When you are a parent of a special needs child, it is hard to imagine anyone else being able to provide the same level of care, love and attention to your son or daughter. However, a day could come when you and the other parent of your child are no longer able to fulfill your caretaking responsibilities.
You might be a fit 40-something who is able to lovingly provide for your child right now, but an accident can happen at any moment. Also, you may eventually grow too old to give your child the care that he or she requires.
From an emotional standpoint, the idea of someone else fulfilling your caretaking role may be difficult to envision. You might also wonder where the money is going to come from to pay for your child’s care.
A special needs trust might be the answer
A trust is a legal document that allows you to leave assets and money behind for another individual’s benefit. Trusts endure for as long as they’re required, which means that they will continue until the death of the beneficiary or until the trust funds have been spent.
Trusts also include specific instructions as to how the trustee of the trust must spend and manage the money on behalf of the beneficiary. Usually, the trustee of a special needs trust is usually a responsible family member or friend. It could also be a third party appointed by the court if the named individuals are unavailable.
Special needs trusts are designed specifically for mentally ill and/or disabled beneficiaries. Parents of special needs children often create them. Parents can use the trusts to finance their children’s needs into the future without jeopardizing the government benefits their loved one is already receiving.
What if I don’t have any savings?
A special needs trust might sound like a great idea, but what if you’re living paycheck to paycheck and you don’t have any money to fund the trust with? In some cases, parents can take out a life insurance policy, which will be used to finance a special needs trust upon their deaths. This is a great way to solve the problem of not having enough personal assets to fund a trust. Essentially, the trust will be the named beneficiary of your life insurance, and following your death, it will be funded with the assets required to provide the care your loved one needs.
Setting up a special needs trust in southeast Georgia
The beneficiaries of special needs trusts have unique medical, lifestyle and care needs. As such, families need to create their special needs trusts in accordance with the unique requirements of their loved one. A great way to start with this process is to speak with a qualified northeast Georgia trust lawyer who can ask the necessary questions to reveal the best trust planning strategy to meet your needs.