California Special Needs Planning
When you contact the law offices of Robert J. Galliano, you'll
find out that the child, sibling, parent, spouse, or a loved one in question may be entitled to valuable government benefits,
such as Social Security or Medicaid, either now or in the future. However, most of these benefits are available only to those
of very limited means.
As a result, you may find yourself at a crossroads. You could leave a substantial inheritance
to this person, but he or she will be disqualified from receiving government benefits that could be crucial to the care they
need. On the other hand, you may not want to have to disinherit him or her in order to preserve these benefits.
Fortunately,
a special needs trust will keep you from having to make this wrenching decision. Our attorney can draft a helpful one for you at our offices.
Addressing Your "Special
Needs" Needs
The specific purpose of a special needs trust is to supplement government benefits. This means
that a special needs trust must only provide benefits above and beyond what the beneficiary or disabled person receives from
any government or private agency. In California the trust can be discretionary, allowing distributions that could reduce government
benefits to provide a more flexible trust. Be cautioned that this trust requires a trustee who has expertise in the proper
administration of special needs trusts.
The trust should not duplicate any government-provided services. Nor should
the beneficiary have any resemblance of ownership of the trust assets. Otherwise, the government could attempt to seize the
trust assets for repayment of services rendered or decide that the beneficiary doesn't qualify for future benefits.
To
accomplish this, you should give the trustee complete control over the distribution of assets and any income they generate.
The beneficiary cannot be able to demand any principal or interest from the trust.
Please give very careful consideration to your choice
for trustee. Of course, you or your family will continue to provide for this person while you are alive and able to do so.
However, someone else should be prepared to assume this responsibility following your death or incapacity.
Trust Your Trustee
The most obvious choice is another family member who also cares deeply about
this person. Be on guard against possible conflicts of interest, especially if he or she is in line to inherit the trust assets
after your disabled dependent dies. The relative may be more interested in preserving trust assets than providing for your
beneficiary. Further, family members often have their own lives to run and will not have the time or expertise to properly
manage the special needs trust
Consider using or adding a corporate trustee, a bank or trust company that has
specialized in managing trusts. They can be impartial and durable. They will be around for as long as your beneficiary lives.
Finally,
be sure to work closely with an attorney who has considerable experience with these trusts. Our years of service has made
us highly familiar with the legal mechanics and human factors featured in this area of estate planning.
Schedule Your Initial Consultation
We identify with the unique legal and personal situations of special needs families.
We think those same families will be able to identify with and learn from our astute estate planning advice. Contact the law offices of Robert J. Galliano today.
We've served San Diego County and the Temecula Valley with quality
estate planning representation for over 26 years
We're available
by phone, fax, and e-mail. We would consider weeknight or Saturday appointments too. We look forward to meeting and working
with you.
