A Supplemental Needs Trust (SNT), sometimes referred to as a Special Needs Trust, is created to provide financially for a beneficiary who has a disability, chronic illness, or injury and relies on government assistance.
The primary purpose is most often to preserve current and future eligibility for needs-based government benefits such as, but not limited to, Medicaid, Social Security Income, and subsidized housing. When properly administered, a SNT will allow the beneficiary to receive funds from the trust while continuing to receive government benefits.
Unlike with some other types of trusts, beneficiaries with SNTs cannot inherit money directly. Doing so could put their benefits at risk.
