Estates Made Simple

Estate Planning for Beneficiaries with Special Needs

Jenna Carvalho & Gordon VanderLeek Season 1 Episode 68

Episode Summary

In this episode of Estates Made Simple, hosts Jenna Carvalho and Gordon VanderLeek tackle an important and complex topic: estate planning for beneficiaries with special needs. Gordon draws on both his professional expertise and personal experience to explain the unique considerations families need to be aware of when preparing their estate. From trust structures and government support programs to exempt assets and long-term housing, this episode provides practical guidance for families who want to ensure their loved ones are cared for now and in the future.

Key Discussion Points

1. Why Special Needs Planning Requires Extra Care

  • The importance of early and thorough planning when supporting a beneficiary with special needs.
  • Risks of DIY estate planning and why professional guidance is critical.
  • How personal experience gives advisors unique insight into family challenges and goals.

2. Trust Structures and Government Supports

  • How Henson Trusts and testamentary trusts work for disabled beneficiaries.
  • Understanding Alberta’s Assured Income for the Severely Handicapped (AISH) program and its $100,000 asset limit.
  • Why leaving an outright gift can disqualify a loved one from government support.

3. Exempt Assets Beneficiaries Can Hold

  • Principal residences and specialized housing.
  • Registered Disability Savings Plans (RDSPs) and how they integrate with government programs.
  • Other exemptions like accessible vehicles and prepaid funeral arrangements.

4. Estate Administration Considerations

  • What executors need to know when managing estates with special needs beneficiaries.
  • The six-month probate waiting period and potential family maintenance claims.
  • How to structure distributions to protect government benefits and long-term financial security.

5. Housing and Mobility Challenges

  • Planning ahead for where a beneficiary will live after parents pass away.
  • How moving between provinces affects eligibility for support programs.
  • Working with guardians and trustees to ensure housing decisions protect benefits and care.

6. Disability Advocates and Support Programs

  • Gordon and his wife Annie’s work helping families secure government supports.
  • Understanding programs like PDD, FSCD, and the Disability Tax Credit.
  • Conducting audits to ensure beneficiaries receive all eligible supports.

7. The Importance of Updating Your Plan

  • Why wills and trusts need regular reviews.
  • How changing rules, tax laws, and personal circumstances impact estate planning.
  • Creating a coordinated plan with legal, financial, and advocacy professionals.

Key Takeaways

  • Estate planning for beneficiaries with special needs is advanced planning, not a DIY task.
  • Using the right trust structures can protect government benefits and ensure long-term care.
  • Executors must handle distrib

Hosts:
Jenna Carvalho
The smartest way to choose an executor.
Guardian Estate Company
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Gordon VanderLeek
Give your family a legacy of protection - Wills, Estates and Trusts.
VanderLeek Law
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