Boston Special Needs Planning Lawyer
Special needs planning can be a complex task, as individuals are tasked with creating financial and legal strategies to ensure a loved one’s needs are met after they pass away.
At Jillise McDonough Estate Planning Law Firm, our special needs planning lawyers offer compassionate guidance to help you create a thorough plan that protects your loved one’s well-being far into the future.
Special Needs Planning Overview for a Loved One’s Future
Special needs planning services focus on managing assets and ensuring appropriate long-term care for people with disabilities.
A special needs planning lawyer in Boston can help you create special needs trusts, ABLE accounts for tax purposes, letters of intent, and numerous other services available under Massachusetts law.
There are many options for special needs planning. Understanding what each one offers can help you decide on the best ways to care for your loved one.
Special Needs Trusts
Special needs trusts are arrangements to hold assets on behalf of a disabled loved one. You can choose between first-party special needs trusts, which are funded by the beneficiary’s own assets, or third-party special needs trusts, which are created from the assets of others on behalf of the beneficiary.
Regardless of the type of special needs trust you choose, the funds must be used to supplement your loved one’s needs. They should cover expenses that go beyond what government benefits already provide. For example, special needs trust funds can be used for entertainment, specialized equipment, medical and dental expenses not covered by insurance, travel, education, and other quality-of-life enhancements.
However, there are important restrictions to be aware of. Because programs like SSI are designed to cover food and basic shelter costs, special needs trust funds generally cannot be used to pay for those expenses. If the trust funds are used for these purposes, it could be grounds for your loved one’s government benefits to be reduced. Shelter-related payments in particular, such as rent or utilities, require careful handling and should be discussed with an attorney before a trustee makes those distributions.
But when a special needs trust is properly structured and administered, your loved one can continue receiving their government benefits while also accessing trust funds for the additional expenses that improve their daily life.
Achieving a Better Life Experience (ABLE) Accounts
ABLE accounts are savings accounts for people with disabilities that offer tax advantages.
Contributions to the account are made after taxes, but account growth and withdrawals for qualified expenses are tax-free. To be eligible to open an ABLE account, the person must be receiving SSI or SSDI benefits or must have a certified diagnosis that prevents them from earning a living. With new rules in place as of 2026, the account holder’s disability must have occurred before age 46.
The funds in ABLE accounts can be used for education, housing, training, transportation, health care, and legal fees.
Letter of Intent (LOI)
The LOI is a non-legal but essential document often created by parents or guardians of people with disabilities. It is meant to serve as a guideline for future trustees, guardians, or carers. An LOI is similar to an instruction manual, with the goal of providing continuity of care for someone when their primary caregivers are unavailable.
The LOI should include information about the person’s daily schedule and medical history, as well as their educational or vocational history. It should offer insight into social preferences and behavior management techniques. If there are special needs trusts or other financial arrangements made on the person’s behalf, this information should be covered, too.
Although an LOI is not a legally binding document, it’s an important document that can help your loved one significantly in the future, especially if they can’t advocate on their own behalf.
Guardianship/Conservatorship
For people who cannot make decisions for themselves, it may be necessary to create a guardianship or conservatorship arrangement, which appoints a trusted individual to make these choices on their behalf and in their best interests. Guardians manage personal care, medical decisions, and daily activities, while conservators manage a person’s income, assets, debts, and investments.
A guardian or conservator is typically established through the court system. However, it may be possible to avoid going to court if your loved one signed a power of attorney document before they became incapacitated.
There can be an overlap between a guardianship and conservatorship, so one person fills both roles in some instances. When two people handle these tasks, it requires significant cooperation and a clear understanding of what each person’s role is.
Government Benefits Coordination and Preservation
Our special needs estate planning attorneys know how vital it is for disabled individuals to maintain their approved government benefits. There are many Massachusetts-specific programs, including MassHealth and the Autism Waiver Program, with very specific eligibility requirements that must be met for coverage.
To be eligible to receive MassHealth benefits, the beneficiary must live in Massachusetts. They must be citizens or eligible immigrants. They must also fall under the state’s established income threshold.
The number of people residing in the household will affect the income threshold. For children and most adults, there are no asset limits, but there are for those age 65 and older and for those who need long-term care.
The Autism Waiver Program allows children with confirmed diagnoses of autism spectrum disorders to receive in-home services, community integration assistance, and respite care. The child has to be under a certain age, and the family must fall within specific income thresholds.
With these parameters in mind, your attorney should help you to account for your loved one’s eligibility for various programs in the special needs planning process.
Common Special Needs Planning Mistakes That Impact Government Benefits
Both federal and state laws must be carefully considered when planning for a family member’s future. Some of the most common mistakes individuals make when it comes to special needs planning and government benefits include:
- Leaving an Inheritance Directly to the Disabled Person: An inheritance counts toward their total assets, increasing their income, and potentially disqualifying them from government benefits. Instead, it’s possible to add the inheritance to a trust.
- Failing to Use Proper Legal Counsel: It’s never a good idea to rely on trust templates or attempt to draft these documents on your own. Rectifying errors can take a long time and can be costly, so avoid the issue completely by relying on experienced special needs planning lawyers.
