Listen to Lawrence – Not Funding an SNT/Community Medicaid/Updating Wills

DAVIDOWLAW Uncategorized

Dear clients and friends,

I hope this post finds you and your family healthy and hopeful. We are doing well here (that is from our homes), and pleased that so many of you have reached out to update your estate plans. This is the time to do it, especially now that we can have virtual meetings and virtual witnessing and notarizations. I hope this gives you peace of mind.

The following are three emails we recently received:

FIRST EMAIL:

1. Nearly five years ago, we created an Irrevocable Grantor Trust with Lawrence.. At that time, we created a Special Needs Trust (SNT) for our son….since we never put any assets into that SNT, is it considered null and void?

2. We are ready to apply for Community Medicaid for my husband now that his LTC policy is nearing an end. What do we do and how do we do it?

RESPONSE:
1. An unfunded trust does not die. If the trust is in existence now, it can still be funded. If this trust was created a while ago, however, it may be prudent to review your plan no to see if it still makes sense or can be improved.
2. As for the need for Community Medicaid, now is the time to make an appointment with our Medicaid staff to get the application for Community Medicaid going. This is a process that takes some time and the earlier you apply the better, especially with the new law that imposes a 2 ½ year look-back starting on October 1, 2020.

SECOND EMAIL:

Thank you for the info you are sending through email. We need to update our wills with the correct address of our children that have moved since we originally made them. Can I just send them to you to update?

RESPONSE: If addresses change, it is a good idea to reach out to us to update your file, however a change of address does not mean that you need to update your estate planning documents. The purpose of the address was to identify people at a particular place and time, changes later don’t matter. But changes in the law and changes in your family situation do matter and should be reviewed.

THIRD EMAIL:

This is why you are in business all these years. My mother graduated with your dad and he did her mortgage through your office in Patchogue in 1946. You did her family trust (ironclad). I still have the paperwork. I myself have done a will and special needs trust through your office. Have to do a family trust very soon. It is heartwarming to see the hometown law office still exists in the bustling twenty first century!!

RESPONSE: Thank you! I am very proud of our 107 year history, starting with my grandfather in 1913, then uncle (1948), then father (1952) and then me (1986). It warms my heart to hear how our family has helped so many people over the years. You made my day.

Please pass this information on to your family and friends and continue to keep your questions coming! We look forward to hearing from you.

LISTEN TO LAWRENCE!

BE SAFE!