What you need to know about special needs trusts

On Behalf of | Apr 13, 2022 | Uncategorized

If you have a loved one with special needs in Evansville and Southern Indiana, you know how important it is to provide for them financially. A special needs trust can be a great way to ensure that your loved one continues to receive the care and support they need even after you’re gone.

What is a special needs trust?

A special needs trust is a type of trust that is specifically designed to provide for the care of someone with special needs. The funds in the trust can be used to pay for things, like medical expenses, housing and other necessary support services. Many people often use it to supplement government benefits, like Medicaid.

Creating a special needs trust can be a bit complicated, but it’s worth it to know that your loved one will be taken care of.

How to create a special needs trust

First, you’ll need to choose a trustee. This person will be responsible for managing the trust and making sure that the funds are used for the benefit of your loved one. It’s important to choose someone you trust implicitly and who has experience with trusts and investments.

Next, you’ll need to decide how much money to put into the trust. This will depend on your loved one’s needs and how much government benefits they currently receive.

After that, you’ll need to establish the trust by creating a document that outlines the trustee’s duties and your loved one’s eligibility for government benefits.

Finally, you’ll need to fund the trust by transferring assets into it. These can be things, like cash, property or investments.

If you’re looking for a way to provide financial security for your loved one with special needs, a special needs trust can be a great option. By understanding the importance of this document and the steps needed to create one, you can ensure that your loved one will get taken care of long after you’re gone.