There are four major benefits of a special needs trust.
- The special needs trust is designed to coordinate with other programs, therefore ensuring the individual remains eligible for state and federal government benefits.
- Through a special needs trust, the caregiver can be assured of the future financial security of his or her loved one with special needs.
- Cash value from the life insurance grows tax deferred and is accessible during the life of the caregiver via loans.
- Proper planning provides for the individual's continued support, quality of life, and dignity.
In our next blog post, we will share some additional considerations if you plan to establish a special needs trust.