Special Needs Trust Attorney

When looking for a Special Needs Trust attorney in Lexington, contact ElderLawLexington | McClelland & Associates.

When looking for a Special Needs Trust attorney in Lexington, contact ElderLawLexington | McClelland & Associates. We are experienced special needs planning and trust lawyers and trustees.

If you have a loved one with special needs, you are probably very concerned about what may happen to them when you are no longer able to serve as primary care giver. Of course, you can make provisions for them to receive money and inherited assets, but doing so can pose problems in maintaining eligibility for essential benefits under the Supplemental Security Income (SSI) and Medicaid programs. Such benefits may even be cancelled or denied. Fortunately, there are ways to provide money and other assets for your special needs loved one without jeopardizing eligibility for government assistance. ElderLawLexington can set up a Special Needs Trust to ensure that government benefit eligibility is preserved while at the same time providing assets that will meet the supplemental needs of the person with special needs.

There are three main types of Special Needs Trusts, any of which ElderLawLexington is experienced to work with you on:

  • First Party Trusts – a Special Needs Trust that holds assets that belong to the person with special needs, such as gifts, inheritance or an accident settlement.
  • Third Party Trusts – a Special Needs Trust that holds funds belonging to other people who want to help the person with special needs.
  • Pooled Trust Funds – a Special Needs Trust that holds funds for many different beneficiaries with special needs, but combines for investment purposes.

First Party Trusts are created with the funds or property which belongs to the beneficiary who is not yet 65 years of age. These trusts require that if money or property remains in the Trust when the Trust terminates, at the death of a beneficiary or voluntarily, the state Medicaid agency must be reimbursed up to the amount Medicaid spent on the beneficiary.

Third Party Trusts are created and funded by one party for the benefit of a disabled person currently receiving government benefits. This typically is a scenario where a parent, grandparent or other person sets up a Trust so that a special needs individual can receive a gift or from their estate without becoming ineligible for government benefits. There is no Medicaid payback requirement.

Pooled Trusts are a special type of trust that allows individuals to become financially eligible for public assistance benefits while preserving their resources in trust for supplemental needs. While not necessary for everyone, the end result of joining a Pooled Trust is that trust beneficiaries can receive the public benefits that meet their essential needs while maintaining a supplemental fund that is available to meet their special or supplemental needs that are not provided by public benefits. Pooled Trust beneficiaries receive the added value derived from pooling funds for investment and management purposes. By the virtue of the Pooled Trust’s size, it can command better interest rates and other financial benefits.

Careful planning by the Special Needs Trust attorneys at ElderLawLexington can prevent your loved one with special needs from losing eligibility for assistance programs while ensuring that sufficient assets are made available to supplement the care provided by those programs.

Let the experienced, knowledgeable and committed Special Needs Trust attorneys at ElderLawLexington | McClelland & Associates help you create the special needs plan to ensure that your loved one is well provided for both now and in the future. Call (859) 543-0061 or toll-free at 1-800-773-4040 to schedule your Special Needs Trust consultation so that we can get started on the plan best for you.