Can a Trust Help Avoid Probate?

Call us today at 813-379-9839 for a consultation on special needs trusts, or visit our Contact Us page for more information. Families with loved ones who have disabilities often face the challenge of balancing financial security with the need to maintain eligibility for government benefits. A Special Needs Trust (SNT) can offer an effective solution, ensuring that your loved one’s quality of life is enhanced without risking critical benefits like Supplemental Security Income (SSI) or Medicaid. If you're in Tampa, FL, and need guidance on setting up a Special Needs Trust, our expert attorneys at the Law Office of Elizabeth Devolder are ready to help. more What is a Special Needs Trust? A Special Needs Trust (SNT), also known as a Supplemental Needs Trust, is a legal arrangement that holds and manages assets for individuals with disabilities. This type of trust ensures that funds are used to enhance the life of the beneficiary while keeping them eligible for crucial government programs. The trust is managed by a trustee often a family member who uses the assets to pay for things like special medical treatments, educational expenses, personal care, or recreational activities that government benefits don’t cover. The most significant advantage of a Special Needs Trust is that it protects eligibility for public benefits. Since the beneficiary does not have direct control over the trust's assets, these assets are not counted toward the government’s resource limits. This means that even if the beneficiary’s trust holds significant funds, they won’t lose eligibility for programs like SSI or Medicaid. This distinction is essential, as many government programs have strict asset limits (often no more than $2,000 in countable assets for individuals), and direct gifts or inheritances could disqualify a loved one from these benefits. How Does a Special Needs Trust Work? Special Needs Trusts must adhere to federal regulations under the Social Security Act and local state laws. Importantly, they are typically irrevocable, meaning they cannot be easily modified or canceled after creation. The trustee has discretion over how the funds are distributed but must follow specific guidelines to ensure that the distributions do not jeopardize the beneficiary’s eligibility for public benefits. For example, using the funds to pay for food or shelter directly can reduce the recipient's SSI benefits. For the trustee, this responsibility means they must be well-versed in both the needs of the beneficiary and the legal framework surrounding government benefits. This careful balance between providing for your loved one and preserving their eligibility for essential benefits makes having a knowledgeable attorney an invaluable part of the process. Need help navigating these complex regulations? Contact the Law Office of Elizabeth Devolder in Tampa, FL, at 813-379-9839 or visit our Contact Us page to speak with an expert Special Needs Planning attorney. Who Can Benefit from a Special Needs Trust? A Special Needs Trust is ideal for individuals with disabilities who rely on or may need needs-based government benefits like SSI or Medicaid. Common scenarios where families often consider creating a Special Needs Trust include: Parents of children with autism, Down syndrome, cerebral palsy, or other developmental disabilities who require long-term care and may have limited future earning potential. Accident victims or individuals with life-altering injuries who receive a significant settlement but still require ongoing Medicaid for health care and rehabilitation. Families concerned about leaving an inheritance or gift that could disqualify a relative from essential programs like SSI or Medicaid. Not everyone needs a Special Needs Trust. For example, if the beneficiary’s assets are low and they do not rely on government assistance, other simpler estate planning tools may be sufficient. However, for larger sums or long-term financial security, Special Needs Trusts are an essential tool to ensure your loved one’s future is secure without compromising vital support from public benefits. To discuss how a Special Needs Trust can help protect your loved one’s benefits and future, contact our office today at 813-379-9839 or visit our Contact Us page. Why Choose Our Tampa, FL Special Needs Planning Attorneys? At the Law Office of Elizabeth Devolder, we specialize in Special Needs Planning, Trust Administration, and Estate Planning. We work with families in Tampa, Sarasota, and surrounding areas to ensure their loved ones with disabilities are cared for and that their financial needs are met without jeopardizing eligibility for government benefits. Contact us at 813-379-9839 for a personalized consultation, or visit our Contact Us page to schedule an appointment. We can also assist with Trust Administration and all aspects of Special Needs Law to provide peace of mind for you and your family. For more information on managing trusts, read about our Trust Administration services. FAQs About Special Needs Trusts 1. What is the difference between a Special Needs Trust and a regular trust? A regular trust is a financial arrangement where assets are held by a trustee for the benefit of the beneficiary. However, a Special Needs Trust is specifically designed to preserve the beneficiary’s eligibility for government benefits, such as SSI or Medicaid. Regular trusts may count toward the beneficiary’s asset limit, while the assets in an SNT do not. 2. Can a Special Needs Trust be changed? Once established, most Special Needs Trusts are irrevocable, meaning they cannot be easily modified or canceled. This ensures that the trust’s purpose protecting eligibility for benefits remains intact. However, in some cases, a trust amendment may be possible, depending on the specific circumstances and the law. 3. Can I leave money directly to my child with a disability? While it’s tempting to leave assets directly to a loved one with a disability, doing so could jeopardize their eligibility for needs-based government benefits. Instead, a Special Needs Trust allows you to provide financial support without affecting their eligibility for programs like SSI and Medicaid. Consult with an attorney to determine the best course of action for your family. 4. How does a Special Needs Trust affect SSI or Medicaid? A Special Needs Trust helps ensure that the assets in the trust are not counted as part of the beneficiary’s total assets when calculating eligibility for programs like SSI or Medicaid. This means the beneficiary can receive the benefits they need while also benefiting from trust assets that enhance their quality of life. 5. What can a Special Needs Trust be used for? The trust funds can be used for anything that improves the beneficiary’s quality of life, as long as it doesn’t affect government benefits. This includes things like medical equipment not covered by insurance, therapies, education, recreation, travel, and personal care items that are not provided by public benefits. 6. How do I get started with a Special Needs Trust? To begin setting up a Special Needs Trust, you need to consult with a Special Needs Planning Attorney. Our team at the Law Office of Elizabeth Devolder specializes in this area and can guide you through the process. Contact us at 813-379-9839 or visit our Contact Us page to get started. Ready to protect your loved one’s future? Reach out to us today 813-379-9839 to get started on creating a Special Needs Trust that secures your family’s future while preserving their eligibility for essential benefits.

