There are many types of trusts and special trusts that you can set up for someone who has been declared legally disabled. However, one of the most popular types of trusts is a special needs trust Medicaid payback in Chicago. There are many advantages to creating a special needs trust.
Protect Assets
The main reason that these trusts are established is to protect the government benefits that the disabled person receives in the event they are the recipient of a large inheritance or settlement. These benefits can include social security payments or Medicaid benefits.
No Direct Payments
One of the stipulations of these trusts is that no money can be given directly to the trust beneficiary. No checks can be written to them from the trust, nor can cash be withdrawn and given to them. Instead, the goods or services that the beneficiary wants must be billed and presented to the trustee of the trust fund. The trustee then proceeds to pay the bill directly from the trust.
Discretionary
There isn’t much of a limit on what can be purchased with special needs trust Medicaid payback in Chicago if the rules are followed. In fact, the trustee has discretion over what is and what isn’t appropriate for purchase. They can be anything from medical devices that Medicaid does not cover to televisions or phones and anything else in between.
If you are interested in learning more about these types of trusts, please contact Life’s Plan, Inc.They can help you set one up for your loved one.
