How does a personal injury settlement (lump sum payment) effect a recipient’s eligibility for?
Questions
1. How does a personal injury settlement (lump sum payment) effect a recipient’s eligibility for__________ program?
2 How does a personal injury settlement (lump sum payment) effect a recipient’s eligibility for__________ program when transfer to a special needs trust for the benefit of the receiver?
a. How must the trust be set up (i.e. revocable/irrevocable; discretionary /non-discretionary, etc.)?
b. How will distribution from the trust be counted?
Programs
SSI
SSDI
MassHealth Common Health
Food Stamps
Transitional Aid to Families with Dependant Children
Section 8 Housing
Answers:
1. A personal injury settlement (lump sum payment) DOES affect a recipient’s eligibility for the SSI, Food Stamps and TAFDC programs.
1a. A personal injury settlement (lump sum payment) DOES NOT affect a recipient’s eligibility for the SSDI, Masshealth Commonhealth and Section 8.
2. A personal injury settlement (lump sum payment) does not affect a recipient’s eligibility for any of these programs when transferred to a special needs trust for the benefit of the receiver. The whole point of a SNT is to ensure the individual remains eligible for public benefits.
2a. A funded special needs trusts should be irrevocable, this ensure that no change can be made to the trust document. So once the money in the trusts, its in the trust! Whether its a discretionary /non-discretionary trust, that depends on the grantor and how much trust is placed on the trustee. I would assume a non-discretionary trusts is fine as long as it does not impede with additional funds going into the trust.
2b. That’s a loaded interrogate, although the short answer is that funds from the trust should only be used for things not acquired from public benefits because it defeat the purpose. Furthermore, it is imperative that if you do a SNT you find a qualified lawyer who SOLELY deals near special needs trusts. It cannot be simply a estate planning lawyer or one that deal with all sorts of trusts, it must be a attorney that specializes in special needs trusts. The wording of these trusts must be really precise, public benefit agencies will look over these trusts with a microscope so its very crucial that they are written correctly.
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Personal Injury Question Massachusetts?
1. How does a personal injury settlement (lump sum payment) effect a recipient’s eligibility for__________ program?
2 How does a personal injury settlement (lump sum payment) effect a recipient’s eligibility for__________ program when transfer to a special needs trust for the benefit of the receiver?
a. How must the trust be set up (i.e. revocable/irrevocable; discretionary /non-discretionary, etc.)?
b. How will distribution from the trust be counted?
Programs
SSI
SSDI
MassHealth Common Health
Food Stamps
Transitional Aid to Families with Dependant Children
Section 8 Housing
Answers:
1. A personal injury settlement (lump sum payment) DOES affect a recipient’s eligibility for the SSI, Food Stamps and TAFDC programs.
1a. A personal injury settlement (lump sum payment) DOES NOT affect a recipient’s eligibility for the SSDI, Masshealth Commonhealth and Section 8.
2. A personal injury settlement (lump sum payment) does not affect a recipient’s eligibility for any of these programs when transferred to a special needs trust for the benefit of the receiver. The whole point of a SNT is to ensure the individual remains eligible for public benefits.
2a. A funded special needs trusts should be irrevocable, this ensure that no change can be made to the trust document. So once the money in the trusts, its in the trust! Whether its a discretionary /non-discretionary trust, that depends on the grantor and how much trust is placed on the trustee. I would assume a non-discretionary trusts is fine as long as it does not impede with additional funds going into the trust.
2b. That’s a loaded interrogate, although the short answer is that funds from the trust should only be used for things not acquired from public benefits because it defeat the purpose. Furthermore, it is imperative that if you do a SNT you find a qualified lawyer who SOLELY deals near special needs trusts. It cannot be simply a estate planning lawyer or one that deal with all sorts of trusts, it must be a attorney that specializes in special needs trusts. The wording of these trusts must be really precise, public benefit agencies will look over these trusts with a microscope so its very crucial that they are written correctly.
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