What is a Special Needs Trust?

Families that take care of individuals with special needs have a lot with which to contend on a daily basis. From remembering doctor appointments and daily medication regimens to helping their friend or loved one through the daily challenges that accompany being disabled, there is much to consider and deal with. For this reasons, financial plans are often secondary despite being one of the most important considerations of all. This is where a special needs trust Arizona can help.

Special needs individuals often get special benefits from the federal government. This makes up for the fact that the person in question may not be able to work – or at least work as much as they would if they were not disabled. So, this stipend helps to ease the financial burden on the individual in question. However, when receiving this type of benefit, a person’s entire financial picture is taken into account and any other income, gifts or monies received by the person may affect their eligibility to receive their benefits from the government.

However, a special needs trust Arizona provides a buffer for that problem. Family members and loved ones can funnel monies into the trust account to bridge the gap between a special needs person’s expenses and their income from government or other “approved” income sources. These monies can be used for a variety of reasons, from assistance with rent or mortgage payments to household expenses, groceries, furniture and more. The purpose of the special needs trust Arizona is to ensure that the special needs individual actually funnels the money towards something they need for living versus just blowing huge wads of cash on something – or someone – that doesn’t directly correlate with their own care.

Many families set up this kind of trust account when their special needs loved one is younger or before long-term care is necessary. Funneling money into the account over a number of years allows for solid long-term planning should it eventually become necessary for the special needs person to seek residential care or treatment down the line should their disability worsen with age. This account is a good way to ensure the future of a special needs person that can’t otherwise do so themselves. Loved ones can set up a special needs Arizona account with the main caretaker or someone trustworthy as administrator to ensure that life doesn’t have to be any harder than necessary for someone facing a special needs challenge.

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