One of the main goals that parents have when creating an estate plan is to protect and provide for their children well into the future. For Texas parents who have special needs children, it is especially important to create a plan that will allow them to support their loved ones even after the parents pass away. One way they can accomplish this goal is to create a special needs trust.
The benefits of this trust
While it is possible to leave assets directly to a loved one with special needs, this is likely not the most appropriate or effective way to help a special needs beneficiary. Assets left in a trust will not affect one’s eligibility for government benefits, meaning that the recipient can keep receiving important financial support. Parents can use this type of trust to ensure their child has funds to cover needs that pertain to his or her quality of life.
Another benefit of a special needs trust is that it allows a parent to choose who will oversee the distribution of assets from the trust. The trustee should be a trusted individual who will ensure that funds are used appropriately. With a special needs trust, Texas parents can feel secure regarding the security of their assets.
Is it a beneficial addition?
A special needs trust may be a beneficial addition to an existing estate plan. For a parent who has concerns about the long-term care of a loved one who may not be able to care for himself or herself, this type of trust may be useful. An assessment of the individual case will help one understand if this is a beneficial addition to his or her plan.