Can a disclaimer route the share to the parents, and are there tax or benefits issues for us? – North Carolina Short Answer Under North Carolina law, a valid disclaimer (also called a renunciation) causes the disclaimed inheritance to pass as if the child had died before the person who left the property. That means…
Should we use a first-party special needs trust or an ABLE account? – North Carolina Short Answer Under North Carolina law, a first-party special needs trust (often established under Chapter 36D) and a North Carolina ABLE account are both tools that can help a disabled adult keep means-tested benefits while setting aside funds. They are…
What happens if the inheritance is paid to my child before the trust is created? – North Carolina Short Answer Under North Carolina law, if an inheritance is paid to a minor child before a trust is actually created, the money does not automatically “move” into the later trust. Instead, the funds are typically held…
What are the pros and cons of using a supplemental needs trust instead of leaving assets directly to a beneficiary who receives public benefits? – North Carolina Short Answer Under North Carolina law, a properly structured supplemental needs trust (often called a special needs trust) can hold assets for a disabled beneficiary without those assets…
What expenses can a supplemental needs trust pay for without affecting eligibility for needs‑based benefits? – North Carolina Short Answer Under North Carolina law, a properly structured supplemental (special) needs trust can pay for many “extra” goods and services that improve a disabled beneficiary’s quality of life without counting as that person’s own assets for…
How do I fund the trust now or at death, and what documents do I need to set it up correctly? – North Carolina Short Answer Under North Carolina law, a supplemental needs trust is funded either during life (by transferring assets into the trustee’s name) or at death (by directing assets to the trust…
What happens if the property sells before the disclaimer is signed; do the proceeds count as income or a resource? – North Carolina Short Answer Under North Carolina law, if an adult child’s inheritance share is converted to cash before a valid disclaimer is signed and filed, the child has already received a property interest,…
How can my adult child on SNAP, Medicaid, and SSDI disclaim an inheritance without losing benefits? – North Carolina Short Answer In North Carolina, an adult child can generally disclaim (renounce) an inheritance under Chapter 31B of the General Statutes so that the law treats the child as though they died before the person leaving…
What information and decisions should I prepare before our first meeting to make the process efficient? – North Carolina Short Answer For an efficient first North Carolina estate planning meeting, it helps to have a clear list of family members, a basic inventory of assets and debts, and a rough idea of who should handle…
How can I get a will drafted that clearly distributes my assets and reflects my wishes? – North Carolina Short Answer In North Carolina, a clear will starts with a detailed discussion of goals and assets, then gets put into a written document that meets the state’s formal signing and witnessing rules. A typical estate…