Were a parent or grandparent to provide for this disabled individual in a will, any inheritance would likely disqualify the disabled individual from these government benefits.  The disabled individual would be disqualified from these programs until he depleted or "spent down" his inheritance on his care or needs.

    Instead of leaving the inheritance outright, a parent or grandparent should leave that inheritance to the trustee of a Supplemental Needs Trust.  Another family member can easily serve as trustee.

    The purpose of a Supplemental Needs Trust is to allow the trustee to buy items for the disabled individuals that government programs do not provide.  Extra clothing, a new TV, a DVD or CD player or even travel are some of the items that might add substantial enjoyment to the beneficiary's life.  For instance, the trust might pay for a companion to accompany the beneficiary on a trip (perhaps a trip to visit other family members).  Government programs provide for only necessary expenses.  A Supplemental Needs Trust allows the trustee to buy the beneficiary some "extras."  Those extras might even change over time.  The trustee can react to those changing needs.

    Best of all, because the beneficiary has no legal right to demand money from the Trust, so long as it is properly drafted, the beneficiary will not lose his right to the benefits that he is receiving at the time.  Moreover, the amount in the Trust will not be considered part of his resources.

    The amount deposited need not be substantial.  Ten, or twenty thousand dollars will have a significant impact on the beneficiary's life so long as he continues to receive his other benefits.

    Please call and speak with one of our estate planners if you would like to learn more about Supplemental Needs Trust.