Understanding Special Needs in Children
Nearly 1 in 5 children in the U.S. (about 19.4%) have special healthcare needs, ranging from physical and developmental to behavioral or emotional conditions. These children often require more medical and educational support than others, making it essential for families to plan carefully for their future care and financial security. For example, specific learning disabilities affect 32% of children receiving special education services, speech or language impairments account for 19%, and autism affects 13%. Proper planning ensures that these children receive the long-term care they need while protecting their eligibility for crucial benefits like Medicaid and SSI.
Benefits of Special Needs Estate Planning for Children
When families with special needs children engage in comprehensive estate planning, they significantly benefit in terms of financial security and maintaining eligibility for crucial government programs. Here’s a breakdown of key outcomes and benefits:
Maintaining Government Benefits: Nearly 88% of families that consult professionals include a Special Needs Trust (SNT) in their plans, ensuring their children remain eligible for Medicaid and Supplemental Security Income (SSI). Without these protections, assets directly left to a child could disqualify them from receiving such benefits, jeopardizing their long-term care needs.
Financial Stability: Families that create financial plans for their special needs children are able to secure resources for future care. However, only 25% of families have an SNT in place, highlighting the need for greater awareness about the importance of estate planning for special needs children. Properly structured plans prevent disruptions in care, allowing funds to be used for supplemental needs like therapy, education, and personal care.
Guardian and Trustee Appointments: Estate planning allows families to legally appoint a guardian or trustee to manage the child’s needs if the parents become unable to do so. Around 49% of families now designate guardians in their plans, up from 53% in 2005, which significantly reduces the risk of disputes over the child’s care and financial decisions.
By working with estate planning professionals, families ensure that they not only preserve eligibility for benefits but also secure the necessary financial support and legal protections for their children. Families who opt for professional guidance see a much higher success rate in creating comprehensive plans tailored to their child’s unique needs.
Who It's For
What's Included
Designed specifically to support children with disabilities, a Special Needs Trust protects assets meant for your child’s care while maintaining their eligibility for public benefits. The trust can be used for additional medical care, therapies, education, and life-enriching activities that may not be covered by Medicaid or SSI.
This document names a guardian for your child who will step in if you are no longer able to care for them. The guardian will have legal authority to make personal, medical, and educational decisions on behalf of your child.
This non-binding document serves as a guide for future caregivers. It outlines important details about your child’s daily routine, preferences, medical history, and personal care needs, providing insight into how to best care for them.
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These documents ensure that someone you trust can make medical decisions on behalf of your child if they are unable to do so themselves. It also provides someone with the authority to manage financial decisions.
Includes additional strategies to ensure your child has access to necessary educational resources and specialized medical care. This includes provisions for therapies, assistive technologies, and other supports critical for their development.