How Can A Special Needs Trust Pay for Utilities?

The answer depends on whether the trust allows disbursements for utilities. If it does, you may be allowed to make the payment but you need to consider the disbursement’s impact on the beneficiary’s government benefits such as SSI, Medicaid, or Section 8 housing. For example, if the beneficiary receives SSI , the payment of utilities can reduce his/her SSI benefit by a maximum of $264.33 in 2015.  However, there are times when the loss of $264.33 is easily compensated by the trust’s payment of a larger bill.  Furthermore, some things that we consider utilities (such as phone service or cable tv) may not be counted as utilities by the government.  Therefore, its important to discuss the matter with a qualified special needs attorney.

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