September 2025

Summary

September 2025 Newsletter

Planning for the Future: Why Consider a Special Needs Trust?

For individuals with disabilities and their families and friends, planning for the future means ensuring long-term support while protecting access to vital public benefits like Medicaid and Supplemental Security Income (SSI). These programs have strict income and asset limits, which means that even a small inheritance or monetary gift could unintentionally result in the loss of eligibility. A Special Needs Trust (SNT) allows families to set aside funds for their loved one’s future needs without impacting their access to these critical supports.

A Special Needs Trust is designed specifically to benefit the person with a disability, prioritizing and ensuring access to funds to supplement needs and wants throughout their lifetime. A trust like this allows funds to be used for services and supports that improve quality of life, without replacing or interfering with the means-tested benefits they receive from government programs. The trust exists to supplement, not supplant, public benefits, ensuring that the individual can enjoy a fuller, more supported life without jeopardizing their essential care.

When it comes to managing a Special Needs Trust, many families explore pooled trusts as an alternative to naming a relative or financial institution as trustee. A pooled special needs trust, administered by a nonprofit organization like The Arc of Northern Virginia, brings not only professional oversight and continuity but also an important layer of objectivity and beneficiary-centered decision-making. Unlike a family member or financial firm, a pooled trust serves as a neutral party, free of personal bias or conflicting interests, and is solely focused on prioritizing the best interests of the beneficiary; this ensures a person-centered approach, protecting government benefits, all while alleviating trust management responsibilities from those who are already providing day to day care to the person with the disability. For many, this offers both peace of mind and a reliable, mission-driven partner in securing their loved one’s future.

 

Safeguarding Survivor Benefits: Why Directing SBP Payments to a Self-Funded Special Needs Trust Matters

Military families caring for a loved one with a disability face unique financial challenges, especially when it comes to planning for the future without putting essential benefits like Medicaid or Supplemental Security Income (SSI) at risk. One important solution to consider is combining a Survivor Benefit Plan (SBP) with a self-funded Special Needs Trust (SNT)*, which can help ensure long-term financial support without disrupting public benefit eligibility.

The Survivor Benefit Plan is a Department of Defense program that allows military retirees to provide a portion of their pension to a chosen beneficiary after death. While many retirees name a spouse as the beneficiary, the SBP can also be directed to a child with a disability. For families in this situation, the SBP can be a crucial lifeline, providing financial resources to their child well into the future. However, there’s an important catch: SBP payments count as income. If the payments are made directly to a person with a disability, they will likely exceed income limits for programs like SSI or Medicaid (including a Medicaid Waiver), which could result in the loss of those critical benefits.

Fortunately, with proper planning, there’s a way to preserve both the SBP benefit and eligibility for means-tested programs. Instead of naming the child directly, the SBP payments can be directed to a properly established self-funded special needs trust. This type of trust is specifically designed to hold assets and income for a person with a disability without affecting their eligibility for SSI, Medicaid, or other programs with income and asset limits. The funds in the trust can then be used to enhance the person’s quality of life, while keeping their public benefits intact.

In order to do so, it is important to plan ahead. The military retiree must first establish a self-funded special needs trust and then update their SBP beneficiary designation to name the trust, not the child directly. By taking these steps proactively, families can ensure that their loved one with a disability remains eligible for vital public programs, even after SBP payments begin.

In short, directing SBP payments to a special needs trust is a smart and effective way to protect both your child’s financial future and their access to critical benefits. Establishing the trust now and updating your beneficiary designation can offer peace of mind and long-term security for your family. If your family is interested in pursuing this path, our organization is here to help! At The Arc of Northern Virginia, our department administers self-funded special needs trusts every day and can guide you through each step of the process.

*While The Arc of Northern Virginia refers to this type of trust as a self-funded special needs trust, this type of account is synonymous with a first-party special needs trust.

Reminder: Pre-Approval for Expenses Over $300

 

As part of our trust program, we want to remind families that any expenses exceeding $300 must seek pre-approval through our disbursements team. This process ensures that your intended purchases are reviewed and covered when the need arises. By doing so, we can work to maximize health insurance coverage and other government benefits, ultimately reducing the financial burden on the trust.

 

To seek pre-approval, please email our disbursements team with details of the intended purchase. This proactive step will help ensure that your expenses are appropriately covered and processed without delay. Thank you for your cooperation!

 

 

Staffing Announcement

We’re excited to share that Caroline Girgenti has returned to The Arc of Northern Virginia as our new Community and Client Relations Specialist in August 2025.

 

Caroline previously worked with The Arc of Northern Virginia from 2018 to 2022, serving as the Advocate for the Special Needs Trust department, and as a Support Coordinator with the Services department. During that time, Caroline was a valued team member known for her compassion and dedication to supporting the needs of people with disabilities.

 

In addition to her work with us, Caroline brings a strong background in having worked in residential services for people with disabilities and most recently having worked as a teacher, where she taught social-emotional skills to children with Autism and ADHD. Her diverse experience further strengthens our team’s ability to connect with and support the community we serve.

 

In her new role, Caroline will focus on continuing our mission of educating our community about the Special Needs Trust department’s services and helping to onboard and support new clients within the department. We’re thrilled to welcome her back and look forward to the perspective and energy she brings to this new position.

 

Please join us in giving Caroline a warm welcome back to The Arc of Northern Virginia!

Who Does What? 

    • Ana Hughes, Director of Trusts: Ana oversees the operations and management of the Special Needs Trust department; she also offers consultations to potential clients, and supports through establishment appointments when wanting to open a Special Needs Trust. If you have feedback about your experience with us, she's the one to talk to.
    • Kevin Collins, Assistant Director of Trusts: Kevin assists with various tasks relating to the management of existing special needs trust accounts with The Arc of Northern Virginia. Kevin supports the team in providing information surrounding questions of existing accounts, managing and maintaining accurate records for our clients, and spearheads trust management surrounding trust closures after notification of a beneficiary’s passing. Kevin also continues to work diligently in supporting the department with communication between the Trust Manager (The Arc of Northern Virginia) and our appointed trustee, Key Private Bank.
    • Trini Nsabimana, Account Manager: Trini spearheads the disbursement side of our program and ensures requests are reviewed and submitted through our standard process; she’s here to ensure outgoing funds are processed for review, and follows through with the payments from KeyBank. She’s also able to assist with reviewing disbursement options (forms, purchasing cards, etc.). 
    • Allie Shelby, Account Coordinator, Outgoing Funds: Allie primarily supports in the disbursement process, often being the first point of contact for Trust clients when using a True Link or Key2Business card. Allie is available to support clients when utilizing these tools, and ensures compliance with our policies and regulations.
    • Grace Rhodes, Account Coordinator, Incoming Funds: Grace’s primary role within the department is to process all incoming funds, including ACHs, checks, and routing wire transfers. She can help with guiding how to add funds to a trust account, and support with the follow-through to ensure they’re deposited to the directed sub-account (i.e. trust).
    • Caroline Girgenti, Community & Client Relations Specialist: Caroline oversees all marketing efforts within our department, as well as supports onboarding and familiarizing new clients with our pooled trust program to ensure a thorough understanding in how the department operates.
    • Fiona Wright, Client Coordinator: Fiona assists existing clients with navigating the Trust department and can answer questions and offer guidance you may have about your existing account.
    • Emelina Warsing, Administrative Coordinator: Emelina provides administrative support to the entire Trust team. She schedules consultations and establishment appointments, provides follow up information as necessary/requested, and can route you to the correct party when you have requests.