• English English English en
  • Español Español Spanish es
Call us now: (305) 224-6811
Lorenzo Law
  • Home
  • About
  • The Firm
  • Blog
  • Contact Us
  • FAQ
  • Practice Areas
    • Florida Nursing Home Abuse Lawyer
    • Florida Sexual Abuse Attorney
    • Florida Guardianship Litigation Attorney
    • Florida Personal Injury Lawyer
    • Florida Probate Litigation Attorney
    • Miami Car Accident Attorney
    • Miami Guardianship Attorney
    • Miami Motorcycle Accident Lawyer
    • Miami Probate Attorney
    • Miami Truck Accident Lawyer
    • Miami Wrongful Death Attorney
    • Palm Beach County Probate Attorney
    • Fort Lauderdale Probate Lawyer
    • Trust Litigation Attorney
    • Miami Estate Planning Attorney
      • Coral Gables Estate Planning
  • Blog
  • Search
  • Menu

Florida Trust Law: Distributions To Special Needs Family Members

The term “special needs” typically refers to a mental or physical disability that results in special financial needs. A mentally challenged child, for example, might need to be cared for long after reaching adulthood, while an adult who was disabled in a car accident may find himself unable to work for the rest of his life. The Florida estate planning arsenal includes certain devices designed especially for such situations.

The primary motivation for establishing a special needs trust (special needs trust) is to provide for the needs of a disabled person without thereby rendering him ineligible for means-tested public benefits such as:

  • SSI
  • SSDI
  • Medicaid
  • Medicare
  • Veterans’ benefits

Since it is possible to be “too rich” to qualify for these benefits, special needs trust benefits are not distributed to the beneficiary in cash — instead, benefits are paid in kind, so that it will not count as income to the beneficiary. The trust may pay tuition on behalf of the beneficiary, for example. Special needs trusts protect a disabled person’s eligibility for these benefits with varying degrees of effectiveness, and the rules can get complex in some cases (especially with veterans’ benefits).

Types of Special Needs Trusts

Although many different types of special needs trusts are available, they can be reduced to two different categories — third-party special needs trusts and first-party special needs trusts.

Third-Party special needs trusts

A third party special needs trust is established by someone other than the special needs beneficiary. Different varieties exist — testamentary trusts, which are established by your last will and testament; living trusts and stand-alone trusts. Stand-alone trusts are arguably the most popular because they allow just about anyone to contribute to the trust, both before and after the death of the person who established the trust.

Third-party trusts are typically established by family members of the beneficiary, and in many cases various family members contribute to it. The trust can even be revocable, as long as the beneficiary himself does not have the power to revoke it.

First-Party special needs trusts

In a first-party special needs trust, the first party” is the disabled beneficiary himself. Suppose, for example that someone is disabled as a result of a catastrophic truck accident and wins a large personal injury settlement. Or, alternatively, suppose that a disabled person inherits a large amount of money and property. These assets could be placed into a first-party special needs trust, administered by a qualified and prudent trustee for the best interests of the disabled person.

Contact Lorenzo Law Today

If you are considering creating an estate plan, especially if one or more of your beneficiaries is burdened with special needs, you must plan carefully to realize your intentions. Florida trust law is filled with hidden traps that could spring years or even decades down the road.

Contact Lorenzo Law immediately for a free. confidential consultation on your case. Although we maintain offices in Coral Gables and Ft. Lauderdale, we serve clients throughout Florida.

We can be reached by telephone at (305) 999-5411,through our online intake form, by email at [email protected] or by visiting one of our offices.

