What is a Special Needs Trust?

A special needs trust is an important instrument that allows persons on government benefits to maintain their eligibility. There are certain federal government programs and state programs that have asset limits. For example, persons on Medicaid or SSI, supplemental security income, have asset limits. They are allowed to keep the house, furniture, clothing, one car, and other limited assets; however, these individuals often times come into large amounts of money, which may not be able to be spent down quickly. A special needs trust allows them to keep the money during their lifetime and maintain their eligibility. There are certain requirements for special needs trust that must be followed. So, it is important that you don’t do this yourself. Otherwise, you could render yourself in eligible. If you have any questions about special needs trust, or any other trust, please feel free to contact our office at 225-769-4200.