Special Needs Trust Attorney in Orange County

Irvine Lawyers for Parents of Special Needs Children in Orange County

Parents of special needs children are constantly struggling with the crucial question: Who will take care of my child if I pass away tomorrow? How will my child survive without me? Will my child be financially stable once I die? Will my child continue to receive government benefits if he or she inherits funds from a family relative?

The same questions arise when a person with special needs comes into a large asset, like a life insurance policy or personal injury award. How will those funds be managed while still allowing the beneficiary access to public assistance?

The special needs trust attorneys in Orange County at Mortensen & Reinheimer, PC have 75 years of combined experience handling these types of cases. We put your interests first and help you feel more at ease.

Take the next step with confidence—call (714) 384-6053 or contact us online to speak with a special needs trust attorney in Orange County today.

Benefits of Establishing a Special Needs Trust

One way to alleviate many of these and other concerns is to execute a Special Needs Trust, or SNT. With this Trust, parents can appoint an individual(s) as Trustee to manage their child’s finances. This will allow the children to maintain their specific needs and continue living like they’re used to. For that matter, the children’s future will be secured, offering the parents peace of mind, comfort, and hope.

The purpose of an SNT is to allow a disabled person to remain eligible for public benefits while also benefiting from private assets that might otherwise render them ineligible for assistance. In other words, it allows people to access SSI, public healthcare, and other services while also having private assets.

Public benefits commonly coordinated with a Special Needs Trust include:

• Social Security Income ("SSI") – A needs-based federal benefit that can be affected if a person with disabilities receives assets outright instead of through an appropriately drafted trust.
• In-Home Supportive Services ("IHSS") – A program that can help eligible individuals remain safely in their homes, which may be supported by careful planning so that trust distributions do not disrupt eligibility.

A Special Needs Trust will also prevent creditors from reaching into funds belonging to the children, which serves to further protect them.

In our experience working with families throughout Orange County and surrounding communities like Irvine and Santa Ana, we see that parents often want to understand how a Special Needs Trust fits into a broader estate plan. We can help you coordinate your trust with your will, beneficiary designations, and any life insurance so that all of your planning documents work together and do not accidentally interfere with eligibility for important California and federal benefit programs.

Many parents also ask how soon they should create an SNT and who should serve as trustee. We can walk you through the pros and cons of naming a trusted relative, a professional fiduciary, or a corporate trustee, and we can discuss how your choices may be viewed by institutions such as the Orange County Superior Court if any future supervision or accountings are required. By answering these questions in advance, you can make thoughtful decisions rather than reacting in a crisis.

Third-Party Special Needs Trusts vs. First-Party Special Needs Trusts

The distinction between third-party and first-party SNTs is how each is funded. Third-party SNTs are funded by a third party—typically a parent or relative of the beneficiary. The SNT then becomes the repository of money and property through the third party’s estate plan. A third-party SNT contains assets that have never been owned by the beneficiary, nor does the beneficiary have direct access to these funds.

First-party SNTs are funded by the property of a person with special needs. Any high-value assets a person with special needs might have—personal injury settlement, retirement fund, life insurance policy, or an inheritance—go into the SNT to provide for their needs. The disadvantage of first-party Special Needs Trusts is that the beneficiary will be ineligible for government assistance for the period between taking ownership of their assets and the creation of the SNT. This could cost them a sizable amount of their assets outright.

In most cases, our Orange County special needs lawyers would recommend setting up a third-party SNT while the asset owners are still alive. That way, the SNT is already set up and providing for the beneficiary with no financial downside or additional costs. The untimely death of the trust owner would not interrupt the provision of benefits.

When deciding between a third-party and first-party SNT, it is also important to consider future events such as additional inheritances or personal injury settlements. We can explain in general terms how each type of trust is treated under applicable law, including potential payback provisions to the state for certain first-party trusts, so you understand the long-term implications of your choice. This kind of planning allows you to structure gifts and settlements in a way that preserves as much value as possible for your loved one’s supplemental needs.

Families sometimes worry that choosing one type of SNT means they are locked into that structure forever. We can review your situation over time and advise when amendments, restatements, or related planning tools may be appropriate if your loved one’s needs, assets, or public benefits change. By working closely with a special needs attorney in Orange County whom families trust for estate and probate matters, you can adapt your plan as life unfolds rather than leaving difficult decisions to relatives who may not know your wishes.

Choosing the Right Special Needs Planning Team

Selecting the right professionals to guide you through special needs planning is just as important as choosing the right type of trust. You are asking someone to help protect a vulnerable family member for years to come, possibly long after you are gone, so you need a team that understands both the legal framework and the day-to-day realities your loved one faces. Our firm’s focus on estate planning and probate allows us to look at your entire plan, not just one document, and to coordinate your Special Needs Trust with other planning tools you may already have in place.

When you work with us, we take time to learn about your child or adult family member, their medical and educational history, and the public benefits they rely on in California. We frequently collaborate with financial advisors, care managers, and, when appropriate, professionals involved in conservatorship or guardianship matters in the Orange County Superior Court. By approaching your matter as a team, we can help you create a plan that is legally sound, practical to administer, and tailored to your family’s long-term goals.

Parents and caregivers often want to know how accessible their special needs lawyer will be over time and what happens if laws or benefit programs change. We emphasize ongoing relationships, periodic reviews, and clear communication so that you always know whom to call when questions arise. By partnering with a special needs lawyer, Orange County families can turn to year after year, you gain a single point of contact for updates, beneficiary changes, and coordination with other professionals who support your loved one.

Explore Your Options Around Special Needs Trusts in Orange County

The rules for Special Needs Trusts means a mistake or delay in creating an SNT could rob your loved one of vital services. If you’re not sure whether an SNT is the right move (or how to initiate setting one up), speak with our firm as soon as possible. We can discuss your options while helping you craft the right solution for your family and their future.

During an initial consultation, we can review your current estate plan, your loved one’s benefits, and any existing court orders or support arrangements. We regularly help families in areas served by the Orange County Superior Court evaluate whether a Special Needs Trust, conservatorship, powers of attorney, or other planning tools are needed to protect a vulnerable adult. By taking the time to understand your goals and your family dynamics, we can recommend a strategy that is practical to administer and aligned with the protections you want in place.

Speak with us today at (714) 384-6053 at your earliest convenience.