4 Scenarios You May Need a Special Needs Trust in Washington State

 Planning for the future of a loved one with a disability requires careful thought and the right legal tools to ensure their well-being. One such tool is a special needs trust, which can offer financial protection while maintaining eligibility for government programs like Medicaid and Supplemental Security Income (SSI). For families in Washington State, this type of trust can make a significant difference in preserving resources and ensuring long-term care. Let’s explore four situations where establishing a special needs trust might be the right choice for your family.

1. When a Loved One Receives an Inheritance

 If a family member with special needs is set to inherit money or assets, it could unintentionally disrupt their eligibility for government benefits. By placing the inheritance into a special needs trust, you can ensure those funds are used to improve their quality of life while keeping their access to critical assistance intact.

2. Planning for a Parent or Guardian’s Passing

 Parents and guardians often worry about what will happen to their loved one with special needs after they’re gone. A special needs trust can provide a structured plan for managing assets and ensuring those resources are used for the beneficiary’s care, housing, or other needs without jeopardizing their access to public benefits.

3. Managing Settlement Proceeds for Disability-Related Injuries

 In cases where a person with a disability receives a settlement from a personal injury lawsuit, the influx of funds can impact their ability to qualify for government programs. A special needs trust can hold the settlement funds, ensuring they are used responsibly and effectively for the person’s benefit.

4. Protecting Resources for a Child with a Disability

 If you are a parent of a child with special needs, setting up a special needs trust can safeguard financial resources for their future. This trust can cover expenses not typically provided by government programs, such as therapies, education, recreational activities, and other specialized services, giving your child access to a fuller life.

A special needs trust can be a vital part of planning for the financial security and well-being of a loved one with a disability. By addressing these scenarios with foresight, you can ensure they have the resources they need without compromising their access to essential benefits. If you’re considering creating a special needs trust, contact the Law Offices of Joseph W. Creed in Bellevue, WA, to discuss how this estate planning tool can fit into your family’s unique situation.