Parents with special needs face unique and often troubling obstacles when they are planning their future financially. Most often, such parents substantially rely on supplemental security income (SSI) benefits through the Social Security Administration, which helps to pay for treatments and necessary special needs programs.
The dilemma faced when planning for the child's financial future is that an outright bequeath to a child will most likely disqualify them for public assistance, and the child is also most likely unable to care for themselves. Parents are often faced with the very real possibility of having to disinherit a child in order to preserve the child's right to receive SSI benefits and other public assistance. You can find best Santa Barbara estate planning law firm at http://www.lawbh.com/santa-barbara-estate-planning-attorne.
The main goal of an effective financial plan for a special needs child is to provide funds for living without limiting the child's access to available benefits. A Special Needs Trust helps the parents to accomplish this goal.
As with most trusts, a Special Needs Trust requires four essential elements. These essential elements are discussed below:
(1) A corpus (the money or assets placed in the trust)
(2) A beneficiary (the special needs child)
(3) A trustee who distributes the funds and has discretion over such disbursements
(4) A purpose often set out in the trust document, which guides how the funds will be distributed. An attorney experienced in trust creation and maintenance should be used in order to ensure that the trust document accurately and effectively accomplishes its goal.