Guide to Special Needs Trusts for Families

DALL·E 2025 01 14 10.55.14 A clean and simple illustration for a guide to special needs trusts. The image features a caring family parents and a child with special needs stand | word1

A Brief Guide to Special Needs Trusts (SNTs)

What is a Special Needs Trust (SNT)?

A Special Needs Trust, or Supplemental Needs Trust, ensures that a person with disabilities can maintain their quality of life without jeopardizing eligibility for vital government benefits such as Medicaid and Supplemental Security Income (SSI). These trusts supplement government benefits by covering essential expenses not provided for by these programs, like education, personal care, and recreational activities

How Special Needs Trusts Online Can Help

Creating a Special Needs Trust may seem overwhelming, but Special Needs Trusts Online makes the process simple, secure, and accessible. Founded by Tom Sannicandro, an experienced attorney and advocate for individuals with disabilities, Special Needs Trusts Online is dedicated to helping families create affordable, state-compliant, and professionally crafted Special Needs Trusts.

Types of Special Needs Trusts

1. Self-Settled SNTs

Funded with assets belonging to the individual with disabilities, often established due to personal injury settlements or inheritance. These trusts must comply with specific Medicaid and SSI requirements and include a payback provision for any remaining assets to Medicaid upon the beneficiary’s death.

2. Third-Party SNTs

Established and funded by someone other than the beneficiary, such as parents or grandparents. These trusts offer more flexibility and do not require payback to Medicaid upon the beneficiary’s passing.

Why Choose a Special Needs Trust?

  • Preserve Public Benefits: Distributions from an SNT are supplemental and do not interfere with eligibility for government programs.
  • Ensure Future Security: Assets in an SNT are managed by a trustee who is legally obligated to act in the beneficiary’s best interest.
  • Tax and Estate Planning Benefits: An SNT can help avoid probate and reduce potential tax liabilities.
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