Social Security: Will it be here when you need it?

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The Social Security  program has been providing benefits to over 47 millions workers for the past 65 years.  It was originally created to provide some assistance to workers after retirement, along with their employee retirement accounts and personal savings.  Social Security program is a sort of earned benefit insurance program, that provides benefits to workers and their family members for retirement, early retirement, disability and survivorship benefits.  It is only available to those who work and pay taxes and the benefits are supposed to be available to the workers and their family upon retirement, disability or death.

This program was never meant to be the sole funds to be relied on by retirees.  However, in these modern times Americans are saving less and receiving less company benefits, therefore reliance on the Social Security program has increased. In December of 2005, almost 48.5 million people received Social Security benefits on a monthly basis.  In the next twenty years, the baby boomers will start to retire in large numbers and could likely create a strain on the Social Security program.  Will the Social Security program still be around when we need it?   After this years election, we will have a new Congress which will have a major effect on the program, so only time will tell!

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Do you need a special needs trust?

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A special needs trust or “supplemental needs trust” is a trust created for the benefit of a physically or mentally disabled individual.  The purpose of such a trust is to provide an individual the ability to receive litigation settlement funds or inheritance funds without affecting their government benefits. 

This type of estate planning, ensures that the recipient of a settlement award or inheritance has his or her benefit eligibility preserved and is not subject to unnecessary Medicaid payback provisions.

Example:  Amber is a 39-year-old women involved in an automobile accident that left her paralyzed and with permanent brain damage.  The lawsuit settlement provided that Amber was to receive $600,000.00 for damages.  The settlement agreement was structured so that instead of being paid the money directly, it was put into a Special Needs Trust for Amber and allowed her to obtain Medicaid assistance.

New Definition of Autism Will Exclude Many, Study Suggests

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From the New York Times:

Proposed changes in the definition of autismwould sharply reduce the skyrocketing rate at which the disorder is diagnosed and might make it harder for many people who would no longer meet the criteria to get health, educational and social services, a new analysis suggests.   James C. McPartland, an assistant professor in the Child Study Center at Yale University, is answering your questions about this possible new definition of autism.

 The definition is now being reassessed by an expert panel appointed by the American Psychiatric Association, which is completing work on the fifth edition of its Diagnostic and Statistical Manual of Mental Disorders, the first major revision in 17 years. The D.S.M., as the manual is known, is the standard reference for mental disorders, driving research, treatment and insurance decisions. Most experts expect that the new manual will narrow the criteria for autism; the question is how sharply.

The results of the new analysis are preliminary, but they offer the most drastic estimate of how tightening the criteria for autism could affect the rate of diagnosis. For years, many experts have privately contended that the vagueness of the current criteria for autism and related disorders like Asperger syndrome was contributing to the increase in the rate of diagnoses — which has ballooned to one child in 100, according to some estimates.