Special Needs Trust Attorney on Long Island

Protecting Benefits for Disabled Loved Ones Across Nassau & Suffolk Counties

A direct inheritance or gift left to a person with a disability can do real harm. If the beneficiary receives assets outright, those funds count against the resource limits for SSI and Medicaid, potentially disqualifying them from the government benefits they depend on. A properly structured special needs trust can hold assets for the beneficiary’s benefit without triggering that disqualification. At The Fedele Law Group PLLC, this planning sits within our concentrated estate planning and elder law practice, built over more than 45 years of combined experience serving Long Island families.

We work from offices in Melville, Hauppauge, and Nassau County, and virtual consultations are available. We serve English- and Spanish-speaking families across both Nassau and Suffolk Counties.

First-Party vs. Third-Party Trusts in New York

New York uses two distinct terms for these trusts, and the distinction matters. A special needs trust in New York refers specifically to a first-party trust funded with the beneficiary’s own assets, such as a personal injury settlement or an inheritance received directly. These are also called d4a trusts or payback trusts. They can only be established for a beneficiary under age 65 and must be created by the beneficiary, a parent, grandparent, legal guardian, or court. Because the funds originated with the beneficiary, Medicaid must be reimbursed from any remaining assets at the beneficiary’s death before anything passes to other heirs.

A supplemental needs trust is the New York term for a third-party trust funded by a parent, grandparent, or another family member. No Medicaid payback is required at the beneficiary’s death, which means remaining assets can pass to other family members or be directed elsewhere. Third-party supplemental needs trusts can be structured as standalone living trusts or as testamentary trusts within a will. For families who prefer not to manage trust administration themselves, pooled trusts administered by nonprofit organizations offer a third option worth discussing during the planning process.

What an SNT Can and Cannot Pay For

Distributions must be structured carefully to avoid reducing the beneficiary’s government benefits. SNT funds may cover supplemental expenses that government programs don’t provide: medical treatments and therapies not covered by Medicaid, education, transportation, personal care items, recreation, and clothing, among others. Payments for shelter require close attention because those distributions can reduce SSI payments under current rules and need to be handled deliberately. Note that as of 2024, the Social Security Administration removed food from its in-kind support calculations, so trust payments for food no longer affect SSI benefits.

Cash shouldn’t be distributed directly to the beneficiary. Payments go from the trust to vendors or service providers. Nassau County and Suffolk County Departments of Social Services both review trusts for ongoing compliance, and distributions must hold up under that scrutiny. Trustee selection matters for exactly this reason: the person or institution managing the trust needs to understand government benefit rules and maintain accurate distribution records.

Why Long Island Families Work With The Fedele Law Group PLLC

Our practice doesn’t branch into criminal defense, bankruptcy, or personal injury. It stays concentrated on estate planning and elder law, which keeps our team current on New York law in these fields. Special needs trust planning connects naturally to guardianship, Medicaid planning, and government program applications, and we handle all of those within the same practice. Families don’t have to piece together advice from multiple firms.

• Medicaid planning coordinated alongside trust drafting to protect long-term benefit eligibility
• Guardianship proceedings for families navigating incapacity alongside disability planning
• Government program access including Medicaid applications managed as part of the broader plan
• ABLE accounts as a complementary savings tool evaluated during the planning process

Our client ratings on Google, Facebook, Yelp, and Avvo reflect how we approach each case: with a personalized strategy built around the family’s circumstances rather than a standard template. Our bilingual team works with English- and Spanish-speaking clients, and our three Long Island locations keep us reachable across both counties.

How We Build a Special Needs Trust for Your Family

We start with a strategy session to assess your family’s situation, the beneficiary’s current needs, and what you want the trust to accomplish long term. From there, we identify the right trust type, draft the document to comply with New York EPTL requirements, and structure it to meet the review standards applied by Nassau County and Suffolk County agencies.

Signing the trust is one step, not the finish line. Assets need to be titled in the name of the trust rather than the beneficiary for the trust to function as intended. We provide guidance on funding, coordination with financial accounts, and any adjustments to beneficiary designations. Families who also need Medicaid applications or guardianship filings handled can have that work managed as part of the same engagement.

Start Planning with a Special Needs Trust Lawyer on Long Island

Families who plan early have more options. Waiting until a crisis forces the issue, such as an unexpected inheritance or the death of a primary caregiver, compresses the timeline and limits what’s possible. A conversation now can clarify a great deal.

Call us at (631) 519-9831 or reach out through our online contact form to schedule your consultation with a special needs trust attorney from our Long Island team. Consultations are available by phone, in person at our Melville, Hauppauge, and Nassau County offices, and virtually. Our bilingual team assists English- and Spanish-speaking families across Long Island.