We are excited to announce a new addition to the ElderDocx® library! The EC Parental Protection Trust™ is available now for members to utilize with their clients.
This new document is based on the Third-Party Supplemental Needs Trust but is intended for children to establish for their parents. It is designed as a grantor trust as to the trustmakers and upon the last beneficiary's death, the assets come back to the trustmakers. So, if children establish the trust for their parents, all trust income is taxed to the children and upon the last parent's death, the remainder goes back to the children or their trusts.When an elder law plan includes outright gifting to children, the children might find themselves with excess resources that they would like to put aside for their parents' care, if needed. This trust facilitates that. Also, in the right case, and when the parents are insurable, the trustees might choose to invest trust funds in an indemnity life insurance policy with a long term care rider. This technique can provide significant benefits, not only for the parents, but also for the children.
Drafting documents can be a time consuming, arduous task. It takes time away from more profitable work like meeting with clients and marketing your practice. ElderDocx puts smart, efficient legal document preparation at your fingertips and has an expansive catalog of documents in elder law (including general estate planning), special needs planning and Veterans pension planning practice areas.
Download a Parental Protection Trust document set sample or contact us to request a demonstration of the robust ElderDocx system.