Special Needs Trusts: Protect Your Child's Financial Future

by Elias, Stephen

• ISBN13: 9781413310177
• ISBN10: 1413310176
• Edition: 3rd
• Format: Paperback
• Copyright: 2009-05-08
• Publisher: Ingram Pub Services

Summary

Create a special needs trust for a loved one's care with the forms and information you need for peace of mind. If you care for a child or other loved one with a disability, you've no doubt thought about what will happen when you're no longer able to give that care. Fortunately, there's a simple solution to this dilemma -- create a "special needs trust." Special Needs Trusts shows you how to leave any amount of money to your disabled loved one -- without jeopardizing government benefits. It provides plain-English information and forms that let you create a special needs trust by modifying your will or living trust document. Funds in a special needs trust can make a big difference in quality of life by paying for: annual independent check-ups personal care attendant or escort vehicles and transportation insurance rehabilitation essential dietary needs materials for recreation trips or vacations entertainment athletic training or competitions and much more. Special Needs Trusts also provides a formal letter to the trustee, which explains this very important role, and a personal letter to the trustee, which provides information about your loved one. The 3rd edition has been thoroughly updated to reflect the latest changes in the law and provides an expanded list of resources. Plus, find the forms you need as tear-outs and on CD-ROM, including new SSI/Medicaid forms.

Author Biography

Stephen R. Elias is an attorney and former associate publisher at Nolo, as well as current President of National Bankruptcy Law Project. He is the author of many Nolo books including The New Bankruptcy, How to File for Chapter 7 Bankruptcy, and most recently The Foreclosure Survival Guide. He has been featured in such major media as The New York Times, The Wall Street Journal, Newsweek, Good Morning America, 20/20 and Money magazine.

Table of Contents

Your Legal Companion for Special Needs Trusts
Providing for a Loved One With a Special Needs Trust	p. 3
Why It's Usually a Bad Idea to Leave Money Directly to a Disabled Loved One	p. 5
How a Special Needs Trust Can Help	p. 8
Who Can Benefit From a Special Needs Trust	p. 9
Who Can Set Up a Special Needs Trust	p. 10
Alternatives to a Special Needs Trust	p. 12
How a Special Needs Trust Works-Nuts and Bolts	p. 13
Terminating the Special Needs Trust	p. 21
Who Can Benefit From a Special Needs Trust	p. 25
Someone With a Permanent Disability	p. 26
Someone Who May Get Better	p. 27
Someone Who May Need a Special Needs Trust Later	p. 30
Someone Who Is Eligible for Medicare or SSDI	p. 31
How Trust Funds Can (and Cannot) Be Used	p. 33
SSI Income and Resource Limits: An Overview	p. 34
Assets in the Special Needs Trust	p. 37
What Special Needs Trust Funds Can Be Used For	p. 37
Gifts of Cash	p. 41
Payments for Food or Shelter	p. 43
Gifts of Food or Shelter From Other Sources	p. 46
What the Trustee Cannot Pay For: Countable Assets	p. 47
Getting Money Into a Special Needs Trust	p. 49
What Assets to Put Into a Special Needs Trust	p. 50
Using a Special Needs Trust in Your Estate Plan	p. 51
How Much Money Will Your Loved One Need?	p. 52
How to Leave Money to a Special Needs Trust	p. 53
Don't Commingle the Beneficiary's Property With Trust Property	p. 61
The Trustee's Job	p. 63
The Trustee's Basic Duties	p. 64
Working With a Guardian or Conservator	p. 66
Investing Trust Property	p. 68
Spending Trust Money for the Beneficiary	p. 70
Managing a Remainder Beneficiary's Property	p. 76
Preserving Eligibility for SSI and Medicaid	p. 77
Paying Taxes	p. 81
Going to Court	p. 82
The Trustee's Duties Letter	p. 83
Choosing Trustees	p. 85
An Overview of Your Options	p. 86
Signing Up for a Pooled Trust	p. 87
Picking the Ideal Trustee	p. 88
Naming the Initial Trustee	p. 95
Naming Successor Trustees	p. 97
Naming Cotrustees	p. 98
Naming a Corporate or Professional Trustee	p. 102
Joining a Pooled Trust	p. 105
An Overview of Pooled Trusts	p. 107
Can You Use a Pooled Trust?	p. 109
How Pooled Trusts Work	p. 114
Joining a Pooled Trust	p. 120
What Happens When the Trust Ends	p. 124
Creating Your Special Needs Trust	p. 127
Drafting the Trust Document	p. 128
Making the Trust Legal and Effective	p. 152
Keeping the Special Needs Trust Up to Date	p. 152
Sample Special Needs Trust	p. 153
Finalizing and Funding Your Special Needs Trust	p. 163
Making Your Trust Legal	p. 164
Taxes	p. 166
Opening the Trust's Deposit Account	p. 169
Incorporating the Trust Into Your Estate Plan	p. 170
Where to Get More Help	p. 175
Lawyers	p. 177
Paralegals	p. 182
Certified Financial Planners	p. 182
SSA and Medicaid Personnel	p. 183
Keeping Up to Date	p. 184
Books	p. 187
Glossary	p. 189
Appendixes
Pooled Trusts	p. 201
Letter to Trustee/Trustee's Duties	p. 213
Letter to Trustee	p. 215
Managing a Special Needs Trust	p. 216
Documenting the Authority of Successor Trustees	p. 230
Sample Beneficiary Information Letter	p. 235
How to Use the CD-ROM	p. 249
Installing the Files Onto Your Computer	p. 251
Using the Word Processing Files to Create Documents	p. 252
Using the Print-Only File	p. 255
List of Forms on the CD-ROM	p. 256
index	p. 257
Table of Contents provided by Ingram. All Rights Reserved.