What is a special needs trust?

A special needs trust (SNT) is a trust set up for the benefit of a disabled person and is designed to manage the person’s assets. In Washington, a special needs trust must be established and managed according to the state’s laws in order to be considered valid. An SNT is usually funded by the disabled person’s own assets, or by someone else’s gift or inheritance. The purpose of the SNT is to provide supplemental funds, over and above those received through government programs, to care for the disabled person’s special needs. An SNT can help provide for the individual’s current and future needs without threatening the person’s eligibility for vital government programs. An SNT can provide funds to cover anything that is not provided through government programs, such as medical or dental care, travel, recreation, or educational support. The trustee of the SNT must be someone who is qualified and reliable and has an understanding of the legal and financial responsibilities. The trustee is responsible for ensuring the funds are used for the benefit of the disabled individual and the funds are managed in compliance with the rules of the state. Special needs trusts can be created for either minors or adults. The state of Washington has specific rules for how SNTs are set up, funded, and managed. It is important that all of the necessary legal and financial paperwork is completed correctly in order to ensure the disabled person’s needs are met in the future.

Related FAQs

What is a trust protector?
What is an executor?
What is trust planning?
What is a testamentary trust?
How do I choose a trustee for my trust?
How do I distribute assets from a trust?
What is the difference between a will and a trust?
What is an irrevocable trust?
What is a trust indenture?
What is an asset protection trust?

What is a special needs trust?

Related FAQs

Related Blog Posts