Taking care of your loved ones doesn’t end with your death. To continue caring for your loved ones, you must create an estate plan. An estate plan allows you to outline who you want your hard-earned assets to be distributed to after you’ve died. If you are someone who has a loved one with special needs that you want to ensure is protected legally and financially after you’ve passed away, it is critical to create a special needs trust. Estate planning involves different types of trusts to leave funds to designated beneficiaries. When you are creating an estate plan, it is imperative to consider different strategies that can help you ensure your loved one is provided for without risking their eligibility for public assistance programs. Keep reading to learn how this type of trust can help you protect your loved ones and discover how a dedicated Montgomery County Trust Attorney can help you.
What is a special needs trust?
One of the main ways you can protect your loved one with special needs in an estate plan is by creating a special needs trust. This type of trust is a fiduciary legal agreement that allows a physically or mentally disabled individual to receive their inheritance without reducing their eligibility for disability benefits provided by Social Security, Supplemental Security Income (SSI), or Medicaid. Essentially, you would designate a trustee to manage the assets on your loved one’s behalf. This way, you can ensure that your loved one with special needs will not be taken advantage of in any way financially. It is important to choose the trustee carefully as they will be responsible for managing the finances of your loved one. You want to choose someone that will not abuse their power and has your loved one’s best interests at heart. Further, when estate planning you can outline exactly how you want your loved one with special needs to receive care. The assets that are held in the trust can be used for your loved ones’ necessary expenses like medical, caretaker, and transportation costs. Ultimately, if you want to ensure your loved one with special needs is protected, you should create this type of trust.
If you are someone who wants to protect their loved one with special needs, please don’t hesitate to reach out to one of our trusted and proficient team members. Our firm is committed to helping our clients use different estate planning strategies to protect their loved ones legally and financially. When it comes to family, you want to ensure you do everything in your power to ensure they are protected after you die. Allow our firm to offer you individualized legal counseling today!