Skilled Special Needs Trust Lawyers in Logan Helping Your Family and Special Needs Beneficiary
If you live in the Logan, Utah region and have a special needs child, learn the different types of trusts you have the option of establishing.
A first-party trust is established by a disabled individual and is funded with all their income and assets. First-party trusts are commonly used by individuals who were born without a disability but then develop a mental or physical disability later in life. The reason for this is that these individuals have had an opportunity to work and earn their income and savings.
Some individuals that were born with special needs are not mentally or physically fit enough to earn a living, which makes a first-party trust, not an option. A first-party trust enables the trustor to put their income and assets into a trust, but it does not diminish their eligibility to receive needs-based government assistance such as Medicaid or Supplemental Security Income (SSI) in the future. The beneficiary of a first-party trust is permitted to use the funds allocated in the trust however they see fit. This includes medical care and hospitalization expenses, nursing home fees, living expenses, and more.
A third-party trust is a type of trust established to benefit someone with special needs. In the case of a third-party trust, a parent, a family member or a legally appointed guardian (or conservator) is the donor, aka the person who contributes their assets to the trust. These assets can include housing or other real estate property, income, and other valuable assets such as cars, jewelry or stocks, and mutual funds. This type of trust is part of a donor’s estate plan, which means when the donor passes away the funds will be distributed to the trustee as the donor originally intended. When the donor sets up a third-party trust, they designate how much money the trustee will receive and on what kind of schedule. For example, the donor may elect that a trustee will receive several hundred dollars once a month to cover living expenses for that month.
Do You Really Need a Special Needs Trust Attorney?
An appointed special needs planning attorney will help iron out the details of the trust and decide what kind of recurring payment schedule benefits the trustee best. In the state of Utah, there is no limit to how much money you can place into a special needs trust fund. Different special needs trustees will require different amounts of money, so it’s helpful to seek legal counsel to create the most beneficial care plan possible. Once the trust funds have been allocated to the trustee, the trustee may use the funds in any way they see fit. Third-party trust funds are typically used to cover day-to-day expenses as well as the cost of long term care.
A special needs planning attorney will ensure that your third party trust opportunities do not affect your loved one’s ability to receive Medicaid. If you are concerned about setting aside money for your special needs child and want to be sure the opportunity exists or receive government-issued funding in the future, speak with qualified legal counsel to cover all your bases. The Amicus Law Firm can even help with your Medicaid application to help protect the financial best interest of your special needs child or loved one. Amicus Law Firm attorneys are accustomed to the nuances dictated by Utah state and are proud to serve the Logan, Utah region following state and federal special needs legislation.
Pooled trusts are managed by non-profit organizations. The goal of a pooled trust is to provide resources for special needs individuals that do not have the financial opportunities to set up other kinds of trust. Assets are combined and invested together in a pool trust fund. Pooled trusts are used as a supplement to government benefits and can be very helpful for many special needs people. There are different types of pooled trusts with different methods and stipulations for fund allocation and eligible trustees. A qualified special needs Utah estate planning attorney will discuss the ins and outs of utilizing a pooled trust. At Amicus Law Firm, we’re committed to our transparency of operations and strive to ensure you understand every complex nuance of special needs law.
We Care About You and Your Family
You and your loved ones deserve the peace of mind and the promise of a stable future. Amicus Law Firm is dedicated to providing Logan, Utah families with knowledgeable legal counsel regarding special needs trusts and estate planning. Contact us today for a no-obligation consultation of your loved one’s financial planning opportunities.
We can help decide if a first party, the second party of pooled trust is best for your child or relative. We are honest, compassionate attorneys who understand the estate planning process can be intimidating. We’ll stop at nothing to educate you on your options.
We are proud to provide honesty, integrity and the utmost standard of client service to every client we work with. Reach out at 435-915-4454 and let us help.