Setting Up Framework to Administer Simple and Accessible Trusts for Seniors
Ministry of Social and Family DevelopmentSpeakers
Summary
This question concerns Ms Joan Pereira’s proposal to establish accessible trusts for seniors, potentially by expanding the Special Needs Trust Company (SNTC). Minister for Social and Family Development Masagos Zulkifli B M M explained that the SNTC is specifically focused on safeguarding funds for dependants with special needs. He highlighted that the Lasting Power of Attorney (LPA) remains the primary tool for seniors to appoint donees or professional deputies to manage their financial and personal welfare. Assistance for the LPA process and professional deputy services is available through the Office of the Public Guardian and various Social Service Agencies. The Ministry of Social and Family Development will continue to review support mechanisms to ensure the needs of vulnerable seniors are adequately addressed.
Transcript
31 Ms Joan Pereira asked the Minister for Social and Family Development whether the Ministry will consider setting up a framework to administer simple and accessible trusts for seniors, for example, by broadening the scope of the Special Needs Trust Company so that our seniors, especially those who are vulnerable, can have access to such resources.
Mr Masagos Zulkifli B M M: The Special Needs Trust Company (SNTC) allows parents or caregivers to set up a trust account for their loved ones with special needs. Assets in the trust will build up over time and be paid out for the care needs of the beneficiary when the parent or caregiver eventually passes on or loses mental capacity. Thus, the focus of SNTC's trust service is to safeguard the monies which parents or caregivers intend to leave for their dependants with special needs.
With regard to seniors, our approach is to encourage them to make a Lasting Power of Attorney (LPA) and appoint a donee to manage their personal welfare, and property and affairs after the loss of mental capacity. The donee may be granted powers by the donor to manage the finances of the senior, which include making investments and managing the expenses in the interest of the senior. Seniors without suitable next-of-kin to appoint as a donee may consider engaging a professional deputy.
Seniors who need help with the LPA making process (for example, finding a professional deputy or not-for-profit organisation who offers LPA Certificate Issuing service) can refer to the Office of the Public Guardian's website. Assistance is also offered by various Social Service Agencies (for example, Life Point by Sheng Hong Welfare Services and Potter's Place Community Services Society), grassroots and private organisations (for example, law firms, insurance companies).
The Ministry of Social and Family Development (MSF) will continue to review the support available to vulnerable seniors, to ensure their needs are adequately taken care of.