This form is a trust used to provide supplemental support for a disabled beneficiary without loss of government benefits. It may be revocable or irrevocable, as the funds are contributed by a third party, and not the beneficiary. The Omnibus Budget Reconciliation Act of 1993 established the supplemental needs trusts.
Tennessee Supplemental Needs Trust for Third Party — Disabled Beneficiary is an invaluable legal instrument that assists disabled individuals in Tennessee to secure their financial future while protecting their eligibility for government assistance programs such as Medicaid and Supplemental Security Income (SSI). This type of trust is specifically designed to provide supplemental support to disabled beneficiaries without jeopardizing their eligibility for essential federal benefits. The Tennessee Supplemental Needs Trust can be categorized into two main types: the first-party trust and the third-party trust. 1. First-Party Trust: A first-party trust, also known as a self-settled trust, is established using the disabled beneficiary's own assets. It is typically funded with a personal injury settlement, inheritance, or other forms of personal wealth acquired by the disabled individual. This type of trust enables the beneficiary to retain eligibility for government benefits while still utilizing their own assets to supplement their needs. 2. Third-Party Trust: On the other hand, a third-party trust is established by someone other than the beneficiary, usually a family member, to support the disabled person. Unlike the first-party trust, the third-party trust is funded with assets owned by the third party (e.g., a parent, grandparent, or sibling) and not those owned by the disabled individual themselves. This trust allows family members or loved ones to leave their assets to the disabled beneficiary without affecting their eligibility for public benefits. The primary purpose of both types of Tennessee Supplemental Needs Trusts is to enhance the quality of life for disabled individuals by providing them with additional financial resources to cover various expenses such as education, medical care, housing, transport, personal care attendants, and other needs beyond what government programs offer. By utilizing a Tennessee Supplemental Needs Trust for Third Party — Disabled Beneficiary, families can establish a safety net to ensure the disabled individual's continuing care and support without jeopardizing their eligibility for crucial government benefits. This trust helps bridge the gap between basic public assistance and the enhanced quality of life disabled individuals deserve, providing peace of mind for both the beneficiary and their loved ones.Tennessee Supplemental Needs Trust for Third Party — Disabled Beneficiary is an invaluable legal instrument that assists disabled individuals in Tennessee to secure their financial future while protecting their eligibility for government assistance programs such as Medicaid and Supplemental Security Income (SSI). This type of trust is specifically designed to provide supplemental support to disabled beneficiaries without jeopardizing their eligibility for essential federal benefits. The Tennessee Supplemental Needs Trust can be categorized into two main types: the first-party trust and the third-party trust. 1. First-Party Trust: A first-party trust, also known as a self-settled trust, is established using the disabled beneficiary's own assets. It is typically funded with a personal injury settlement, inheritance, or other forms of personal wealth acquired by the disabled individual. This type of trust enables the beneficiary to retain eligibility for government benefits while still utilizing their own assets to supplement their needs. 2. Third-Party Trust: On the other hand, a third-party trust is established by someone other than the beneficiary, usually a family member, to support the disabled person. Unlike the first-party trust, the third-party trust is funded with assets owned by the third party (e.g., a parent, grandparent, or sibling) and not those owned by the disabled individual themselves. This trust allows family members or loved ones to leave their assets to the disabled beneficiary without affecting their eligibility for public benefits. The primary purpose of both types of Tennessee Supplemental Needs Trusts is to enhance the quality of life for disabled individuals by providing them with additional financial resources to cover various expenses such as education, medical care, housing, transport, personal care attendants, and other needs beyond what government programs offer. By utilizing a Tennessee Supplemental Needs Trust for Third Party — Disabled Beneficiary, families can establish a safety net to ensure the disabled individual's continuing care and support without jeopardizing their eligibility for crucial government benefits. This trust helps bridge the gap between basic public assistance and the enhanced quality of life disabled individuals deserve, providing peace of mind for both the beneficiary and their loved ones.
