DISCLAIMER: Please note that this guide is for information purposes only. Please consult a financial advisor for any legal consultations or advise pertaining to your\u00a0 financial planning needs.<\/strong><\/em><\/p>\n It gives the child ongoing financial support for his\/her medical and lifestyle requirements. A Trust being an independent separate legal entity is not impacted by any eventualities in the personal life of the child\u2019s parents\/caregivers.<\/p>\n Any parent with a child with special needs can set up a private trust and secure the future of the child. This Trust can fund all expenses related to child care. The Settler of the Trust (person creating the trust) can specify how the funds should be utilized.<\/p>\n The money entrusted with the Trust can fund recreational activities, hobbies, vocational activities and professional services which are used for the child\u2019s care. Trust funds can also pay for the residential care of the child where he\/she will reside after the demise of the parents\/caregivers.<\/p>\n Thus a private trust helps in ensuring support for the child continues in all possible scenarios.<\/p>\n<\/div>\n A trust is legal agreement for management, preservation and upkeep of the child who is the benefactor of the Trust. The Trust deed defines the objective, power of trustees (people managing the trust), management, preservation and distribution of income to the child.<\/p>\n<\/div>\n Any individual (family members, friends), Corporate (Professional Trustees) or a professional (Individual within or outside the family).<\/p>\n<\/div>\n An irrevocable private trust is the most beneficial structure for a special needs family. This is so, as the assets go under the care of a Trust and it helps to safe guard the property of the child, inheriting those assets.<\/p>\n<\/div>\n A\u00a0Settlor\u00a0is a person who establishes the Trust. It\u2019s role\u00a0is to legally transfer control of an asset to a trustee (who manages the Trust), who manages it for one or more beneficiaries (who benefits from the Trust i.e. your child).In certain types of Trust, the\u00a0settlor\u00a0may also be the beneficiary, the trustee, or both.\u00a0There is no restriction on settlors or those who can create the Trust. Parents, grandparents or even a legal guardian can set up the Trust for the child\u2019s benefit.<\/p>\n<\/div>\n Anyone who manages affairs of the Trust as per the deed requirements. They do not have a say in altering its terms. They just execute (implement) the trust deed.<\/p>\n<\/div>\n The person on whose name, the Trust deed is made out to. In this case it will be your child.<\/p>\n<\/div>\n The Trust Deed is executed first when you (Parents) appoint yourself as initial trustees. You may transfer some of the assets to the Trust in your living and leave others to be inherited through the Will to save on the transfer cost of assets. The Will is executed after your demise, and the assets left over then are transferred to the Trust as per Will provisions. The LOI is a reference document for future Guardian or Trustees who will manage child affairs after you. This document will be referred after you. So Trust is the first document which gets executed.<\/p>\n<\/div>\n A minimum two members are required to form a Trust. There is no maximum limit.<\/p>\n<\/div>\n You have to create a separate Trust for Indian assets, since different countries have separate laws.<\/p>\n<\/div>\n This needs to be specified in the trust deed. Without this entry a trust deed remains incomplete.<\/p>\n<\/div>\n Trust deed prepared on a stamp paper, that needs to be registered in the sub registrar\u2019s office is sufficient to form the Trust.<\/p>\n If you\u2019re seeking more information and guidance on this topic and related areas, Nayi Disha\u2019s <\/span>Know Your Rights<\/span><\/i> (KYR) Program is here to support you every step of the way. By joining, you\u2019ll gain access to valuable resources on government schemes, benefits, financial support, legal rights, and more, all aimed at securing a brighter future for your child. To learn more, visit our chatbot by clicking this link:<\/span> https:\/\/bit.ly\/4dJVCP3<\/span><\/a>, or simply type ‘KYR’ on our helpline number <\/span>844-844-8996<\/span><\/a>.<\/span><\/p>\n<\/div>","protected":false},"excerpt":{"rendered":" Financial security for a special child must be addressed as early as possible. Setting up a Trust will help secure funds for the child’s care and needs.<\/p>","protected":false},"author":26481,"featured_media":156377,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[3213],"tags":[2420,1100],"conditions":[2694,2699,2696,2802,1156,2703,2698,2695,2702,2700,2704],"age_group":[2738,2737,2736],"article_group":[2752],"_links":{"self":[{"href":"https:\/\/newtest.nayi-disha.org\/hi\/wp-json\/wp\/v2\/posts\/156376"}],"collection":[{"href":"https:\/\/newtest.nayi-disha.org\/hi\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/newtest.nayi-disha.org\/hi\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/newtest.nayi-disha.org\/hi\/wp-json\/wp\/v2\/users\/26481"}],"replies":[{"embeddable":true,"href":"https:\/\/newtest.nayi-disha.org\/hi\/wp-json\/wp\/v2\/comments?post=156376"}],"version-history":[{"count":4,"href":"https:\/\/newtest.nayi-disha.org\/hi\/wp-json\/wp\/v2\/posts\/156376\/revisions"}],"predecessor-version":[{"id":296378,"href":"https:\/\/newtest.nayi-disha.org\/hi\/wp-json\/wp\/v2\/posts\/156376\/revisions\/296378"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/newtest.nayi-disha.org\/hi\/wp-json\/wp\/v2\/media\/156377"}],"wp:attachment":[{"href":"https:\/\/newtest.nayi-disha.org\/hi\/wp-json\/wp\/v2\/media?parent=156376"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/newtest.nayi-disha.org\/hi\/wp-json\/wp\/v2\/categories?post=156376"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/newtest.nayi-disha.org\/hi\/wp-json\/wp\/v2\/tags?post=156376"},{"taxonomy":"conditions","embeddable":true,"href":"https:\/\/newtest.nayi-disha.org\/hi\/wp-json\/wp\/v2\/conditions?post=156376"},{"taxonomy":"age_group","embeddable":true,"href":"https:\/\/newtest.nayi-disha.org\/hi\/wp-json\/wp\/v2\/age_group?post=156376"},{"taxonomy":"article_group","embeddable":true,"href":"https:\/\/newtest.nayi-disha.org\/hi\/wp-json\/wp\/v2\/article_group?post=156376"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}![\"Will_Trust_SpecialChild_Settlor_FinancialPlanning_DevelopmentalDisability_FuturePlanning\"](\"https:\/\/d3n2v804uranu1.cloudfront.net\/wp-content\/uploads\/2018\/10\/Will_Trust_SpecialChild_Settlor_FinancialPlanning_DevelopmentalDisability_FuturePlanning.webp\")
<\/strong><\/em><\/p>\n\n
Why create a Trust for my child?<\/a><\/h3>\n
What is a Trust?<\/a><\/h3>\n
Who can be appointed as a trustee?<\/a><\/h3>\n
What kind of Trust is essential and relevant to a Special Needs family?<\/a><\/h3>\n
Who can be appointed a settlor?<\/a><\/h3>\n
What is the role of the appointed trustees?<\/a><\/h3>\n
Who is the beneficiary of a Trust?<\/a><\/h3>\n
How will a Will, LOI and Trust deed relate with each other? What comes first?<\/a><\/h3>\n
How many trustees need to be part of a Trust?<\/a><\/h3>\n
Would a Trust created abroad also cover assets in India? Would it be legally valid in India?<\/a><\/h3>\n
What happens to the Trust fund once the special child passes away?<\/a><\/h3>\n
What are the necessary documents for formation of a Trust?<\/a><\/h3>\n