Part Seven: What is new in the Social Security Administration’s Approach to Special Needs Trusts?

   Special Needs Trust Termination Provisions under the POMS. The Social Security Administration has always had rules regarding disbursement of funds from a self-settled special needs trust upon the death of a beneficiary.  They have recently added additional provisions regarding the early termination of a self-settled special needs trust during the lifetime of the beneficiary. [...]

By | June 2nd, 2013|Social Security|0 Comments

Part Four: What is new in the Social Security Administration’s Approach to Special Needs Trusts?

Revisiting the "Sole Benefit Rule." Under Social Security Administration rules, a self-settled special needs trust must be established "for the sole benefit of" the individual.  A trust is considered established for the sole benefit of an individual if the trust benefits no one other than beneficiary at the time the trust is established or at [...]

By | May 14th, 2013|Social Security|0 Comments

Part Three: What’s new in the Social Security Administration’s Approach to Special Needs Trusts?

Third Party Vendor Payments on Behalf of the Disabled Individual. When a third party, such as a family member, makes a payment directly to a vendor who provided goods or services to the disabled individual, this is known as a third party vendor payment (TPVP). POMS SI 00835.360A. The vendor might be the seller of [...]

By | May 8th, 2013|Social Security|0 Comments

Part Two: What’s New in the Social Security Administration’s Approach to Special Needs Trusts?

Part Two Treatment of Disbursements from Trusts. Although trust principal may not be considered an available resource to the beneficiary, disbursements from the trust may be considered income to the SSI recipient (trust beneficiary), depending on the nature of the disbursements. The following rules apply to both self-settled and third party Special Needs Trusts. POMS SI [...]

By | February 4th, 2013|Social Security|0 Comments