Do You Have a Special Needs Child? Read This for Legal Help

An Arizona special needs trust is created for a beneficiary who may be disabled or mentally ill. This kind of trust is to protect any assets or benefits a disabled or mentally ill person, may receive Here is some important information regarding an Arizona special needs trust.

1. An Arizona special needs trust is a legal document that is designed to help make sure that any money or assets left to a beneficiary is used only for the benefit of a person who is disabled or mentally ill.

2. Real estate, savings, military benefits, investments, and IRA’s can be placed into a special needs trust.

3. An Arizona special needs trust will have special instructions on what the money in the trust can be used for. The money cannot be used to pay for the beneficiary’s housing, any medical treatments that are already covered by Medicaid, food or clothing. However, the trust can pay for special furniture needed, vacations, and other entertainment. The money in the trust may pay for experimental and alternative medical treatments that are not covered by Medicaid.

4. The beneficiary of special needs trust is not able to direct how the money shall be spent. The trustee you have chosen will manage how the money of the trust is spent. If your child has access to the money and how it is spent, they will be disqualified from receiving any government benefits.

5. When creating a special needs trust there are a lot of terms and specifications of the trust that need to be listed in the document. If you are unfamiliar with this type of trust, it is best that you seek professional help, to ensure that it is created properly.

6. Family and friends of a special needs child can directly make gift contributions and direct funds to the child’s special needs trust. Friends and family can also choose to have inheritances funded to the special needs trust. This avoids having to make several separate special needs trusts and allows any family member or friend to name their special needs child as a beneficiary on their will or estate plan with a commonwealth community trust.

Need Help?

If you are not sure as to what legal document you currently have contact one of our professionals to help you with your planning needs. They will make sure you have all of your grounds covered and have the right legal documents that best suite your wants and needs.