A special needs trust—also known as a supplemental needs trust—is an irrevocable trust designed to provide supplemental income for a designated beneficiary who is physically disabled, mentally disabled, has chronic illness, or has other special needs and is receiving or may be eligible to receive government benefits—such as Social Security, Supplemental Security Income (SSI), Medicare, or Medicaid.

A special needs trust is often created by parents of a disabled child, with the trust prohibiting distributions from being used for the child’s food, clothing, or shelter to ensure the child (or adult) remains eligible for related government benefits. A special needs trust must be created before the beneficiary reaches the age of 65.

In West Virginia (WV), a special needs trust is a legal arrangement that allows individuals with disabilities to receive supplemental income without jeopardizing their eligibility for government benefits such as Social Security, Supplemental Security Income (SSI), Medicare, or Medicaid. These trusts are designed to cover expenses that enhance the beneficiary's quality of life beyond the basic needs that government programs may cover. The trust assets can be used for medical expenses, education, transportation, and other personal care expenses. It is important that the trust is structured properly to ensure that disbursements do not disqualify the beneficiary from receiving government assistance. In WV, as in other states, the trust must be established before the beneficiary turns 65 years old. The trust is typically irrevocable, meaning it cannot be easily changed or revoked once it is set up. Families considering setting up a special needs trust should consult with an attorney who specializes in this area of law to ensure compliance with both state and federal regulations.