When used together, third-party special needs trusts and ENABLE accounts are two tools that complement one another and can help provide better financial flexibility for an individual with special needs than when either is used alone.
Third-party special needs trusts provide a way for loved ones to leave assets for the benefit of an individual in such a way that the assets do not count as available resources that may jeopardize the individual’s government benefits, are not subject to Medicaid payback, and have significant supervision.
ENABLE accounts allow an individual to accumulate his or her own assets in such a way that the assets do not count as available resources; however, the assets are subject to Medicaid payback. Also, both good and perhaps hazardous, the Individual has direct access to assets held in an ENABLE account.
By utilizing third-party special needs trusts and ENABLE accounts together, assets can be maintained and used for the benefit of an individual in the best way possible.