Sheri R. Abrams's Blog, page 9

Social Security Increase: Recipients to Get the Biggest Raise in 7 Years!

Social Security Increase:  Recipients to Get the Biggest Raise in 7 Years!

The Social Security Administration has just announced that those who receive Social Security Retirement, Social Security Disability, or Supplemental Security Income (SSI) will be getting a 2.8% raise in 2019.

The 2.8 percent cost-of-living adjustment (COLA) will begin in January 2019 for the more than 62 million people who receive Social Security Retirement and Disability benefits.  The maximum Social Security bene...

Planning for Special Needs Children in a Divorce

Raising a child with special needs is challenging. Sadly, the stress of the situation contributes to the high rate of divorce among couples who are raising children with special needs. In fact, it is estimated that the rate of divorce in these households are between 80% and  90%. Planning for special needs children in a divorce takes special consideration and attention.

If you are going through a divorce and have a child with special needs, you should consult with a Special Needs Planning att...

Caregivers – Here Are 10 Critical Things You Should Do to Take Care of YOU!

If you are a frequent reader of our newsletter, you know that we talk a lot about the importance of providing quality care for loved ones with disabilities or special needs. We are passionate about helping people live their lives as comfortably and securely as possible.

However, one thing that we don’t discuss quite as frequently is how to help caregivers manage their disabled or special needs loved one’s affairs without jeopardizing their own health or financial security.  If you are a careg...

Not All Attorneys Are the Same: Work with One Who Focuses on Special Needs Planning in Virginia!

There are LOTS of attorneys in the Fairfax area, and many of them do wills and trusts. With that being the case, you might wonder why it’s important to work with an attorney whose practice focuses not just on estate planning but on special needs planning in Virginia if you have a child with disabilities.

Quite frankly, special needs planning is complex and that’s why it’s so important to work with an attorney who understands this specific area of the law.  When your child’s future is at stake...

Can Social Security Disability & SSI Benefits Be Garnished?

Can Social Security Disability & SSI Benefits Be Garnished?

Generally, creditors cannot garnish Social Security Disability (SSDI) benefits.  Unsecured creditors cannot use garnishment of SSDI benefits as a method to recover unpaid debts.

However, there are three main exceptions to the general rule about garnishing SSDI benefits.

First, the IRS can garnish SSDI benefits with or without the debtor’s consent; however, the IRS can only receive up to 15 percent of your benefit amount per month.

Se...

What to Include in a Memorandum of Intent for Your Child with Special Needs

If you have created a Special Needs Trust for your disabled child, you are well on your way to making sure that your child’s future is secure. But, you have more work to do. You should create a Memorandum of Intent (this is also known as a Letter of Intent.)

A Memorandum of Intent is a companion document to a Special Needs Trust. This document ensures that your trustee knows your child’s abilities, routines, likes and dislikes, and any particular interests they may have. In addition, the memo...

Aretha Franklin Died Without a Will, Trust or Special Needs Plan in Place

I always end up scratching my head when I hear that another ultra-wealthy celebrity has died without a proper legal plan in place. Aretha Franklin, the “Queen of Soul,” recently died of advanced pancreatic cancer without a will, trust or special needs plan. This means that her $80 million-dollar estate will have to go through a lengthy probate process—which could take years and cost her estate thousands, if not hundreds of thousands of dollars.

It especially strange that she didn’t plan since...

Do I Need Two Special Needs Trusts for Two Special Needs Children?

I recently met with a family that has two children with special needs. They asked me a very good question:  Do I need two Special Needs Trusts?  One for each child? Or, can we create one joint trust?

In a perfect world, each child would have his or her own Special Needs Trust. However, administering two trusts with its own assets could be very complex. Depending on the family’s situation, it could be possible to set up one Special Needs Trust with multiple beneficiaries in order to avoid unne...

Don’t Accept the Position of Trustee of a Special Needs Trust Before You Answer These 5 Questions

If someone asks you to serve as trustee of a Special Needs Trust set up for someone with special needs, you should consider that a great honor. That means the family trusts and respects you. But, before you accept the job, you need to understand that it comes with great responsibility.  To understand that responsibility, ask yourself these 5 questions:

Can I read the Special Needs Trust?

The Special Needs Trust is the document where you will find almost everything you need to know. It tells...

The Worst Way to “Help” A Child with Special Needs

Inexperienced attorneys and financial planners have a really bad habit of telling parents of children with special needs that they need to write their child out of their estate plan in order to maintain their child’s eligibility for government benefits. While this tactic would accomplish the goal of preserving government benefits, it is the worst way to help a child with special needs.

Both Supplemental Security Income (SSI) and Medicaid are means-tested programs with very strict income and a...