In order to ensure your child’s future when they have special needs, proper estate planning is a must.
If done incorrectly, or not at all, your child may lose financial security. Here are three considerations to ensure that your child’s quality of life continues long after you are gone.
1. Get his or her housing situated
There are many different options for housing when it comes to a child with special needs. Perhaps you plan on leaving your house to him or her, or you would like to buy a property for your child. Whatever you decide, make sure that you get your child accustomed to the situation before you pass away.
According to the American Association of Retired Persons, it may be detrimental to your child if they must suddenly deal with not only your death but also moving into a new home at the same time. It is best to situate your child in their living situation while they can still receive support from you.
2. Decide how decision-making will work without you
There are different models when it comes to decision-making for your child after you are gone. You may allow your child to make his or her own decisions, with support from a trusted team of people. Alternatively, you may name a power of attorney who will be responsible for the legal and medical decisions of your child. No matter what you and your child decide, be sure to draw up documentation and review it every couple of years.
3. Protect his or her assets
If your child receives any government assistance, it is important that you plan your estate accordingly. By setting up a special needs trust, you can ensure that leaving your child an inheritance will not disqualify them from receiving essential benefits.
Planning for the future of your child early on can help ensure that he or she will receive needed benefits and care once you pass away.