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Special Need Trust

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When most individuals think of estate planning, thoughts generally turn to writing out a will. Estate planning is actually a complex legal process. Contacting a reputable estate attorney is critical to ensure an individual’s final wishes for dividing assets and protecting the family.
Every estate planning situation will be different. Families with members who are physically, mentally or developmentally incapacitated will require special provisions. A special need trust can be set up to ensure the best possible care of a disabled family member.
What is a Special Need Trust?
The care for a disabled loved one can be a challenging and rewarding experience. The continuous care must be met throughout the disabled person’s life time. Making legal provisions with the use of a trust will give family members peace of mind for long-lasting quality care.
A special need trust is a …show more content…
An experienced estate attorney will be able to guide individuals to the right type of trust for the loved ones specific needs.
Types and Examples of Trusts
The choice of trust will greatly depend on the circumstances surrounding the loved ones care and the amount of monetary resources. Forming a trust in Pennsylvania requires the compliance of the 42 U.S.C. §1396p (d) (4) and 62 P.S. §1414 guidelines. All trusts are subject to approval in accordance with the regulations set by the DPW’s Office of General Counsel.
Third Party Trust/Supplemental Needs Trust
The third party trust never allows the beneficiary to own any assets to make him or her ineligible for public assistance benefits. The trustee has complete control on disbursement of funds. The benefactor does not have direct access to any funds. Examples of use include computerized equipment, pet supplies, and luxury items.
First Party

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