As a parent of a child with special needs, you’ve likely created a special needs trust to safeguard their future well-being. But understanding which assets to place in the trust as your child grows can be perplexing. Let’s explore some options to support your child’s long-term needs.
Why Direct Assets into a Special Needs Trust?
Special needs trusts are designed to ensure your loved one can access resources beyond what government benefits provide. Importantly, they protect their eligibility for vital programs like Supplemental Security Income (SSI) and Medicaid.
Key Assets to Consider
- Retirement Accounts: As you contribute to retirement plans like IRAs or 401(k)s, you can name your child’s special needs trust as the beneficiary. This ensures these funds supplement their care without jeopardizing their benefits.
- Life Insurance: Life insurance policies can be invaluable for funding ongoing care or unforeseen expenses. When the trust is the beneficiary, it provides a safety net in time of need.
- Savings Accounts: Designating an existing savings account in your child’s name with the trust as beneficiary can streamline financial support for their future.
- Investment Accounts: Any investment accounts you hold for your child should be linked to their special needs trust for optimal asset management.
- Gifts and Inheritances: Encourage family and friends who wish to support your child to make gifts or leave bequests directly to the special needs trust.
Professional Guidance is Key
Choosing the right assets and the best ways to fund a special needs trust can be complex and every family situation is unique. The attorneys at the Law Offices of Laurie E. Ohall have extensive experience helping families in Brandon and surrounding areas. We can guide you in selecting the optimal funding strategies for your child’s well-being.
If you have questions or need assistance with your planning, we invite you to call us at (813) 438-8503 for a personalized consultation on how to accomplish your goals.