adjust terms and funding as circumstances change, preserving benefits and supporting long-term goals.
An SNT is a trust created to hold assets for a beneficiary with disabilities without affecting eligibility for means-tested government programs such as Medicaid and SSI. It provides supplemental funds for essential supports while preserving access to critical benefits, ensuring continued care and opportunities for participation in daily life. Many families start with a simple plan and expand as needs evolve. In Madison, we tailor the structure to fit family cash flow, goals, and long-term guardianship arrangements.
Typically, the person who owns the assets funds the trust. This can be a parent, relative, or caregiver who wishes to provide ongoing support. In some cases, settlements or incidental inheritances may fund the trust. It is important to coordinate funding with benefits requirements to avoid unintended disqualification. We guide families through these decisions carefully.
A properly drafted SNT generally preserves eligibility for Medicaid and SSI, but the rules are nuanced. Improper funding or distributions can affect benefits. We explain how the trust interacts with programs, recommend trustee practices, and implement terms that protect assets while maintaining essential supports for the beneficiary.
First-party trusts are funded with the beneficiary’s own assets and may incur state-related reimbursement obligations. Third-party trusts are funded by others and typically avoid personal resource limits for the beneficiary. Both types have specific uses and limitations; choosing between them depends on asset origin, goals, and benefit considerations.
Common choices include family members, professional fiduciaries, and trusted institutions. The best trustee is reliable, communicative, and capable of following complex legal instructions. We assess suitability, discuss administrative duties, and arrange for clear reporting and oversight to protect the beneficiary.
Setup time varies with complexity, but most plans take several weeks to a few months. This period covers gathering documents, drafting terms, identifying a trustee, coordinating funding, and obtaining any required approvals. We keep families informed about milestones and next steps throughout the process.
Costs include attorney fees for plan design, document drafting, and funding coordination, plus potential trustee fees and administrative expenses. We provide transparent estimates up front and work with families to balance protection, cost, and ongoing support. Financing options may be discussed to fit budgets.
Most SNTs can be amended or revised, depending on the trust terms and funding. Material changes typically require addenda or updated documents, and some trusts may require court or program approvals. We guide you through permissible updates while maintaining eligibility protections.
Key documents include beneficiary information, asset details, guardianship and care plans, and a proposed trustee roster. We also collect proof of benefits eligibility, income statements, and any existing wills or trusts. Gathering these early streamlines drafting and funding.
Regular reviews, at least every one to two years, help ensure plan alignment with current laws, benefits rules, and family circumstances. We recommend updates after major life events such as marriage, birth, relocation, or changes in guardianship or care needs.
