One such estate planning mistake involves disinheriting the child to ensure their eligibility for key government benefits such as Medi-Cal and Supplemental Security Income. A more valuable option is for parents to set up a special needs trust. The trust can hold assets for their child without jeopardizing eligibility for federal programs. Parents can use special needs trusts to provide their child a higher quality of life that goes beyond the basic needs delivered by government benefits.
Procrastinating is another mistake parents might make. Some parents might choose to wait until their child is between the ages of 18 to 21 in order to have a better sense of their long-term prospects, mental capacity and degree of financial independence. However, failure to plan in a timely manner can mean that the special needs child is left without financial security or a guardian in the event the parents become incapacitated. As a result, it is better to engage in special needs planning sooner rather than later.
Choosing a trustee to oversee a special needs trust when parents can no longer do so is an important decision. When the responsibility falls into the wrong hands, the child may see their wishes overlooked and the special needs plan fall apart. Parents must choose someone who is trustworthy, knows the child and who will act in their best interests. They must also be able to follow trust administration rules and manage the resources available to the beneficiary.
Pioneers of Elder Law – For over 30 years, Gilfix & La Poll Associates LLP has innovated creative legal solutions to help you manage and plan the future of your estate.
To contact a special needs planning lawyer visit https://www.gilfix.com/ or call 800.244.9424.
Trusts are a common estate planning tool and are used to keep assets out of a probated estate or to reduce an estate tax burden. Trusts can also be used to protect one’s heirs. There are instances when it may not be in a person’s own best interests to inherit funds directly.
A direct inheritance may prove detrimental in the case of an heir with special needs. The families of individuals with special needs have often arranged their finances such that the individual will be eligible for Supplemental Security Income, Medicaid and other public benefits. These programs are needs-based, which means that if the individual’s income or assets rise above a certain level, the benefits could be lost. In a case like this, a direct inheritance could do more harm than good, and a solution may be a special needs trust or supplemental needs trust, which can be used to provide for certain supplemental needs of an individual while preserving their eligibility for benefits. 
In other cases, a person planning their estate may wish to consider certain circumstances in the lives of their heirs that could put an inheritance at risk. This may include a variety of situations. Some heirs may be unlikely to be able to manage money in their own best interests, due to their youth, their spending habits, or circumstances such as a substance abuse issue. There may be reasons that an heir is likely to become a defendant in a lawsuit. In other cases, if an heir divorces, then the divorced spouse may claim a share of assets inherited directly. In the case of a second marriage when there are children from a prior marriage, a person planning their estate may wish to ensure that their grandchildren are provided for, not their child’s second spouse.
A qualified estate planning attorney can design an asset protection trust or spendthrift trust to protect your family’s assets against such risks. The details of the trust and its power to protect assets depend on individual circumstances and state and federal law. Generally, a trust can be used to restrict a beneficiary’s ability to assign his or her interest in the trust to another person and restrict the rights of creditors to reach the assets of the trust. However, it is important to recognize that, depending on applicable law, the trust assets may be able to be reached to satisfy certain obligations, such as child support or taxes. To learn more, meet with an estate planning attorney at Littman Krooks.
Learn more about our special needs planning and special education advocacy services at www.littmankrooks.com or www.specialneedsnewyork.com.
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Michael Gilfix and Mark Gilfix recently appeared together on NBC Bay Area’s “Asian Pacific America with Robert Handa.” The episode focused on families in Asian communities with special needs, particularly those with autistic children.
They discussed the importance of Special Needs Trusts and their critical role in structuring an effective estate plan. Mark acknowledged the reluctance some Asian families feel toward seeking outside help, and said these trusts represent a “one-time, lifelong insurance policy” to protect their children’s livelihood.
Michael also talked about his book, “Special Needs Trust Creation and Management Guide,” which answers many of the most common questions parents have about Special Needs Trusts. For more information about this book, click here. (Link to www.gilfix.com/books)
Mark Gilfix also recently appeared on KTVU’s “Bay Area People.”
Mark said that because caring for autistic children is so time-consuming and expensive, parents do not understand how to provide for their children after they are gone. He pointed out that directly inheriting a parent’s assets can disqualify an autistic person from crucial needs-based programs such as Medi-Cal and Supplemental Security Income, a problem solved by Special Needs Trusts.
