NSW Trust Fund Inheritance impacts on Disability Payments

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Ken Johnston

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12 September 2019
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How will a Centrelink Disability support payment be impacted by an inheritance where the beneficiary will receive money distributed from a Trust Fund. I understand that it may be categorised as Non- remunerative.
The money will be used to manage medical conditions and quality of life etc.
 

Tim W

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28 April 2014
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1. How you spend it is irrelevant.
2. No, there's nowhere and no way to hide it.
3. Start here.
 

Tim W

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28 April 2014
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As the person is on a DSP, it may be worth looking into whether a Special Disability Trust can be formed (if he testator's still alive, alter the will to allow for this), or if the testamentary trust can distribute to a new SDT (if the testator has already died): Special Disability Trusts - Australian Government Department of Human Services
Yeah.
If suitable, including if there is a potential trustee who is willing, able, and affordable,
this has a lot to recommend it.
 
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Ken Johnston

Member
12 September 2019
2
0
1
How will a Centrelink Disability support payment be impacted by an inheritance where the beneficiary will receive money distributed from a Trust Fund. I understand that it may be categorized as non- remunerative.

The money will be used to manage medical conditions and quality of life etc.
Thanks for the advice, however, the person does not have a severe disability but is on the disability pension. I read that when a special disability trust is set up, then the beneficiaries can only be given a distribution maximum of $12,000 per year to be used for only certain things. That just works out to be $230 per week over 52 weeks.