Although it is mostly common knowledge that any individual can create a special needs trust to help a beneficiary with a sever disability, it can be a mistake to attempt to do this on your own. Certain language is required inside special needs trust that protects these funds and the beneficiary of the trust itself.
While there are plenty of online programs or do-it-yourself books that can walk you through creating a special needs trust, it is beneficial to consult with an attorney instead. This is because there are complicated rules and requirements associated with establishing a trust like this and failing to comply with these rules could jeopardize the trust’s structure.
One of the primary reasons that individuals choose to put together a special needs trust is because they do not want the beneficiary’s eligibility for government programs like Medicaid or supplemental security income to be cancelled as a result of inheriting assets in some other manner. The details associated with establishing a special needs trust will continue to influence your beneficiary for many years to come.
It is well worth the effort to set up a meeting with a New Jersey estate planning attorney to walk through your options and to ensure that the trust is created properly the first time. Doing so helps avoid mistakes that could jeopardize your loved one’s qualification for government programs and it also gives you a better understanding of how the trust can serve your beneficiary now and into the future.