As the new year begins, many of us are filled with hope and a sense of possibility. New beginnings are always refreshing – but if we’re honest, sometimes a new year doesn’t feel all that new – especially when it comes to those who care for disabled loved ones on a regular basis.
Thankfully, there’s one change you can make this year that will not only set your mind at ease, but will provide real, tangible benefits to your loved one: setting up a special needs trust with Alabama Family Trust.
Why a Special Needs Trust?
Setting up a special needs trust for your disabled loved one offers many benefits.
If your aging parent needs to enter a skilled nursing facility this year, it’s important to know that their assets can and will be used for nursing home bills until they have been depleted. At that point, Medicaid will begin paying the bills.
However, you can prevent the above scenario by holding your parent’s assets in a special needs trust (although special needs trusts for adults are only allowed in certain states, so make sure that your state is one of them). When Medicaid considers financial eligibility for benefits, they will not “see” the funds held in the trust, which means Medicaid will pay the nursing home bills right away – potentially saving your parent thousands of dollars.
Other reasons to consider a special needs trust include protecting eligibility for Medicaid and Supplemental Security Income (SSI) for your loved one with a developmental delay. In order for basic needs to be covered by these programs, your loved one’s assets may not exceed $2,000; however, when you contain anything in excess of that amount within a special needs trust, your loved one is eligible for government benefits and the trust funds may be used for other things that aren’t covered by Medicaid and SSI.
How Can I Set Up a Special Needs Trust?
Special needs trusts may seem intimidating if you don’t know much about them, but when you have professionals like Alabama Family Trust guiding you through the process, it’s really not painful at all!
The best place to start is by contacting us for more information. We’ll talk to you about your situation and see if a special needs trust might be right for your family. If it is, and you’d like to proceed with the setup process, you can rest assured that we will be there to answer every question and walk with you every step of the way.
Ready to start a conversation about special needs trusts? We’re here to help. Contact us today, and let 2017 be a year of financial peace for you and your disabled loved one.