Can I set up my own special needs trust?

People with Disabilities Can Now Create Their Own Special Needs Trusts. The Special Needs Trust Fairness Act, federal legislation that allows people with disabilities to create their own special needs trusts instead of having to rely on others, is now law.

What is a special needs trust in Massachusetts?

The trust is intended to help preserve funds for a person with a disability, enhance the person’s quality of life, while protecting his or her eligibility for public benefits, such as Medicaid and Supplemental Security Income (also known as “SSI”). A 1993 federal law permitted the creation of special needs trusts.

What are the rules for a special needs trust?

The following are essential characteristics of a Special Needs Trust: 1) It must be irrevocable; 2) It must be valid under federal and state local law; 3) It must negate a determination that trust assets are “available resources” of the beneficiary for purposes of Supplemental Security Income (SSI), Medicaid or an …

How do you set up special needs trust?

How to set up a special needs trust. Due to setup and maintenance costs, advisors recommend a minimum of $100,000 to fund a special needs trust. Assemble a team that includes attorneys and financial advisors, and be sure to involve all interested family members.

What is supplemental needs trust?

Supplemental needs trust is a US-specific term for a type of special needs trust (an internationally recognized term). Supplemental needs trusts are compliant with provisions of US state and federal law and are designed to provide benefits to, and protect the assets of, individuals with physical, psychiatric,…

What is general needs trust?

General Needs Trust . An alternative method is to leave inheritance in trust for a child’s benefit. Trusts are very flexible in their design. A general needs trust will usually permit distributions of income and principal for health care, education, support, and maintenance of the child until a specified age or event.