Planning for the future of loved ones—especially children and those living with disabilities—requires both heart and strategy. Trusts can be one of the most powerful tools available to help ensure their financial well-being and access to care.
Whether the guardian is a parent or a grandparent, understanding how trusts work and how they can be customized for young or differently abled beneficiaries is key to long-term peace of mind.
Trusts for differently abled beneficiaries
A trust can offer ongoing support, financial protection and even legal safeguards. This is especially valuable when the beneficiary has a disability that impacts their ability to make independent financial decisions.
For beneficiaries with physical or cognitive disabilities, a traditional inheritance can cause harm. Specifically, an inheritance can disqualify them from needs-based government programs like Supplemental Security Income (SSI) or Medicaid. Families often turn to Special Needs Trusts (SNTs) to avoid this.
Families can explore a First-Party Special Needs Trust that’s funded with the beneficiary’s inheritance. Alternatively, the family can set up a Third-Party Special Needs Trust that’s funded with assets from someone else, like a parent or grandparent.
These trusts allow the beneficiary to continue receiving public benefits while the trust pays for supplemental needs like:
- Personal care attendants
- Therapy
- Travel
- Technology
- Education
A trustee helps ensure funds are used according to the trust’s terms and in a way that doesn’t interfere with eligibility.
Trusts are not just tools for the wealthy—they’re vital estate planning instruments that offer security, dignity and tailored support. For differently-abled beneficiaries, they preserve critical benefits while enriching their quality of life. The right trust, thoughtfully designed with legal guidance, becomes a powerful act of love—helping to ensure loved ones are cared for in the way they deserve.