Estate planning is a complex process. There are many things to consider as you work on a plan to uniquely suit your needs, and that includes caring for your loved ones in the future. One of the ways that you can do this is by setting up a trust as part of your complete estate plan.
Alaska families caring for loved ones with special needs or disabilities may have legitimate concerns about what will happen to certain family members in the future. It is normal to have concerns about the long-term interests of your loved ones, but there are options available to you. By setting up a special needs trust, you can lay the foundation for the care and support of a specific family member who will need care long-term.
The specifics of this particular type of trust
You may have the assumption that your will is enough to secure the interests and protection of a loved one with special needs. However, there are many reasons why a will may not be the best choice to accomplish your goal of caring for a specific person. A trust specifically designed for the purpose of serving and protecting assets for a special needs individual could offer you the following benefits:
- The creation of a trust allows you to secure assets for a person who is mentally or physically unable to care for himself or herself.
- The money set aside in a trust will not affect a beneficiary's eligibility for government benefits, unlike money passed on through a will.
- Special needs trusts take care of the specific needs of special needs individuals, such as housing, food, clothing and more.
- You can designate a trustee to use trust assets to care for the beneficiary, such as buy clothes and pay for medical care.
This simple step can give you peace of mind for the future, knowing that the interests of your family member are secure.
Building a strong estate plan
Your estate plan should be suited to your needs and objectives. If you have a special needs child or are providing for a loved one with disabilities, you need a plan with specific considerations in place.
If you do not have a plan or need to update your plan, you have no time to lose. Life is uncertain, but when you have the right protections in place, you and your loved ones can look to the future with certainty.