Alabama Family Trust Fulfills a Special Need
Alabama Family Trust (Alabama Family Trust Statute) provides for the establishment of a trust that disburses funds to supplement the care, support, and treatment of the designated disabled person or beneficiary in a way that complements any governmental entitlements.
The current minimum initial contribution required to establish an individual trust is $1,500 which includes a $750 set-up fee. Our team of professional staff members will be happy to assist you with any questions as you begin establishing a trust for a family member or friend.
Government Entitlements Only Go So Far
Many Americans with mental or physical disabilities depend upon government entitlements such as Medicaid and Supplemental Security Income (SSI) to provide for their financial needs. However, these financial resources are often insufficient to cover their day-to-day living expenses. Individuals with disabilities also face the costs of increased medical bills and special medical equipment and supplies not supplied by government programs.
Supplemental Needs Trusts are specifically designed for individuals with disabilities from children to the elderly.
A supplemental needs trust provides a way to improve the quality of life of the disabled beneficiary without jeopardizing current or future eligibility for means-tested benefits such as SSI and Medicaid.
However, because of resource limitations, financial assistance including gifts and inheritance from family and friends, can adversely affect the disabled individual’s eligibility for Medicaid and SSI. The current resource limit for Medicaid and SSI benefits is anything in excess of $2,000.
Alabama Family Trust works hard to better the lives of those with special needs.
Statute That Governs Alabama Family Trust
Alabama Family Trust was set up by the Alabama Legislature in 1994 and has served Alabamians as the only non-profit, pooled trust company in the state. The supplemental needs trusts we manage benefit children, adults, and seniors with disabilities and other special needs. The trusts help the beneficiaries in ways that complement government programs such as SSI and Medicaid and do not replace the benefits from those programs. These supplemental needs trusts range in size from $1,500 to millions.