Estate plans are always important to have. It is especially important when you have children to take care of. As a parent to a special needs child, you have to think about what he or she will do when you pass away. How will he or she have his or her needs met?
Your estate plan, according to Forbes, can include your wishes for your children after you pass away.
Can I set up a trust for my child?
You can always set up trusts for your children. A trust for special needs children ensures that they will have the care that they need after you pass. This money can go towards housing, bills and even education. Now, when setting up a trust, you do have to consider whether your child will have government benefits. Do you plan to support him or her in everything or do you want the government to help? What you decide will dictate the type of trust.
Will my child lose his or her government support?
If your child will receive government benefits, you must keep in mind that there is an income requirement. He or she cannot make over a certain amount of money or he or she will be ineligible for assistance. Some parents choose to disinherit a child completely in hopes that he or she will not lose government benefits. You do not have to act this callously, however. Likewise, you do not want to leave the responsibility in the hands of your other children. A special needs trust can supplement the government benefits.