Special Needs Trust Attorneys Serving Long Island Families
Protecting Benefits While Preserving a Future
A special needs trust is one of the most consequential legal tools available to families caring for a child or adult with a disability. When structured correctly, it allows your loved one to receive an inheritance, a legal settlement, or family gifts without triggering the asset limits that govern Medicaid, SSI, and other government benefit programs. When structured incorrectly — or left out of a family's plan entirely — those same funds can disqualify a person from the very programs they depend on most.
At Jason R. Breit, Esq. P.C., we work with families across Long Island to build special needs trusts that hold up when it matters. That means drafting documents that meet federal and New York State requirements, coordinating the trust with the rest of your family's estate plan, and making sure the people you name as trustees understand their role and responsibilities. We serve families throughout Nassau and Suffolk counties, including those in Garden City, Huntington, and Massapequa.
First-Party vs. Third-Party Trusts: Why the Distinction Matters
Not all special needs trusts are the same, and the type your family needs depends on whose money is going into the trust.
A third-party special needs trust is funded with assets belonging to someone other than the beneficiary — typically parents, grandparents, or other family members. This is the most common type used in estate planning, and it carries no Medicaid payback requirement. When the beneficiary passes away, remaining trust assets can pass to other family members or heirs as directed in the trust document.
A first-party special needs trust, sometimes called a self-settled trust, is funded with assets that already belong to the person with a disability — most often the proceeds of a personal injury settlement or an inheritance received directly. Under federal law, this type of trust must include a Medicaid payback provision, meaning the state may recover from remaining assets after the beneficiary's death to the extent Medicaid was paid on their behalf. First-party trusts must be established before the beneficiary turns 65.
Choosing the wrong type — or failing to coordinate the trust with your broader estate plan — can have serious consequences. We help families understand which structure applies to their situation and draft accordingly.
A special needs trust holds assets on behalf of a person with a disability without counting those assets against their eligibility for government benefits. The trust, not the individual, owns the funds — and distributions are made by the trustee for purposes that supplement, rather than replace, what benefits programs already cover.
What a properly drafted special needs trust can fund includes:
- Education, job training, and vocational programs
- Recreational activities, travel, and personal enrichment
- Medical and dental care not covered by Medicaid
- Assistive technology, adaptive equipment, and home modifications
- Personal care attendants and companion services
- Clothing, household goods, and personal items
- Entertainment, hobbies, and quality-of-life expenses
The goal is not simply to park money somewhere safe. The goal is to give your loved one access to resources that genuinely improve their life — without the trust itself becoming a problem.
What a Special Needs Trust Actually Does
How We Help Long Island Families Build a Complete Plan
Working with a special needs trust attorney Long Island families can rely on means more than producing a document. It means thinking through your family's full picture: who will serve as trustee, how the trust fits with your will and beneficiary designations, what happens if the primary trustee cannot serve, and how the trust should be funded over time.
Our process includes:
- A thorough review of your family's current legal and financial situation
- Identification of the correct trust type and structure for your circumstances
- Coordination with any existing estate planning documents
- Guidance on trustee selection and successor trustee planning
- Clear explanation of trustee duties and distribution standards
- Letter of intent support to help future trustees understand your loved one's needs, preferences, and daily life
We also include LIFT planning — a review of lifestyle, insurance, financial, and tax considerations — as part of every estate planning engagement, which means special needs trust clients benefit from a broader lens than most law firms apply to this work. And because we build lifelong client relationships rather than one-time transactions, we offer a free plan review at least every three years so your documents stay current as your family's circumstances change.
Every plan we build starts with your family's goals, then draws on whichever services fit your situation. Learn more about Estate Planning, Probate Administration, Kids Protection Planning, Asset Protection, Elder Law, Special Needs Planning, and LIFT Planning.
What Clients Say
Serving Long Island and New York City
Jason R. Breit, Esq. P.C. provides fixed-fee estate planning for individuals and families throughout Long Island and New York City, including:
- Melville, NY
- Garden City, NY
- Huntington, NY
- Massapequa, NY
- Long Island, including Nassau and Suffolk Counties
- New York City
Prefer to meet remotely? Jason offers
estate planning consultations by Zoom, providing the same personalized guidance whether you’re on Long Island, in New York City, or meeting at his Melville office.
