It can be difficult caring for a loved one with special needs, even at the best of times, but it can become even more difficult if you are not prepared for the possibility that you will not be there to care for them forever. Thankfully, there are tools, such as the special needs trust, that can help you do just that. Here are five things you need to know about getting a special needs trust:
- It can let you set aside money for your loved one
- By placing your money and assets into a special needs trust, you can make sure it will be there to pay for your loved one’s expenses. This means you can be certain they will be able to pay their bills, go to their doctor’s appointments, or do whatever else they need for their health and well-being. Thus, your loved one can focus on their own matters, without needing to worry about where their money will come from.
- You can ensure your assets are managed by someone you trust
- As part of creating a special needs trust, you will appoint a trustee or trustees to manage it. A trustee is someone with the authority to manage assets held in a trust, with the legal obligation to do so in the best interests of the trust’s beneficiaries. In the case of a special needs trust, that beneficiary would be your loved one, who you can be certain will be protected by the trustees in charge of the trust.
- You can protect your loved one from fraud and exploitation
- A sad reality is that there are people out there who will try to take advantage of people with special needs, trying to defraud or exploit them for their money. A special needs trust can help prevent that by ensuring no money is paid out without the trustee’s approval. That way, you can limit the impact of scams and other types of exploitation on your loved one.
- You can protect your assets from taxes and debts
- A special needs trust also carries the benefit that its assets are shielded to an extent from taxes and creditors. This means that if someone tries to get their debts paid from your loved one’s money, they will struggle to do so. This allows you to make sure your money is there for your loved one, and will not be taken away by tax collectors or debt collectors looking to get their share.
- It can be part of a larger estate plan
- Ultimately, a special needs trust is simply one part of a much larger estate plan. That is why you should make sure to speak to a lawyer with experience handling estate law matters. They can help you put together a more complete estate plan that addresses your needs and makes sure all of your loved ones, including those with special needs, will be cared for.
The elder law attorneys at David J. Lorber & Associates, PLLC will work with you to determine whether a guardianship might be necessary for your loved one, and help you to get a guardianship that will suit your needs. For comprehensive guardianship and elder law services in New York, call David J. Lorber & Associates, PLLC at (631) 750-0900 or contact us online to schedule a free consultation at our Setauket office.
Recent Comments