Are you and your family considering a trust for your special needs child? There are numerous trust planning options and financial planning solutions available to assist families with special needs kids. The more you learn about this topic, the better off you and your child will be.
Let's take a look at some special considerations you'll want to keep in mind for your special needs trust:
- Think about the current and future health status of your loved one. Will this person be able to care for him- or herself one day? Will he or she always require assistance and care from another person? When you know how much care your loved one will require, you'll have a clearer picture of how to prepare.
- Put together all the information you have about insurance policies, retirement assets and investment accounts. Will you need to fund your trust with a life insurance policy, or do you have sufficient assets to fund the trust?
- Assemble your dream team of professionals. This team will likely include an estate planning lawyer, a financial planner, a special needs consultant and an accountant. Ask family and friends for recommendations, and be sure to search reviews online before deciding on the professionals you'll hire.
If you don't plan your special needs trust the right way, your best-laid plans could lie in ruin – and your child might not receive the kind of care and protection you're hoping for. It's certainly a beautiful feeling when you know that your special needs child will be cared for in the event of your death or incapacitation. Sound, strategic and custom-tailored planning are essential.
Source: CNBC, "How to set up a special needs trust," Mark Henricks, accessed Nov. 23, 2017