Special Needs Trust
I was able to view yesterday’s video. I have a daughter who is 56 years old and has been diagnosed with autism about 5 years ago. She had been married at the time and had a spouse who was able to contribute. Last year they divorced, no children involved. My wife and I have means to provide her support when her alimony stops in 5 years.
However, given that we are both 82 years old, who knows what our future needs will be. My wife is currently fighting colon cancer. Pennsylvania has rules which specify that if we need to turn to Medicaid for support, we must not have given away any of our wealth within the 5 years prior to applying for Medicaid.
Do we skirt those rules if we were to insert our assets into a Revokable Living Trust?
Same question if we were to insert some of out assets into a Special Needs Trust?
Thanks you for your help.
Terry Says
Oh, what a sad situation. No, a Revocable Living Trust has nothing to do with “spending down” to qualify for Medicaid. But you should make plans to leave assets for your daughter — if any assets remain — in a special needs trust. Here is a great website created by a woman — Mary Ann Ehlert — who is the true expert in this type of financial planning: https://protectedtomorrows.com/
Please spend some time at this website, and then you will need a specialist estate planning attorney in your state of residence. The website will also help you find the right attorney. And don’t delay!
