What is Special Needs Planning?

When an individual with disabilities receives funds through a personal injury or workers’ compensation settlement, inheritance, or other windfall, it is important to consider any subsequent impact on that individual’s eligibility for public benefits. Individuals with disabilities often rely on public benefits such as Supplemental Security Income and Medicaid to meet basic needs. For example, they may have very high healthcare expenses, need case management services, or rely on housing programs or food assistance. Losing eligibility for these benefits could have devastating consequences, and regaining eligibility after discontinuation presents another significant challenge.

Common Scenarios:

• An individual who receives public benefits receives a personal injury settlement.
• An individual with a disability receives a workers’ compensation settlement.
• An individual who receives public benefits inherits funds as a beneficiary of a Will or Trust.
• An individual who does not currently receive public benefits but may be applying for them in the future is receiving an inheritance.
• An individual who receives public benefits has been designated as the beneficiary of a retirement account or life insurance policy.
• Parents want to include their minor or adult child with a disability in their estate plan while ensuring that child’s access to public benefits will be protected.
• An individual who receives public benefits has decided to sell their home.

A special needs planning attorney will analyze an individual’s current public benefits, consider the impact of the settlement or inheritance on benefit eligibility, and identify options for receiving and managing the influx of funds to maximize available resources and protect eligibility for valuable public benefits.