- Missing Out on Benefits of ABLE Accounts: When using a regular savings account, eventually, the savings can be enough to disqualify an individual from receiving the benefits they depend on. With an ABLE account, your loved one can still save up without the risk of losing their benefits.
It’s also essential to ensure that trust distributions are handled correctly. If the trustee makes direct cash payments or payments for food and shelter, the beneficiary’s SSI benefits could be cut or reduced.
Having an attorney assisting you throughout the special needs planning process will streamline decisions and help you ensure that all of your documents are written with legally binding language.
Estate Planning Integration for Special Needs
Boston estate planning for special needs should be integrated into an estate plan. Typically, this is done by establishing a special needs trust. This trust holds assets to cover therapies, medical procedures, basic needs, and quality-of-life enhancements for the beneficiary. These assets will not count toward the strict income and asset limits set forth by government programs.
First-party SNTs are the most common form of special needs trust. They are funded with the beneficiary’s own money (such as that acquired through a legal settlement). First-party special needs trusts require the beneficiary to be under the age of 65.
They must also contain a Medicaid payback provision. After the beneficiary’s death, the state must be reimbursed for Medicaid benefits paid on the beneficiary’s behalf.
Third-party special needs trusts are funded by others, such as the beneficiary’s parents. Third-party special needs trusts don’t have a Medicaid payback provision, so the assets can be passed directly to the next beneficiary.
If you’re not sure which option is right for your family, our Boston SNT planning lawyers can help.
Planning for Life Transitions and Long-Term Support
Support for a disabled one extends well beyond financial security. Our Boston supplemental needs planning lawyers can also assist in preparing your beneficiary for life transitions, such as pursuing vocational training and addressing housing issues. These steps can help to ensure the beneficiary’s quality of life remains the same, even after you’ve passed away.
Our special needs planning lawyers can also offer guidance on when it might be appropriate to consider long-term care for aging family members.
Special needs planning is not a one-and-done task. As your needs or the needs of your loved one change, a skilled attorney can help you to make adjustments to your plan on a regular basis.
Choosing a Boston Special Needs Planning Lawyer
When searching for a Boston special needs planning attorney, look for someone with experience in elder law, special needs trust administration, eligibility for public assistance benefits, and other vital aspects of special needs planning. You can also check for membership in societies such as the Academy of Special Needs Planners or the Special Needs Alliance, which demonstrate a commitment to the field.
The right special-needs transition-planning lawyer will have a compassionate approach and plenty of resources available. They should be able to explain even the most complex legal processes clearly, ensuring you understand the best options available for your loved ones.
Read reviews and testimonials from previous clients and take time to meet with prospective attorneys to determine which one might be the best fit for your specific situation.
Protect Your Loved One’s Future by Contacting Jillise McDonough Law Firm
Knowing that a loved one with disabilities will be cared for when you’re no longer there can provide much-needed peace of mind. With help from our special needs trust and estate lawyers, you can carefully select the best strategies for your loved one without impacting their eligibility for government benefits.
Our special needs planning law firm in Boston understands just how stressful these arrangements can be. At Jillise McDonough Estate Planning Law Firm, we will work tirelessly to find the solutions that will protect your loved one’s future. Contact our team to get started today.
Frequently Asked Questions
What Is Special Needs Planning in Massachusetts?
Special needs planning is the task of creating strategies to secure a disabled loved one’s future needs and enhance their quality of life, all while ensuring they remain eligible for public benefits.
When Should Families Start Special Needs Planning?
Our Boston disability estate planning attorneys recommend beginning the planning process as soon as possible after realizing a loved one has a disability. Your plans can be updated and changed over time, but by starting early, your loved one can be protected when the unexpected happens.
Does a Boston Special Needs Planning Lawyer Help With MassHealth Rules?
Yes, our lawyers can help you understand MassHealth rules to preserve eligibility for your loved one.
How Does Special Needs Planning Help Families Long-Term?
Special needs planning offers peace of mind. Planning makes it easier for families to look ahead to the future without anxiety about what could happen to their loved one when their caregivers or financial providers are no longer there.
Why Is Special Needs Planning Important in Massachusetts?
Special needs planning helps to preserve access to public assistance benefits without forcing beneficiaries to spend down their assets to maintain eligibility. Planning can also include creating a letter of intent, which helps future trustees and caregivers maintain continuity of care after a primary caregiver is no longer available to provide care.
Can the Beneficiary Control Their Own Trust?
No, the beneficiary should not control their own trust. If they do, they could lose eligibility for government programs.
How Often Should a Special Needs Plan Be Reviewed?
Special needs plans should be reviewed at least once every year. If there are major health updates or changes in assets, it should be reviewed again.
Can Settlements From Lawsuits Be Used in Special Needs Planning?
Yes, settlements can be used to create special needs trusts.
What Are the Consequences of Not Doing Special Needs Planning in Boston?
Failing to perform special needs planning can mean a loved one is left on their own and unable to express their needs and preferences if something were to happen to you.
Can Special Needs Planning Include Supplemental Income Strategies?
Yes, it can and should include supplemental income strategies to give your loved one every available source of funding for their long-term future.
