How to Start a Trust for a Child with Autism

Can anyone provide guidance on how to start a trust fund for a child with Autism. He currently has a 529 plan set up but it is starting to seem doubtful that he will attend college. I would rather have a trust fund for him.

You'll need an attorney. A trust is a legal entity, and you want to make sure it is set up properly, so that it can outlive you.

The basics of trust are that you set up the trust itself, which provides the guidelines for distribution and investment, how the trust behaves itself, who manages the trust, etc; and then you fund the trust with money, assets, investments, etc.

I believe you are looking for a jump-off point to forming a "Special Needs Trust". They are designed to provide monetary benefits for the beneficiary without hindering or disqualifying the inflow of government-based provisions.

Here's a good link to get you started:

http://www.autism-pdd.net/special-needs-trust.html

Retireddad,
We are in the same boat. We have a child with autism as well. Our's is just turning nine, but we went to a presentation by an attorney a number of years back and learned a bit of info. I would imagine what state you live in may make a difference, but here is what my notes tell me (we are in Washington - keep in mind this info is from April 2004):
A Special Needs Trust is what you'll need to hold your childs assets if they exceed $2,000. They cost about $1,500 to set up. If your childs balance can be kept under 2K, instead of a trust you can just set up an account under your child's name at your bank and list yourself as the guardian. When they are an adult an eligible for SSI, SSI can be deposited directly to this account. You can then pay yourselves rent from it if your child lives with you. Remember this account cannot exceed 2K. If you do set up a Trust, the money will go to the state upon their death. I've more info, if you are interested.