What is a Special Needs Trust?

A Special Needs Trust, or a “D4A” Trust, is a trust funded with the disabled beneficiary’s own assets. The trust may be nominally funded and it must be established before the beneficiary reaches the age of 65. A major benefit of these trusts is that, aside from the management of assets for the beneficiary, if the beneficiary receives any gifts, bequests, or settlement proceeds from a lawsuit, the funds can be placed into the trust without disqualifying the beneficiary from receiving public benefits.