Tuesday, October 28, 2014

Child with disability can be protected with Special Needs Trust

Lynn A. Dean
Estate Planning Attorney
Concerned parents of adult children with disabilities often supplement what Social Security and State benefits don't cover for quality of life standards they are familiar with. The reality is no one can replace the unconditional love and support that parents have for their special needs child at any age. One option for parents who foresee the future needs of their child even when they themselves are no longer around is a special needs trust.  

A special needs trust (SNT) can be created so that the child can still receive extra care for costs over and beyond the monthly disability benefit.  It allows monies to be set aside to enhance quality of life but not disqualify them from receiving benefits.

A special needs trust can be included as part of your living trust. It specifies how trust monies can be used to pay for items not covered by public benefits. You can designate the trustee(s) who will be in charge when you are gone. It will also cover what happens to the trust funds upon your child’s death.

Even if your child is still young, it is wise to start planning now. For more information on trusts and estate planning, click here.

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