| If you have a child with special needs, you | | | | older adult), but they do for Supplemental Security |
| understandably worry about taking care of their needs | | | | Income (SSI) and Medicaid. SSI eligibility is affected not |
| while you are alive, but also after you have died. A | | | | only by cash and checks paid to a child but also by |
| disabled or special needs parent needs to find | | | | in-kind income in the form of goods and services |
| appropriate care and services, work with the child to | | | | purchased by third parties. The goal is to insure that |
| obtain independent living skills to the extent possible | | | | the child is not disqualified from receiving assets place |
| and protect that child from any harm. This type of | | | | in the child's name at the parents' death or disability. |
| planning involves managing finances and making | | | | Many parents make use of a discretionary special |
| personal decisions in the event of the disability or death | | | | needs trust. This trust document is established and |
| of both parents. A disabled child may need the parent | | | | funded by the parents and must clearly state that the |
| to make decisions for that child well into adulthood and | | | | purpose of the trust is to supplement, not to replace, |
| need to look forward to future residential needs, as | | | | funds available from governmental and other benefit |
| well as finding the appropriate caretaker for that child | | | | programs. The trustee must have complete discretion |
| when they are unable to do so. | | | | to use the funds in any way for the beneficiary. In |
| First, one should note that without appropriate estate | | | | addition, the child must not have any legal right to |
| planning, the disabled or special needs child will inherit | | | | access the assets of the trust or the income of the |
| from the parents. Since the child is not able to manage | | | | trust. The trustee chosen must understand the rules |
| the financial assets, this would most probably require | | | | concerning the governmental programs, so as to not |
| the court appointment of a guardian. Such a guardian | | | | make a distribution that will adversely impact the child's |
| would have to request for distributions to be made for | | | | eligibility to obtain governmental assistance. |
| the benefit of the child and account to the court each | | | | It may also be advisable to obtain a comprehensive |
| year. In addition, if the child inherits from the parents, the | | | | professional evaluation of the child's physical, medical, |
| assets that the child is entitled to receive may preclude | | | | social, emotional, education and services needs, if one |
| the child from obtaining certain types of governmental | | | | has not yet been done. This will assist your attorney |
| assistance benefits without the assets being spent for | | | | and financial advisor to refer you to the appropriate |
| their benefit prior to applying for governmental aid | | | | case manager or agencies that service children with |
| programs. | | | | the particular disability that the child has that will be the |
| The area of governmental benefit programs is | | | | most beneficial to the child. |
| complex, as the child may be entitled to one or more | | | | Caring for a disabled child or one with special needs is |
| programs and the requirements are different for each | | | | a 24/7 job. If you are no longer around to do this job, |
| type of program. For instance, unearned income and | | | | you should plan ahead to make sure that your child will |
| ownership of assets do not affect eligibility for Social | | | | obtain proper care and be able to live a life that will be |
| Security and Medicare benefits (when the child is an | | | | the best under the circumstances. |