Gifting investments, such as stocks, savings accounts, bonds, and mutual funds, is a smart way to fund a Third Party Special Needs Trust. These types of assets can grow over time and help the trust keep up with inflation , which is important for meeting the long-term needs of the person with special needs. Despite their protective nature, a Special Needs Trust (SNT) is subject to complex tax rules that can erode trust assets if not properly managed. Minimizing income taxation

Families planning for a beneficiary with disabilities often confront a difficult balance: providing long-term financial support without jeopardizing eligibility for public benefits, such as Supplemental Security Income (SSI) and Medicaid. A Special Needs Trust (SNT) is a legal mechanism that holds assets for a disabled beneficiary, while also preserving access to to public benefits. An increasingly common strategy is using  retirement accounts—primarily IRAs and 401(k) plans—

A Special Needs Trust (SNT) is one of the strongest tools to protect a child’s eligibility for benefits, such as SSI and Medicaid, while still providing long-term financial support. But many families, especially young families, feel stuck – they want the stability an SNT offers, but haven’t built up enough assets to fund it.