What Kind of Lawyer Do You Need for a Special‑Needs Trust in WV

A “special‑needs trust” isn’t like a standard trust. It’s designed so a person with a disability can receive financial support without disqualifying them from government benefits like Medicaid or Supplemental Security Income (SSI). This requires extra careful planning, so hiring the wrong attorney can lead to a cascade of issues down the road.

Because of this, many families seek attorneys who specialize in special‑needs planning, estate planning, disability law, or elder law. These lawyers understand how to draft trusts to protect eligibility for public benefits while also managing and distributing assets appropriately.

What to Look for in a Special‑Needs Trust Lawyer

Experience with Special‑Needs Trusts and Government Benefits: They should understand how trusts interact with Medicaid, SSI, and other public benefits.

Knowledge of West Virginia Trust Law: The attorney should be familiar with how state laws affect trusts for individuals with disabilities.

Ability to Draft Compliant Trust Documents: A special‑needs trust must be carefully worded to protect benefits and clearly outline trustee powers and distribution rules.

Understanding of Pooled vs. Individual Trusts: A lawyer should know the difference between a standalone trust, which offers full control and customization, and a pooled trust managed by a nonprofit, where multiple beneficiaries’ funds are combined for easier management and lower costs. The right choice depends on your loved one’s needs, the amount of money involved, and how much control you want over the trust.

Long-Term Administration Support: Special needs trusts require ongoing management, including distributions, reporting, and compliance with benefit rules.

Clear and Transparent Guidance: The attorney should explain the trade-offs, responsibilities, and long-term consequences of the trust.

Special Needs Trusts for Minors

If your loved one with a disability is a minor, planning becomes even more important. Leaving assets directly to a child under 18 can create challenges, as the court may need to step in and manage the inheritance. To avoid this, many families use a trust combined with a legal guardianship.

A guardian is responsible for the child’s personal care, while the trustee manages the financial assets according to your instructions. Choosing a responsible trustee and setting distribution schedules based on age or milestones ensures the inheritance provides ongoing support without overwhelming your child. This combination protects daily needs and long-term financial security while preserving your wishes.

Pooled Special‑Needs Trusts

A pooled special‑needs trust is a type of trust available in West Virginia that can help families provide for a loved one with disabilities while protecting their eligibility for government benefits like Medicaid and Supplemental Security Income (SSI). Unlike a standalone or individual trust, which is created specifically for one person, a pooled trust is managed by a nonprofit organization and serves multiple beneficiaries.

Here’s how it works: each beneficiary has a separate sub-account within the larger trust, so their money is tracked individually. At the same time, the funds from all beneficiaries are pooled together for investment and administrative purposes. This structure allows the nonprofit to manage the money more efficiently, often lowering costs for families and simplifying long-term administration.

Pooled trusts are particularly useful in situations where a beneficiary doesn’t have enough assets to justify creating a standalone trust or when the family might find it difficult to manage a trust over the long term. Because the trust is professionally managed, it reduces the burden on family members, ensures compliance with laws about government benefits, and helps prevent mistakes that could jeopardize eligibility.

A critical point is that even though the trust is pooled, the nonprofit organization must keep careful records for each beneficiary. This ensures that each person’s funds are used only for their benefit and in a way that complies with the rules for preserving government benefits. Some pooled trusts may also include “payback” provisions, which means that upon the beneficiary’s death, any remaining funds may go back to the state to reimburse Medicaid or remain with the nonprofit, depending on the rules of the trust.

Risks of Using the Wrong Lawyer or Drafting Poorly

If a special‑needs trust is drafted incorrectly, the consequences can be serious:

• The trust may be considered an asset, disqualifying the beneficiary from Medicaid or SSI.

• Government benefits could be minimized or stopped.

• Upon the beneficiary’s death, leftover funds may not go to the intended people or may be claimed to repay benefits.

• Mismanagement by an inexperienced trustee can result in lost funds or legal disputes.

Important Questions to Ask a Lawyer Before Hiring

• Do you have experience drafting special‑needs trusts in West Virginia?

• How will this trust protect my loved one’s eligibility for Medicaid or SSI?

• Should we use a pooled trust or an individual trust?

• Who will serve as trustee, and what are their responsibilities?

• What ongoing support or guidance do you provide after the trust is created?

Conclusion

Our advice for creating a special needs trust is to consult with an attorney who specializes in special needs or elder law, or has an extensive background in estate planning. You should make sure this attorney understands both the state and federal regulations, and knows how to craft the perfect trust that fulfills every concern you may have and provides for your loved one’s benefits and long-term care.

Having the right plan in place takes a heavy load off your back, knowing your loved one’s future will be protected.

We hope this article was of use to you. If you have further questions, don’t hesitate to reach out to us!