Life treats all living beings very differently. There are some who are blessed with every possible amenity available. They walk through life without experiencing physical, social or financial complexities. This is not to say that they don’t have their fair share of troubles, but they can usually find a way through and continue on their journey.
Then there are some people who need a little bit of help in their journey through life. They might walk through it, come rolling on wheels or not walk at all. But in their own way, they are just like the rest of us.
However, we can’t ignore the fact that our loved ones with special needs may require care well into their adulthoods. Their mental and/or physical disability may be preventing them from being able to provide for themselves.
In that case, you and other concerned individuals can be the ones advocating for their needs. In addition to their provisions for daily life, you need to make sure they continue to receive social services of government aid for the years to come.
The solution? A special needs trust in Brooklyn.
You or other guardians can set up this type of trust so the needs of a loved one with special needs will always be cared for. When setting up properly, a special needs trust in Brooklyn will also ensure that they remain eligible for special benefits.
Qualification
If you or one of your family members is setting up a special needs trust in Brooklyn, the first requirement if of a beneficiary with a disability. The disability should be severe and chronic or persistent. It can be either physical or mental. In the State of New York, the Estates, Powers & Trusts Law Section 7-1.12 provides a much detailed definition.
It includes considerations for the current or eventual need for supplemental services and government aid. A special needs trust in Brooklyn ensures your loved one isn’t deprived of what they need to have a good quality of life.Funding
Well, a special needs trust in Brooklyn can be funded by the beneficiary themselves or by a family member or third party. There are differences in how one goes about funding it. An estate planning lawyer in Brooklyn will be in a much better position to provide guidance.
If the beneficiary or a family member is setting up the trust with the beneficiary’s estate, it’s called a “self-settled” trust. Even though they are the creators, they don’t act as the trustee. The money is theirs to use without impacting their eligibility for Medicaid.
A “third-party” trust is set up by parents or other relatives of the person with disabilities. A third-party special needs trust in Brooklyn allows the concerned individuals to provide for their loved one without affecting their chances of eligibility for government aid.
The estate that belongs to the beneficiary and the one belonging to an interested party cannot be put in the same special needs trust in Brooklyn. You can set up two different trusts for the same individual.
What does it provide for?
Typically, a person with special needs will be receiving aid for their basic care needs from a government program like Medicaid. The special needs trust in Brooklyn you set in their name will provide for the rest.Expenses required to cover the costs for an in-house caregiver, personal therapist, special transportation, hobbies, daily necessities, etc., can be provided for. The trustee, which is not the beneficiary the trust is created for, can directly pay for the expenses.
The transfer of money to the beneficiary may jeopardize their eligibility for government benefits. A loved one that isn’t directly involved in the creation of the trust or a non-profit (for pooled special needs trust) can pay for these expenses directly.
It’s all an effort to improve the beneficiary’s quality of life.
Impact on the creator’s estate planning in Brooklyn
Creators who set up special needs trust in Brooklyn for a child or relative often question if that will impact their own eligibility for government aid. The details around what will be considered during determining your financial eligibility are quite intricate.Generally speaking, if you’re setting up the trust for your own child, it won’t be counted when you apply for Medicaid. However, it should be perfectly clarified whom the trust is benefiting.
The same goes for non-parent contributors. The only caveat is that the beneficiary shouldn’t be of 65 years at the time of application.
The complexities surrounding this subject need the expertise of an estate planning lawyer in Brooklyn. They will become part of the said “village” that it takes to care for some with special needs, ensuring they are taken care of in the best way possible.
