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<p class="MsoNormal">Greetings David:<br>
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<o:p></o:p></p>
<p class="MsoNormal">As long as the beneficiary has capacity, they may create the (d)(4)(A) themselves. This was a change to the code about three years ago.<o:p></o:p></p>
<p class="MsoNormal"><o:p> </o:p></p>
<p class="MsoNormal">A disclaimer would trigger a period of ineligibility for the beneficiary, so do not go that route. Regarding a TEDRA agreement, if the beneficiary settles their own trust, then there is no need for an agreement.<o:p></o:p></p>
<p class="MsoNormal"><o:p> </o:p></p>
<p class="MsoNormal">The beneficiary may also want to consider a (d)(4)(C) trust (pooled SNT) for cost savings.<o:p></o:p></p>
<p class="MsoNormal"><o:p> </o:p></p>
<p class="MsoNormal">Navigating (d)(4)(A) trusts is pretty nuanced (we’re cleaning these up all the time to save clients’ benefits), so any attorney that isn’t versed in this area may want to consider referring out or seeking some mentoring.<o:p></o:p></p>
<p class="MsoNormal"><o:p> </o:p></p>
<p class="MsoNormal">Best wishes,<o:p></o:p></p>
<p class="MsoNormal">James<o:p></o:p></p>
<p class="MsoNormal"><o:p> </o:p></p>
<p class="MsoNormal" style="background:white"><span style="color:black">James W. Spencer</span><o:p></o:p></p>
<p class="MsoNormal">Attorney at Law<o:p></o:p></p>
<p class="MsoNormal">Brothers & Henderson, P.S.<o:p></o:p></p>
<p class="MsoNormal" style="background:white"><span style="color:black">2722 Eastlake Avenue East, Suite 200</span><o:p></o:p></p>
<p class="MsoNormal" style="background:white"><span style="color:black">Seattle, Washington 98102</span><o:p></o:p></p>
<p class="MsoNormal" style="background:white"><span style="color:black">Phone: (206) 324-4300 x106</span><o:p></o:p></p>
<p class="MsoNormal" style="background:white"><span style="color:black">Fax: (206) 324-3106</span><o:p></o:p></p>
<p class="MsoNormal" style="background:white"><span style="color:black">e-mail: <a href="mailto:jamess@brothershenderson.com">
<span style="color:blue">jamess@brothershenderson.com</span></a></span><o:p></o:p></p>
<p class="MsoNormal" style="background:white"><span style="color:black"><a href="http://www.brothershenderson.com/"><span style="color:blue">www.brothershenderson.com</span></a></span><o:p></o:p></p>
<p class="MsoNormal">pronouns: he/him/his<o:p></o:p></p>
<p class="MsoNormal"><o:p> </o:p></p>
<p class="MsoNormal"><span style="color:black">The information transmitted in this e-mail message and attachments is attorney-client information, is privileged or confidential material and is intended only for the use of the individual or entity named above.
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<p class="MsoNormal"><o:p> </o:p></p>
<p class="MsoNormal"><b>From:</b> wsbapt-bounces@lists.wsbarppt.com <wsbapt-bounces@lists.wsbarppt.com>
<b>On Behalf Of </b>David Faber<br>
<b>Sent:</b> Thursday, October 31, 2019 12:47 PM<br>
<b>To:</b> WSBA Probate & Trust Listserv <wsbapt@lists.wsbarppt.com><br>
<b>Subject:</b> [WSBAPT] (d)(4)(a) Supplemental Needs Trust - Establishment Issue<o:p></o:p></p>
<p class="MsoNormal"><o:p> </o:p></p>
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<p class="MsoNormal">List:<o:p></o:p></p>
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<p class="MsoNormal"><o:p> </o:p></p>
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<p class="MsoNormal">I have been asked to prepare a (d)(4)(a) self-settled supplemental needs trust for a client who is set to inherit about $80k from a deceased parent who died intestate. The parent failed to create the proper trust structure, has no surviving
parent (or grandparent), is not subject to a guardianship, and is under the age of 65. Having a court-directed (d)(4)(a) trust appears to be a cumbersome and costly proposition, but that's the only mechanism that I have been able to find to fund the trust.
The PC's only public benefit that they are trying to retain is SSDI.<o:p></o:p></p>
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<p class="MsoNormal"><o:p> </o:p></p>
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<p class="MsoNormal">Is it accurate that only a parent, grandparent, guardian, or court can establish a (d)(4)(a) trust? A child would not be sufficient? <o:p></o:p></p>
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<p class="MsoNormal"><o:p> </o:p></p>
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<p class="MsoNormal">Alternatively, has anyone ever used a disclaimer to a child and then have the child establish a 3rd-party SNT?<o:p></o:p></p>
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<p class="MsoNormal"><o:p> </o:p></p>
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<p class="MsoNormal">Lastly, has anyone ever made a TEDRA Agreement to authorize the distribution of assets to an SNT? The deceased parent evidenced intentions toward an SNT in writing but the Will failed because it did not adhere to all of the formalities
at law for a valid Will.<o:p></o:p></p>
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<p class="MsoNormal"><o:p> </o:p></p>
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<p class="MsoNormal">I'm trying to find the most cost-effective way to put this together for PC because it isn't a ton of money. Any recommendations would be much appreciated. Thank you.<o:p></o:p></p>
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<p class="MsoNormal"><span style="font-size:12.0pt;font-family:"Arial",sans-serif">Best,<o:p></o:p></span></p>
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<p class="MsoNormal"><span style="font-size:12.0pt;font-family:"Arial",sans-serif">David J. Faber<o:p></o:p></span></p>
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<p class="MsoNormal"><span style="font-size:12.0pt;font-family:"Arial",sans-serif">Faber Feinson PLLC<o:p></o:p></span></p>
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<p class="MsoNormal"><span style="font-size:12.0pt;font-family:"Arial",sans-serif">210 Polk Street, Suite 1<o:p></o:p></span></p>
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<p class="MsoNormal"><span style="font-size:12.0pt;font-family:"Arial",sans-serif">Port Townsend, WA 98368<br>
(360) 379-4110<o:p></o:p></span></p>
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<p class="MsoNormal"><span style="font-size:12.0pt;font-family:"Arial",sans-serif"><o:p> </o:p></span></p>
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