Not everyone realizes how many complicated legal challenges can arise when doing estate planning and navigating disability benefits. The Social Security Administration (SSA) and some private disability insurance companies may have varying rules for disability benefits continuing eligibility in relation to estate planning. Figuring out these challenges and possible solutions sooner may help prevent potential problems later. You can also consult with a Philadelphia disability lawyer for guidance.

Challenges of Disability-Inclusive Estate Planning

Several challenges of disability-inclusive estate planning can come up during this process. For one, the process of estate planning and maintaining existing disability benefits through the SSA or a private disability insurance company can be a lot at once. Various steps are involved with estate planning and continuing eligibility for disability benefits.

Planning an estate ahead of time is important for avoiding the challenge of losing disability benefits. Loved ones in an estate plan may lose government benefits like disability benefits depending on various aspects when going through the process of estate planning. Checking what will affect disability benefits is crucial for retaining disability benefits for loved ones.

For example, Supplemental Security Income (SSI) disability benefits and Medicaid can be taken away if someone with a disability acquires too much money. This can be money earned from income or financial assets, such as through an estate plan. Keeping financial assets related to estate planning under the SSI financial threshold becomes important for keeping SSI benefits. 

Solutions for Disability-Inclusive Estate Planning

Possible disability estate planning solutions revolve around a special needs trust. The most common dilemma faced by people with estate planning and disability benefits is losing disability benefits if the estate’s financial assets exceed a certain amount. This is especially true if your loved one who struggles with a disability is left with a long-term source of income through the estate plan.

A special needs or supplemental needs trust may provide a way around this dilemma. What a special needs trust can do is keep the estate assets out of their name. Consider contacting a Philadelphia disability lawyer who can help you navigate this complex legal process.

Alternative solutions for disability estate planning may require planning the estate carefully to stay under the disability benefits threshold. If your loved one is receiving SSI, for example, you might be able to find out what the monthly income threshold is before benefits are revoked. Then there could be a way to calculate the estate plan to stay under this monthly income limit.

Feel free to consult with an experienced disability lawyer to see if there are any other solutions. A lawyer can guide you in exploring various legal options and what steps each option may involve.

Contact Edelstein & Nelson for Legal Help

Estate planning while managing disability benefits can be confusing. Reach out to a Philadelphia delayed insurance benefits attorney who can work with you to navigate the complexities of estate planning and disability benefits. Start by contacting Edelstein & Nelson by dialing (800) 300-0909 for a consultation today about your legal options. Our dedicated team of lawyers might be able to help you find a solution.