Trust Options for Those with Disabilities in Naples
In Naples, Florida, there are families with special needs members who want to make sure those special needs loved ones are cared for their entire lives. The problem with leaving someone with special needs cash in a will is that being a beneficiary can damage that special needs person’s ability to get the public funding they need to survive. If family members want to do something to help out a loved one with special needs, then there are trusts you can put together that will allow benefits to be distributed without hurting the chances of getting public assistance.
Special Needs Trust
The special needs trust is a special legal instrument created to allow family members to supplement the income of a special needs individual without harming their ability to get public assistance.
A self-settled trust is funded with the special needs individual’s own money, but it is monitored and distributed by the trustee in charge of the trust. If the special needs individual had sizable financial assets before they become disabled or if they won a large legal settlement as a result of the incident that disabled them, then that money can be put into a self-settled trust.
The self-settled trust does not affect the ability for the special needs individual to get public assistance because all assets that remain in the trust after the individual passes away are given to the government.
Earlier in this discussion we talked about how an inheritance from a deceased relative could damage a special needs individual’s ability to get public assistance. The third-party trust is the vehicle you can use to allow that inheritance to supplement the special needs person’s income without damaging their application status.
Any family member can contribute to a third-party trust and the benefits are used to pay for things that government assistance does not pay for, such as education and travel. When the special needs person who benefits from the third-party trust passes away, the proceeds from the trust can be distributed among surviving family members.
Special needs trusts are complicated and require time to plan and administer. The Mattar Firm’s special needs planning attorneys have years of experience in setting up special needs trusts and we can help your family to provide for a special needs loved one now and for the rest of their lives.