The Uses of a Special Needs Trust
If properly arranged, a special needs trust can make a vast
difference in the beneficiary's life. Among the common uses for
special needs funds are:
- Education;
- Counseling;
- Medical equipment / home health care;
- Insurance;
- Transportation;
- Computers and other electronic equipment and appliances;
- Recreation – vacations, entertainment, and other expenses.
How does a special needs trust work? The person leaving the money,
also known as the grantor (for example, a parent), appoints a trustee
who is responsible for managing the assets, making purchases for the
beneficiary, and helping the beneficiary apply for government
assistance.
Although the trust is established for the person with the
disability, only the trustee has access to and authority over the
trust. The trust can be established to last for the beneficiary's
lifetime or for a set period (if, for example, the beneficiary will be
able to manage without assistance at some future time).
In some instances, the disabled person creates the trust, also
known as a “self-settled” special needs trust. Self-settled trusts are
often established by people who have become disabled in an accident or
because of medical malpractice, and who have received a financial
settlement for their injuries.
If you are considering establishing a special needs trust, Gregory
Herman-Giddens, JD, LLM, CFP and his fellow attorneys at TrustCounsel
have more than 16 years of experience in wealth
planning, protection and management. We have the knowledge and skill
to handle complicated trusts, and we are committed to protecting the
financial future of disabled individuals.
Mr. Herman-Giddens is licensed to practice law in North Carolina,
Tennessee and Florida. With offices in Chapel Hill and Pittsboro,
N.C., he serves clients throughout the United States, affiliating with
local counsel when advisable to ensure the best possible
representation. Please contact TrustCounsel
today or call us at 800-201-0413. Email:
info@trustcounselpa.com.
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