No one likes to think about the end of their life, but planning for the end is important.
It’s doubly important when you know you’ll be leaving behind children, whether that means juveniles or adult children or other family members with special needs.
Making arrangements for the care of minor children is its own topic. Today we’re going to focus on children with special needs, and the concept of the special needs trust, also known as a supplemental needs trust.
A special needs trust is essential for protecting a loved one’s quality of life and access to government benefits.
Estate planning is nothing new. People know about the importance of having an up to date will, living will and power of attorney and most have these documents at the ready. What if you have a child with a severe physical or mental disability and he or she will not be able to support him or herself? How can you plan for your child’s care when you are no longer around? That’s where special needs planning comes in.
Before consulting with an expert (this is not a do-it-yourself project) you need to organize your and your child’s financial and medical information. Like many people, you probably have social security numbers, phone numbers, etc. in various places. That is why it is important to have this information in an easy to access place. Click here to see what information needs to be gathered and documented.
The care of your child with special needs is extremely important now, but it is equally important in the future. Deciding how to care for your child with special needs after your death or if you become incapacitated is vital. Here are 5 costly mistakes to take into consideration when deciding how to provide the best care for your child in the future.
Mistake #1: Disinheritance.
Do not rely on government supported care programs like SSI or Medicaid. Although these programs provide some benefits, they provide little more than the essentials to survive. These programs also do not guarantee that your child will be looked after once you are gone or if you become incapacitated. A more trustworthy and viable option is establishing a Special Needs Trust. A trust will provide a strong foundation for your child and guarantees that he or she is cared for. Continue Reading Planning for the Future of a Child with Special Needs Five Mistakes that can Cost you →