Frequently Asked Questions About Special Needs Trusts
What is a special needs trust and who needs one?
A special needs trust is a legal arrangement that holds assets for a person with a disability without affecting their eligibility for government benefits like Medicaid or SSI. Any family that expects to leave money or property to a loved one with a disability — whether a child, sibling, or other dependent — should consider having one in place before any transfer occurs.A special needs trust is a legal arrangement that holds assets for a person with a disability without affecting their eligibility for government benefits like Medicaid or SSI. Any family that expects to leave money or property to a loved one with a disability — whether a child, sibling, or other dependent — should consider having one in place before any transfer occurs.Will a special needs trust disqualify my loved one from Medicaid or SSI?
A properly drafted special needs trust will not disqualify your loved one from Medicaid or SSI. Assets held inside the trust are not counted as the beneficiary's personal assets for eligibility purposes, provided the trust meets federal and state requirements. This is precisely why the drafting must be done carefully and by an attorney familiar with both public benefits law and estate planning.A properly drafted special needs trust will not disqualify your loved one from Medicaid or SSI. Assets held inside the trust are not counted as the beneficiary's personal assets for eligibility purposes, provided the trust meets federal and state requirements. This is precisely why the drafting must be done carefully and by an attorney familiar with both public benefits law and estate planning.Can I name my special needs child as a beneficiary in my will instead of creating a trust?
Leaving assets directly to a person with a disability through a will — without a trust — can disqualify them from Medicaid, SSI, and other benefit programs the moment they receive the inheritance. A special needs trust, by contrast, allows the funds to be used for their benefit without triggering those asset limits. Updating your will to direct assets into a special needs trust, rather than to your loved one outright, is one of the most important steps a family in this situation can take.Leaving assets directly to a person with a disability through a will — without a trust — can disqualify them from Medicaid, SSI, and other benefit programs the moment they receive the inheritance. A special needs trust, by contrast, allows the funds to be used for their benefit without triggering those asset limits. Updating your will to direct assets into a special needs trust, rather than to your loved one outright, is one of the most important steps a family in this situation can take.Who should serve as trustee of a special needs trust?
The trustee is responsible for managing the trust assets, making distribution decisions, keeping records, and filing any required tax returns. This is a meaningful responsibility, and the right choice depends on your family's situation. Some families name a trusted individual — a sibling, close relative, or family friend — while others use a professional or corporate trustee for continuity and neutrality. We help families think through this decision and plan for successor trustees so there is always someone ready to step in.The trustee is responsible for managing the trust assets, making distribution decisions, keeping records, and filing any required tax returns. This is a meaningful responsibility, and the right choice depends on your family's situation. Some families name a trusted individual — a sibling, close relative, or family friend — while others use a professional or corporate trustee for continuity and neutrality. We help families think through this decision and plan for successor trustees so there is always someone ready to step in.How does a special needs trust interact with the rest of our estate plan?
A special needs trust must be coordinated with your will, any revocable living trust, and your beneficiary designations on retirement accounts and life insurance policies. If your will leaves assets directly to your loved one, or if a retirement account names them as a direct beneficiary, the trust may be bypassed entirely — with serious consequences. We review your complete estate plan to make sure every document and designation works together as intended.A special needs trust must be coordinated with your will, any revocable living trust, and your beneficiary designations on retirement accounts and life insurance policies. If your will leaves assets directly to your loved one, or if a retirement account names them as a direct beneficiary, the trust may be bypassed entirely — with serious consequences. We review your complete estate plan to make sure every document and designation works together as intended.
Long Island Families Deserve a Plan That Actually Works
A special needs trust is only as good as the planning behind it. Documents drafted in isolation — without attention to your family's full picture — leave gaps that can cost your loved one dearly at the worst possible moment. We build plans designed to hold up legally, financially, and practically for the people who depend on them most.
Our team serves families throughout Long Island, including Nassau and Suffolk counties, with a particular focus on Garden City, Huntington, and Massapequa. We also work with families across the greater New York City metro area, including Queens, Brooklyn, and the Bronx, where the intersection of New York Medicaid rules, SSI eligibility, and estate planning demands careful, experienced guidance.
If you have a family member with a disability and you have not yet put a special needs trust in place — or if you have documents that have not been reviewed in years — we welcome the conversation. Reach out today to schedule a time to talk with our team.