Most of us look forward to retirement, but if you're going to really enjoy those golden years, it's important to make sure your assets are protected so you don't burn through them faster than expected. An asset protection lawyer in Tampa, FL can help you set things up in a way that will ensure your future is secure. more From a Tampa, FL Asset Protection Lawyer: Getting Protected Before You Retire The precise steps you take will depend on your unique situation, so this is something you need to talk over with a lawyer in person. But in general there are some basic steps that you'll probably want to take: 1. Establish Trusts When you create a trust, you transfer some of your assets from your own estate and into the trust. Those assets now do not technically belong to you: they belong to the trust. You can set yourself as the trustee or have another trustee appointed, and you can still manage how assets in the trust are used. There are several types of trusts, but the two large, overarching types are revocable and irrevocable. Revocable trusts offer you more flexibility to change things, but they offer fewer protections. Irrevocable trusts offer more protection but are less flexible once they've been set up. A lawyer can help you decide the best choice for you. 2. Diversify It's always wise to diversify your investments as you try to build wealth and look towards your retirement years. Every type of investment, from stocks and bonds to real estate, gold, or even crypto, comes with its own risk profile and rewards. If you have, as they say, "all your eggs in one basket," you're taking on too much risk. If everything you have is in the stock market, for example, and the stock market tanks at the wrong time, your retirement could be endangered. By diversifying as much as possible, it's more likely your retirement income will stay stable. 3. Be Smart About Insurance Coverage Insurance is something you can pay into now and reap big benefits from when you hit retirement. Healthcare is always a huge issue to be concerned about. For one thing, you just don't know how many years of life you might have, so you don't really know how many years of retirement you're going to need to plan for. For another, should you end up needing serious long-term care, you could easily burn through all your assets. Consider getting long-term care insurance and disability insurance to get peace of mind for all this. The right life insurance policy can also be helpful. With some life insurance policies, you can choose cash out the policy under the right circumstances, and that gives you an extra source of money should you be hit with something unexpected. These are just a few of the options that can protect your assets as you head into your golden years, but the best thing that you can do to prepare is to talk with an experienced attorney. Contact the Law Office of Elizabeth Devolder in Tampa, FL today.

During probate, a deceased person's estate is dealt with according to the Florida Probate Code. The deceased person's personal representative inventories the estate and determines its value, pays off debts and taxes, and then transfers the estate to the beneficiaries. At any point in this process, challenges can arise, and sometimes litigation is unavoidable. A Tampa, FL probate litigation attorney can help you bring a case or defend against litigation. more From a Tampa, FL Probate Litigation Attorney: About Litigation In the context of probate, the most common disputes are over whether the will is valid, how the estate is being administered by the executor, or how the terms of the will should be interpreted. Anyone who has a stake in the estate can bring a claim, so this is usually beneficiaries, executors, creditors, or anyone who would legally be eligible as an heir of the estate, even if the will doesn't name them as a beneficiary. Just because a person thinks they should have been in a will and brings a litigation challenge doesn't mean the court will hear it, of course, but those with a stake in the estate have the right to try if they can bring a case to show there's a problem with the will. Probate Litigation Process A case begins when one of the interested parties files a petition with the court. This will summarize what they are claiming or objecting to. The court will then decide whether to hold a hearing, and if it does, the next step will be a summons. The court will send legal notices to all interested parties telling them about the pending litigation and informing them of their rights and obligations. There will then be hearings, but in preparation for the hearings, both sides first engage in discovery and make motions. Discovery is where both sides gather evidence. Both sides can also bring motions to request the court to rule on certain things or take specific actions. The court may also order the parties to enter into mediation at this point.After discovery is finished, there will be a trial, at which both parties can present their evidence and use it to make arguments. The court will make a final decision if no agreement is reached in mediation, and the court's decision is binding. The goal of the court will be to resolve the dispute while making sure that the deceased person's wishes are followed. Wherever you are in the process, we can help. We can help you with estate planning that will protect your beneficiaries from litigation to a large degree and put certain elements in place to discourage anyone from bringing a challenge to your will. If you're currently in a battle, we have many years of experience in Florida's probate courts and a determination to fight hard for our clients. Reach out to the Law Office of Elizabeth Devolder in Tampa or Lakewood Ranch, FL today to schedule an appointment. chat