How do I plan for a child or grandchild with special needs?

When it comes to estate planning for a loved one with special needs, there are several important aspects to consider. In Hawaii, estate planning for a child or grandchild with special needs requires a careful balancing of their financial independence and needs. One of the first things to do is to determine the amount of financial assistance that will be necessary to provide for the individual’s needs. This should include consideration of current and future resources such as Social Security benefits, Supplemental Security Income (SSI), and any additional resources the individual may receive. For financial security, an ABLE (Achieving a Better Life Experience) account can be established to save for a future of independence, long-term care, and other needs. This is a tax-free savings plan established by a qualified individual with a disability, and it enables them to save money without losing their eligibility for government benefits such as SSI and Medicaid. Additionally, a special needs trust should be created to provide for the individual’s medical care, living expenses, and other needs. This trust can provide funds for things like education, medical care, and recreation that government benefits will not cover. The funds should not be owned by the disabled individual, as this could cause them to lose their eligibility for government benefits. When making estate plans for a child or grandchild with special needs, it is important to consult an experienced estate planning attorney. They can help make sure that all the necessary legal documents are in place to protect the individual’s financial security and provide for their future care.

Related FAQs

Should I name my estate as the beneficiary of my life insurance policy?
What is a revocable living trust?
How can I plan for the future care of my minor children?
How should I select executors for my estate?
What is an estate tax return and why should I file one?
What is probate, and how can I avoid it?
What is a trust protector and what does it do?
How can I protect my assets from creditors?
What happens if I move to another state while my estate is still in the process of being settled?
What happens to my assets if I die without a will?

How do I plan for a child or grandchild with special needs?

Related FAQs

Related Blog Posts