Greensboro Special Needs Trust Lawyer

Helping Greensboro Families Since 2000

Planning for the future of a loved one with disabilities can feel overwhelming. At Law Offices of Cheryl David, we are committed to helping families in Greensboro, NC, protect their loved ones with special needs through careful legal planning. One of the most powerful tools for this purpose is the special needs trust (SNT). If you're seeking guidance, a knowledgeable Greensboro special needs trust lawyer can help ensure your plan is secure, compliant, and truly protective of your family member's future.

Contact us today at (336) 717-0375 to schedule a consultation and take the first step towards securing a stable and supported future.

What is a Special Needs Trust?

A special needs trust is a legal arrangement that allows a person with disabilities to receive financial support without losing eligibility for vital public benefits such as Supplemental Security Income (SSI) or Medicaid. These programs impose strict asset limits, and receiving money directly — even from a well-intentioned inheritance or gift — can cause disqualification. A special needs trust prevents this from happening by placing assets under the control of a trustee who manages them for the beneficiary’s benefit.

The trust pays for supplemental expenses not covered by government benefits — such as certain medical care, therapies, education, housing, transportation, and recreation — all without endangering eligibility for public aid.

Working with a skilled Greensboro special needs trust attorney ensures your trust is structured correctly and remains compliant with federal and state laws.

Common Types of Special Needs Trusts

At Law Offices of Cheryl David, we help families choose the best type of SNT for their situation. There are three main types of special needs trusts:

First-Party Special Needs Trust

Also known as a self-settled trust, this type is funded with the disabled person’s own assets. This might include a personal injury settlement, inheritance, or back pay from Social Security. A key feature of first-party SNTs is that they are Medicaid payback trusts — meaning that after the beneficiary passes away, any funds remaining in the trust may be used to reimburse Medicaid for services rendered.

These trusts must meet strict requirements under 42 U.S.C. § 1396p(d)(4)(A) and are typically created before the beneficiary turns 65.

Third-Party Special Needs Trust

This type of trust is created and funded by someone other than the beneficiary — usually a parent or grandparent — as part of their estate plan. It can be set up during the benefactor’s lifetime or in a will to take effect upon their death.

Unlike first-party trusts, third-party SNTs do not require Medicaid reimbursement, making them especially useful for long-term family financial planning.

Pooled Special Needs Trust

These trusts are managed by nonprofit organizations and pool the resources of multiple beneficiaries for investment purposes, while still maintaining separate accounts for each individual. A pooled trust can be a good option for those who lack a suitable trustee or have more modest assets. In most cases, any remaining funds after the beneficiary’s death are partially retained by the managing nonprofit.

Benefits of a Special Needs Trust

• Preserves public benefits – Allows access to Medicaid, SSI, and other programs.
• Flexible use of funds – Can pay for therapies, education, entertainment, and other quality-of-life expenses.
• Professional management – Trustees can be family members or professionals with fiduciary duties.
• Peace of mind – Ensures loved ones with disabilities are supported after caregivers are gone.
• Estate planning tool – Third-party SNTs can be funded through wills, life insurance, and living trusts.

FAQs About Special Needs Trusts in Greensboro, NC

Do I need a lawyer to set up a special needs trust in Greensboro?

Yes. Special needs trusts must comply with both federal and North Carolina-specific laws. A knowledgeable Greensboro special needs trust lawyer can help draft a compliant, effective trust and guide you in selecting a suitable trustee and funding plan.

Can I set up a trust for my child now, or do I have to wait?

You can set up a third-party SNT now, even if your child is a minor. In fact, early planning is encouraged. You can fund it later through your estate or designate life insurance proceeds to pour into the trust upon your passing.

Who can serve as a trustee?

A trustee can be a family member, friend, professional trustee, or nonprofit organization (especially for pooled trusts). It’s important to choose someone who is financially responsible and familiar with public benefit regulations — or to work with a professional trustee who understands these complexities.

Will the government take the trust assets when my child passes away?

Only first-party special needs trusts are subject to Medicaid payback provisions. Third-party trusts do not require reimbursement to the state. Instead, remaining assets can pass to other family members or charities, depending on your wishes.

How do I fund a special needs trust?

You can fund the trust through gifts, inheritances, life insurance, property transfers, or court settlements. A lawyer can help you ensure the trust is properly funded and structured to meet your long-term goals.

Is a special needs trust the same as a guardianship?

No. A special needs trust is a financial planning tool, while guardianship involves legal authority to make decisions on behalf of an individual. Some families may need both, depending on their situation.

Why Choose Law Offices of Cheryl David as Your Greensboro Special Needs Trust Lawyer?

At Law Offices of Cheryl David, we offer compassionate, customized legal solutions for families supporting a loved one with special needs. We understand the intricacies of government benefits and the urgency of protecting vulnerable individuals. When you work with our firm, you can expect:

• Personalized attention tailored to your family’s needs
• Clear explanations of complex legal structures
• Collaborative planning that empowers you for the future
• Experience in estate planning, trusts, and public benefits law

Whether you're planning for your child’s lifelong support or receiving an unexpected settlement, our team is ready to help you make the best possible decisions with confidence and care.

Protect your loved one’s future today — call (336) 717-0375 or contact us online to schedule a consultation with a knowledgeable Greensboro special needs trust lawyer.