Q: Who needs a Special Needs Trust?
A Special Needs Trust (“SNT”) is a special form of discretionary trust, where the trustee has control over distribution of funds for the beneficiary. It can be created to provide funds for a person’s needs in a form that will not jeopardize government benefits. Government benefits might be needed by that person for many reasons, particularly as a financial supplement to ensure that the beneficiary’s lifetime needs will be met. A SNT can also be set up for an individual who is not currently receiving government benefits, but who might need them in the future. The creation and administration of a SNT often must be handled very carefully, so retaining a lawyer who is knowledgeable about such matters can be very important to the success of the SNT in achieving its purpose.
< Back to FAQs