The Special Needs Trust is an excellent tool for protecting family members with disabilities and ensuring they qualify for the valuable Federal Medicaid program.
Special needs planning is unique from typical estate planning when you have beneficiaries with unique challenges. You can consult with a reputable attorney via elderlawofaz.com/special-needs-planning. He/she will help you to determine which special needs option would be the best to meet your goals.
Individuals with special disabilities may receive federal benefits, such as cash for living expenses and health care, from various Medicaid programs. Medicaid is a system created by the US government to help low-income people.
Difficulties in qualifying for Medicaid are common for people with disabilities when parents or other family members leave an inheritance to their children with disabilities. Resources inherited by children may prevent them from receiving federal aid.
In Arizona the law allows you to entrust these assets to your disabled child while you qualify for federal benefits. However, the trust must contain certain conditions and constraints to ensure that the eligibility parameters are met.
Basically, this allows the source of trust to be used only for the special needs of your child with a disability. Trust resources will focus on extending government benefits rather than replacing them.
Among the most common limitations of special needs trusts are provisions that do not allow trust funds to be used to accommodate and support persons with disabilities. The aim is for national authorities to continue to bear these basic costs.
By establishing a special needs trust, letter of Intent, guardianship, or other strategies, you can leave a legacy for a better quality of life for your children and make sure they always have an advocate in their corner they know and can trust.