Mark also had the opportunity to talk about Michael’s Special Needs Trust guide. Viewers of both programs are invited to request a copy of the book here.
The segment can be seen here:
https://www.youtube.com/watch?v=jthuk-u0424
Littman Krooks attorney Amy C. O’Hara, Esq., presented on the Able Act at Arc of Westchester’s Family Resource Day, a day of transition and transformation including seminars, demonstrations, art exhibition opening and a special needs vendor resource fair.
To view our materials from this event, please click on the appropriate link below:
- The Act Act (a presentation by Amy C. O’Hara, Esq.)
Learn how the able act will create a pathway for a better economic future for people with disabilities. Tax exempt savings accounts can now be set up for maintaining health, independence and quality of life, while protecting eligibility for Medicaid, Supplemental Security Income, and other important federal benefits for people with disabilities.
- Able Act Passes (by Bernard A. Krooks, Esq., as published in EP Magazine, February 2015 Issue)
The community of individuals with special needs and their family members will have a new tool at their disposal: A new tool with which to maintain a private fund of assets while preserving certain government benefits.
Learn more about our services by visiting www.littmankrooks.com.
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The post The Able Act: Better Economic Future for People with Disabilities first appeared on SEONewsWire.net.]]>To view our materials from this event, please click on the appropriate link below:
- The Able Act (a presentation by Amy C. O’Hara, Esq.)
Learn how the able act will create a pathway for a better economic future for people with disabilities. Tax exempt savings accounts can now be set up for maintaining health, independence and quality of life, while protecting eligibility for Medicaid, Supplemental Security Income, and other important federal benefits for people with disabilities.
- Able Act Passes (by Bernard A. Krooks, Esq., as published in EP Magazine, February 2015 Issue)
The community of individuals with special needs and their family members will have a new tool at their disposal: A new tool with which to maintain a private fund of assets while preserving certain government benefits.
Learn more about our services by visiting www.littmankrooks.com.
Was this article of interest to you? If so, please LIKE our Facebook Page by clicking here.
The post The Able Act: Better Economic Future for People with Disabilities first appeared on SEONewsWire.net.]]>To view our materials from this event, please click on the appropriate link below:
- The Able Act (a presentation by Amy C. O’Hara, Esq.)
Learn how the able act will create a pathway for a better economic future for people with disabilities. Tax exempt savings accounts can now be set up for maintaining health, independence and quality of life, while protecting eligibility for Medicaid, Supplemental Security Income, and other important federal benefits for people with disabilities.
- Able Act Passes (by Bernard A. Krooks, Esq., as published in EP Magazine, February 2015 Issue)
The community of individuals with special needs and their family members will have a new tool at their disposal: A new tool with which to maintain a private fund of assets while preserving certain government benefits.
Learn more about our services by visiting www.littmankrooks.com.
Was this article of interest to you? If so, please LIKE our Facebook Page by clicking here.
The post The Able Act: Better Economic Future for People with Disabilities first appeared on SEONewsWire.net.]]>The pension is designed for veterans and surviving spouses who require help to perform activities of daily living (ADLs), such as dressing, eating, bathing or going to the bathroom. Individuals who are blind or live in a nursing home qualify for the pension.
Aid and Attendance is available to veterans who served for at least 90 days, with at least one of those days occurring during wartime, and to their surviving spouses. The disabilities do not need to be service-related.
To quality, the veteran or surviving spouse must own less than $80,000 in assets, with home and vehicle not included in this calculation. His or her income must also be lower than the Maximum Annual Pension Rate (MAPR), which is currently set at $21,107 for a single veteran. The income calculation does not include welfare benefits, unreimbursed medical expenses that have been paid or Supplemental Security Income.
Even veterans who have an income too high to qualify for a VA pension may qualify for the Aid and Attendance pension, so long as they have high medical costs that are not otherwise reimbursed.
The VA pays the difference between the veteran’s income and the MAPR, so the amount that a person receives from Aid and Attendance depends on his or her income.
The elder law attorneys at Hook Law Center assist Virginia families with will preparation, trust & estate administration, guardianships and conservatorships, long-term care planning, special needs planning, veterans benefits, and more. To learn more, visit http://www.hooklawcenter.com/ or call 757-399-7506.
The post Aid and Attendance benefit can help veterans who need long-term care first appeared on SEONewsWire.net.]]>