Denver Special Needs Inheritance Planning Lawyer
At Brady, McFarland & Lord, LLC, what we do is all about your needs and goals. Our mission can be especially important when you are preparing for the medical and financial needs of a disabled loved one. Our experienced estate planning lawyers in Arvada can structure a third-party special needs trust or supplemental needs trust that is tailored to your family’s specific, unique wishes. This tool can assist disabled family members to avoid certain kinds of taxation while still qualifying for Medicaid, Social Security, and other government benefits.
The beneficiary you have in mind could be a seriously injured or ill spouse, elderly parent, or specially-abled child. Our special needs inheritance planning attorneys in Denver have their best interests at heart – and work hard to devise a special needs trust correctly the first time. Otherwise, the recipient could inherit money outright and put his or her government benefits in disarray.
Why Brady, McFarland & Lord, LLC?
You should speak with us if a third-party special needs trust can benefit a disabled loved one suffering from:
- Down syndrome
- Parkinson’s disease
- Multiple sclerosis
- Catastrophic injury or illness
- Cystic fibrosis
During your initial consultation, we will tell you how we can thoughtfully draft, review and administer the special needs trust you have in mind, and protect it against any potential financial mismanagement in the future. We want our legal expertise to provide the peace of mind you deserve, and begin the foundation for a lasting relationship.
What is a Special Needs Trust in Colorado?
In Colorado, a special needs trust is an elective trust that is created for a person who is disabled or elderly. Its purpose is to provide benefits through the trust to the beneficiary who would likely not qualify for public assistance like supplemental security income or Medicaid otherwise.
Because of the disability, the person the trust is created for is not able to obtain and hold gainful employment. Because of this, they do not have the assets they need to support themselves effectively.
Types of Special Needs Trusts
Disability trusts are recognized by both federal and state statutes to be self-funded. They are established with the disabled person’s property and funding. If the disabled person is under 65 years old, a disability trust may be established.
Disability trusts must be created by the person’s parent, guardian, grandparent, or the court.
Third-Party Created Trusts
If the trust is funded by a person outside the beneficiary, it is considered a third-party trust. These trusts will benefit the person with the disability while it is a special needs trust. Third-party trusts can be created as living trusts or as testamentary trusts, which means they were created through a will.
Parents might create a living trust for their child who has a disability but wants to ensure their public benefits are not affected by the trust.
Testamentary trusts allow the parents to draft a will and include the special needs trust for their child with a disability within it.
Benefits of a Denver Special Needs Trust
The capability to provide economic security and a safety net for a person with a disability or an impairment and no compromise in their being able to draw government benefits can be challenging. A trust can be designed so that assets are placed in the trust. The assets own the items in the trust are owned by the trust. However, access to them is determined by the trustee, meaning the assets are not necessarily something the beneficiary can use.
If the assets are placed in a special needs trust, the person with special needs must follow the rules concerning income and assets so that their Medicaid, subsidized housing, social security insurance, vocational rehab, or subsidized housing are not interfered with while the beneficiary can still gain access to the resources that are there to benefit them in the trust.
Benefits for a Denver Special Needs Trust
Those caring for a person with disabilities can use the special needs trust to provide for that person’s financial needs in the present and the future. If other loved ones would like to leave or pass along assets to the person with the disability, they can place them within the trust without causing the beneficiary to lose any of the services they need.
Adults with disabilities may use these trusts to create a chance to receive public benefits and not forfeit the financial gains they made through planning and saving.
How to Create a Special Needs Trust?
If you are considering creating a special needs trust, contact the estate planners at Brady, McFarland & Lord, LLC. Our estate planning attorneys can walk you through the planning process and institute a special needs trust that will meet your needs or the needs of your loved one.
Consider the assets that will go into the trust and their management and use. Share your ideas about funding the trust with your attorney. You will then want to find a reliable trustee who can manage the trust with the beneficiary’s best interest at the forefront. Your attorney can help you make the best choice.
Next, the plan will be drafted by an attorney, and soon, it will be time to sign the contract and fund the trust. The trust should then be overseen according to your wishes. Financial updates should come regularly so you understand how your funds are being managed.
Contact Our Denver Special Needs Inheritance Planning Attorney
With more than 21 years of service to greater Denver, JeffCo, and Front Range areas, our skilled Denver special needs inheritance planning lawyers have proven that they can get results. Find out more about the advantages of special needs trusts by contacting us today. Our toll-free phone number is (720) 571-4947 for those in Colorado cities such as Arvada, Denver, Thornton, Lakewood, Wheat Ridge, Louisville, Broomfield, Golden, Superior, Westminster, Littleton, Genesee, Evergreen, Lafayette, Northglenn, and Commerce City. We are dedicated to protecting what matters most in your life. Call today at (720) 571-4947.