Another concern for expenditures relates to the ability to spend money for the benefit of a special needs person in a way that indirectly benefits a third person. For example, if a special needs person wants to travel somewhere, can the trust pay for a travel companion? Local rules vary on this.
Large expenditures must be pre-approved by the Social Security Administration and annual accounts prepared for their review. There are special rules about a Special Needs Trust owning a home and the Trustee must become familiar with the eligibility requirements for Medicaid and Supplemental Security Income (SSI) to ensure that the beneficiary does not lose his or her benefits.
Please contact us if you have any questions about Administration of Special Needs Trust .
Kevin Pollock is the estate planning law attorney in charge of the firm’s Special Needs Planning Department. Attorney Pollock has focused on Wills, Trusts & Estates since 2000 when he received his master’s degree in taxation.
For more information on Special Needs Planning, please visit my blog: Kevin A. Pollock BLAWG