Long-term care can be very expensive and Medicaid is cumbersome and oftentimes confusing. I know how Medicaid works, and by following Medicaid's rules, can help create strategies that may allow you to preserve your assets.
A typical estate plan will distribute your property to surviving loved ones and favorite charities. If your children are adults, you may choose to leave funds to them outright. If they are minor children, their funds may go into a trust with payouts at specified ages.
What if your child, spouse, parent, or other beneficiary suffers from a severe mental or physical disability? What if the loved one is chronically ill and cannot manage his or her affairs?
Parents, a spouse, or other person can provide for loved ones by including a special needs trust in their will. Unlike a standard trust, which can be considered the property of the disable person, Medicaid and Social Security do not consider a disabled person to be the owner of a properly drafted special needs trust. Thus, the special needs trust can provide for added treatment and comforts during the life of the disabled loved one, yet that loved one remains eligible for government benefits and assistance.
There are also special needs trust planning options available to disabled persons themselves, if they have funds of their own or expect to receive funds from an inheritance or personal injury settlement or award. Instead of being required to spend the funds down, a special needs trust (with a Medicaid payback provision) can be used preserve the funds for the disabled person's benefit.
The laws governing special needs trusts and their relationship to public benefit regulations are varied and complex. We know how these trusts work and can assist you in creating the right special needs trust for your circumstances.
Bresson Law Offices PLLC
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