Generally when a Special Needs Trust is created, questions arise as to what types of distributions will negatively impact the beneficiary's current SSI benefits. Here are a few basic examples of distributions which will reduce the SSI Benefit: Basic shelter related expenses Food Basic items of clothing Cash for any purpose Examples of Impermissible Trust Distributions Distribution not in the best interest of the beneficiary (made primarily for the benefit of another person) Paying for a service already paid for by another source.
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