Pages

  • #1662 (no title)
  • About
  • Adult Guardianship Under Florida Law
  • Aventura Probate Lawyer
  • Bal Harbour Probate Lawyer
  • BENEFICIARY DESIGNATIONS – LIFE INSURANCE
  • BENEFICIARY DESIGNATIONS – RETIREMENT PLANS
  • Blog
  • Brickell Probate Lawyer
  • BUSINESS PLANNING
  • Charitable Bequests
  • CLOSING AN ESTATE
  • Coconut Grove Probate Lawyer
  • Contact Us
  • Contingent Beneficiary Under Florida Estate Law
  • Coral Gables Estate Planning
  • Coral Way Probate Lawyer
  • Cutler Bay Probate Lawyer
  • DIFFERENCES BETWEEN AN INDIVIDUAL SPECIAL NEEDS TRUST AND A POOLED SPECIAL NEEDS TRUST
  • DISABILITY TRUSTS (FIRST PARTY SNT)
  • Doral Probate Lawyer
  • Downtown Miami Probate Lawyer
  • DURABLE POWER OF ATTORNEY
  • ESTABLISHING A FLORIDA DOMICILE
  • Estate Planning Attorney in Ft. Lauderdale, Florida
  • FAQ
  • Florida City Probate Lawyer
  • Florida Estate Law: Specific Bequests Of Tangible Property
  • Florida Guardianship Litigation Attorney
  • Florida Nursing Home Abuse Lawyer
  • Florida Personal Injury Lawyer
  • FLORIDA POWER OF ATTORNEY TO PLAN FOR INCAPACITY
  • Florida Probate Law: Distributions To A Surviving Spouse
  • Florida Probate Law: Distributions To Other Family Members
  • Florida Probate Law: The Need For A Thorough List Of Assets
  • Florida Probate Litigation Attorney
  • Florida Sexual Abuse Attorney
  • Florida Trust Law: Distributions To Special Needs Family Members
  • Fontainebleau Probate Lawyer
  • Fort Lauderdale Probate Lawyer
  • GIFT TAX ISSUES FOR SPECIAL NEEDS TRUSTS
  • HEALTH CARE SURROGATE, A LIVING WILL & HIPAA RELEASE
  • Hialeah Probate Lawyer
  • HIPAA RELEASE & AUTHORIZATION
  • Home
  • Homestead Probate Lawyer
  • HOW A TRUST ATTORNEY CAN HELP YOU PROTECT YOUR FAMILY
  • INCOME TAX ISSUES FOR SPECIAL NEEDS TRUSTS
  • Income Tax Planning
  • Kendall Probate Lawyer
  • Liberty City Probate Lawyer
  • MEMORANDUM OF INTENT
  • Miami Beach Probate Lawyer
  • Miami Car Accident Attorney
  • Miami Estate Planning Attorney
  • Miami Gardens Probate Lawyer
  • Miami Guardianship Attorney
  • Miami Lakes Probate Lawyer
  • Miami Motorcycle Accident Lawyer
  • Miami Probate Attorney
  • Miami Shores Probate Lawyer
  • Miami Springs Probate Lawyer
  • Miami Truck Accident Lawyer
  • Miami Wrongful Death Attorney
  • Non-Probate Assets Vs. Estate Assets Under Florida Probate Law
  • North Miami Beach Probate Lawyer
  • North Miami Probate Lawyer
  • Opa-locka Probate Lawyer
  • Overtown Probate Lawyer
  • Palm Beach County Probate Attorney
  • Palmetto Bay Probate Lawyer
  • Pinecrest Probate Lawyer
  • POOLED SPECIAL NEEDS TRUSTS
  • Practice Areas
  • Probate Lawyer in Boca Raton
  • Probate Lawyer in Boynton Beach
  • Probate Lawyer in Cloud Lake
  • Probate Lawyer in Coconut Creek
  • Probate Lawyer in Cooper City
  • Probate Lawyer in Dania Beach
  • Probate Lawyer in Davie
  • Probate Lawyer in Delray Beach Florida
  • Probate Lawyer in Gulf Stream
  • Probate Lawyer in Lauderhill
  • Probate Lawyer in Lighthouse Point
  • Probate Lawyer in Margate
  • Probate Lawyer in North Lauderdale
  • Probate Lawyer in Oakland Park
  • Probate Lawyer in Pembroke Park
  • Probate Lawyer in Plantation
  • Probate Lawyer in Pompano Beach
  • Probate Lawyer in Southwest Ranches
  • Probate Lawyer in Tamarac
  • Probate Lawyer in Weston
  • Probate Lawyer in Wilton Manors
  • RIGHTS OF HEIRS AND ELECTIVE SHARE OF SPOUSE
  • Selecting Executors Under Florida Probate Law
  • Selecting Trustees Under Florida Trusts Law
  • South Miami Probate Lawyer
  • Special Needs Planning
  • Sunny Isles Beach Probate Lawyer
  • Surfside Probate Lawyer
  • The Firm
  • The Hammocks Probate Lawyer
  • The Roads Probate Lawyer
  • THIRD-PARTY SPECIAL NEEDS TRUSTS
  • TO DO LIST UPON THE DEATH OF A LOVED ONE
  • TO DO LIST UPON THE DEATH OF A LOVED ONE
  • Trust Litigation Attorney
  • Trust Litigation Attorney
  • West Miami Probate Lawyer
  • Widow/Widower Estate Planning In Florida
  • WILL CONTEST

Categories

  • Uncategorized

Archive

  • May 2019
  • March 2019

Link to: Contact Us

Questions? Feel free to contact us.

Lorenzo Law Firm is ready to answer your questions or concerns. Feel free to contact us at your earliest convenience and make sure to call us in an emergency.

Lorenzo Law

Miami-Dade Office: 2850 Douglas Rd. Suite 303, Coral Gables, FL 33134

Broward: 12 SE 7th Street, Suite 701. Fort Lauderdale, Florida 33301

Phone: (305) 224-6811 | Email: [email protected]

We provide legal services throughout Florida including those in the following localities: Miami-Dade County including Aventura, Miami, Coral Gables, Doral, Fontainebleau, Hialeah, Homestead, Kendall, Key Biscayne, Miami Beach, Miami Lakes, North Miami, Tamiami, Westchester, and North Miami Beach; Broward County including Fort Lauderdale, Hollywood, Cooper City, Coral Springs, Hallandale Beach, Oakland Park, Pembroke Pines, Plantation, and Weston; and Palm Beach County including West Palm Beach.

DISCLAIMER

The information contained in this website is for general information purposes only. The information is provided by Lorenzo Law and while we endeavour to keep the information up to date and correct, we make no representations or warranties of any kind, express or implied, about the completeness, accuracy, reliability, suitability or availability with respect to the website or the information, products, services, or related graphics contained on the website for any purpose. Any reliance you place on such information is therefore strictly at your own risk.

About | Imprint | Contact | Terms

Scroll to top