Last Will & Testament

Without a will, your property will be divided according to Arkansas state law — the same rules applied to everyone, regardless of your wishes or your family's unique circumstances. A will gives you the ability to decide what actually happens to your estate.

With a will, you can:

• Define your assets and name beneficiaries;
• Appoint guardians for minor children;
• Provide funeral or memorial instructions;
• Ensure your pets are cared for; and
• Appoint an executor to carry out your wishes.

A will is one of the most important documents you'll ever sign — but it does have one limitation worth knowing about. A will must go through probate, which is the court-supervised process that oversees the administration of your estate. For some families, that's perfectly fine. For others, avoiding probate is a priority — which is where a living trust comes in.

Living Trust

A living trust is a legal arrangement that holds title to your property and is managed by a trustee. While you're alive, you can serve as your own trustee — meaning you stay in full control of your assets. You simply name a successor trustee to step in if you become incapacitated or when you pass away.

Living trusts have several important advantages over a will alone:

• They avoid probate, allowing for faster and simpler distribution of assets;
• They are private documents — unlike wills, they never become public record;
• They allow your chosen trustee to manage your assets immediately if you become disabled; and
• They can provide funds right away for minors, disabled family members, or final expenses without waiting on court approval.

Special Needs Trust

A Special Needs Trust (SNT) is designed to protect a person with a disability who receives — or may receive — needs-based benefits like SSI or Medicaid. Without one, even a modest inheritance or legal settlement could disqualify your loved one from the benefits they depend on. An SNT allows assets to be held for their benefit without affecting that eligibility.

First-Party Special Needs Trusts

A first-party SNT is funded with the disabled person's own assets — commonly from a personal injury settlement, back pay, or an inheritance paid directly to them. Key features include:

• Preserves eligibility for Medicaid and SSI by keeping assets out of the beneficiary's countable resources;
• Required by law to include a Medicaid payback clause — any funds remaining at the beneficiary's death must first reimburse Medicaid for services provided; and
• In Arkansas, court approval is often required when funded with settlement proceeds for minors or incapacitated adults.

Third-Party Special Needs Trusts

A third-party SNT is funded with assets belonging to someone other than the person with the disability — such as a parent, grandparent, or other family member. This is the most common tool used in estate planning to provide for a disabled child or relative. Key features include:

• No Medicaid payback is required — when the beneficiary passes away, any remaining funds can go to other family members or charitable causes; and
• Can be created during your lifetime or through your will or living trust.

Why These Trusts Matter

A properly drafted Special Needs Trust ensures that your loved one can keep critical benefits like SSI and Medicaid, while still having access to funds that improve their quality of life — education, therapies, equipment, travel, hobbies, and more. It also protects those assets from creditors and legal judgments.