On the roadmap
Special Needs Trust.
The trust that supports a loved one with disabilities — without costing them the public benefits they depend on.
If you have a child, sibling, or other family member who relies on SSI or Medicaid, leaving them money outright in your will is one of the most painful planning mistakes — because what feels generous becomes destructive. SSI and Medicaid have asset limits around $2,000. An inheritance over that disqualifies them until they spend it down. A special needs trust solves this problem cleanly.
What's inside
The full SNT package.
Third-party SNT structure
Funded by you (the parent or family member) for the benefit of a person with disabilities. Because the assets were never the beneficiary's, SSI and Medicaid don't count them as resources.
Trustee selection guidance
Most SNTs need a co-trustee structure: a family member who knows the beneficiary, paired with a professional trustee or attorney who keeps the rules airtight. We walk you through the choice.
Spendthrift + benefit-preservation language
Trust language that bars distributions counting as income for SSI purposes and protects against creditors. The drafting is precise — wrong language and the trust counts as the beneficiary's asset.
Letter of intent template
A non-binding companion document describing the beneficiary: their preferences, routines, friends, doctors, what makes them happy. The trustee uses it as a roadmap. Updated by you over time.
ABLE-account guidance
ABLE accounts complement SNTs by letting the beneficiary save up to $18k/year without affecting benefits. We explain when to use both, when to use one, and how to coordinate.
Coordination with your will
Your will references the SNT and routes assets into it at death. Beneficiary designations on your retirement accounts and life insurance are updated to name the trust, not the beneficiary directly.
Common questions
- Why can't I just leave the inheritance to my child directly?
- SSI and Medicaid have asset limits around $2,000. An inheritance over that disqualifies your child from benefits until they spend it down. The very thing you tried to do for them ends up costing them the benefits that pay for their care.
- What's the difference between first-party and third-party SNTs?
- Third-party — funded with your money for them. No Medicaid payback at the beneficiary's death. First-party — funded with the beneficiary's own money (e.g., a settlement). Required Medicaid payback at death. Trustwise's product covers third-party SNTs; first-party SNTs are typically set up at the time of a settlement and need a specialist.
- Can the trust pay for anything?
- Almost anything that isn't food, shelter, or cash to the beneficiary. Education, recreation, therapy not covered by Medicaid, vacations, computers, professional services. The trustee can't write a check directly to the beneficiary or the SSI may reduce.
- Why isn't this in v1?
- Because the wrong language can disqualify the very person it's meant to protect. We're working with attorneys in each state to build SNT templates that meet the state's specific rules, and we're not shipping until they're solid. A bad SNT is worse than no SNT.
Tell us you want this.
We'll email you when SNTs are ready in your state — typically a few months after wills, healthcare directives, and POAs ship.
Start with the will today.
A well-drafted will routes the inheritance into the SNT once it ships. The will is the foundation; the SNT is the layer that solves your specific case.