The Special Need Trust is developed to manage resources for a developmentally disabled family member who is on Medicaid or Social Security Supplemental Security Benefits. If you have a developmentally disabled family member, then your family should carefully think about the benefits of a Special Need Trust.
This type of trust is a legal arrangement regulated by the laws of your state, thus having very stringent rules and regulations impose upon them by government agencies. Cranberry Lake Financial is one of the few qualify financial planners with experience in planning for the future of a person with disabilities.
Special Need Trust Resources:
Savings. No matter how you look at it, the family will have to SAVE for the future. The government benefit programs have never provided enough for even poverty level existence. A regular savings program is essential to meet the person's supplementary needs in the future.
Family assistance. Family members may wish to provide residential care, supervision, and supplemental assistance in the future.
Investments. Certificates of Deposit, IRAs, Keoghs, and so on can be directed to the trust.
Military benefits. Some families have elected a Survivor Benefit Option (SBO), so the person with the disability will always have some income and medical care.
Insurance. For the average family, life insurance may be the only way that they can leave a large lump sum for the future by making small monthly payments. It is also one of the few guaranteed methods of funding a trust. While the above items may fizzle out as people change their minds or the economy falters, a paid-up life insurance policy in an irrevocable trust will guarantee future funds.
A financial planner can make sure that there are sufficient funds available as families prepare estate planning for loved ones.
