A Special Needs Trust (SNT) is a trust designed to preserve government benefits for disabled individuals. There are two types of SNTs: (1) a first-person special needs trust which shelters an individual in possession of funds received either through a settlement or inheritance, or (2) a third-person special needs trust which is created by a trustor for the benefit of an individual, usually a child or family member, receiving public benefits.
An SNT is designed to preserve public benefits while making funds available to the disabled individual if funds received from the government are not enough to take care of the individual. Therefore, it is important for attorneys who draft SNTs to create a carefully tailored trust that provides guidance and direction to the trustee on the administration of an SNT.
To learn more about special needs trusts and how Chauvel & Glatt can build an SNT to ensure the security of your disabled beneficiary, contact us today.
This material in this article, provided by Chauvel & Glatt, is designed to provide informative and current information as of the date of the post. It should not be considered, nor is it intended to constitute, legal advice or promise similar outcomes. For information on your particular circumstances, please contact Chauvel & Glatt at 650-573-9500. (Photo credit: 123rf.com)