If you have a family member with special needs, you might face some financial concerns.
How can you maximize the financial support your loved one requires?
One tool to consider is a special needs trust.
This type of trust can allow an individual to receive financial support without losing public benefits, such as Supplemental Security Income and Medicaid.
If you establish such a trust, you’ll need to name a trustee — someone who can manage the fund’s assets and make sure payments are only used for expenses that aren’t typically covered by government programs.
You can serve as a trustee yourself, choose a trusted friend or relative, or hire a professional trust company.
You can fund a trust with gifts throughout your lifetime, an inheritance, or a court settlement, but a trust can also purchase life insurance on the life of one or both parents of a special-needs child.
You’ll need to consult with a legal professional to create a special needs trust.
But if such a trust is appropriate for your situation, it could help relieve some of the stress you may feel over the future of your loved one with special needs.
This article was written by Edward Jones for use by your local Edward Jones Financial Advisor John Dickerson. Member SIPC.
