As a loving grandparent, you want to leave money to your disabled grandchild. While we understand your generosity with this desire, sometimes the inheritance can do more harm than good. So what is the best way to leave money to your disabled grandchild?
Thankfully, there are government benefits for disabled children. But most of the benefits are ‘means based.’ This means that the less money a family has for their disabled child, the more money the government will use to help them.
An inheritance also means that if your disabled grandchild suddenly comes into a large sum of money, they may lose all their benefits. And in some cases, the government will want its money back for benefits already received. This is one of the main reasons why you do not want to leave money for your disabled grandchild.
Some of the government funds that the family of your disabled grandchild may receive are:
How do you distribute your assets to ensure your grandchild can receive this money? Working with an experienced estate planning attorney can ensure your money is used to take care of your grandchild.
One of the best ways to ensure your disabled grandchild receives an inheritance after you pass away is to establish a special needs trust. This trust ensures that your grandchild will still receive the government funds they need, plus it allows you to give them extra money to cover all other expenses.
Naming a trustee and having them responsible for your grandchild allows your money to be used for your grandchild. This is typically the child’s parents or caregiver. This person will oversee the funds and make sure your grandchild is not only taken care of but has the extras needed to enjoy life to the fullest.
Do you have questions about setting up a special needs trust? We will help you write an estate plan that ensures your money safely goes to your disabled grandchild. To schedule a consultation with the experienced will and special needs trust attorneys at Estate and Probate Legal Group, call us at 630-864-5835.
AREAS WE SERVE: Cook, DuPage, Kane, Lake and Will counties