Financial Issues Related to Special Needs Planning

Serving Families & Their Loved Ones throughout the Chicagoland Area Including Linconshire, Libertyville, Lake County and Cook County, IL.

If you have a special needs child or are the caretaker of a special needs adult in IL, you have a lot of special financial considerations to work into your financial plan. Instead of simply saving for college, purchasing life insurance, or saving for retirement, you will need to also explore financial options to save for the future of that child or special needs adult.

To begin figuring out how much money you need to save for your child, first consider the child’s normal monthly expenses, and any expenses you know you will be incurring in the future, for special educational opportunities or for future medical expenses. Although you may be alarmed at the amount of money you will need in the future, keep in mind that you could fund this through life insurance, which may be affordable. You will also need to look into governmental benefit programs that your child will be eligible for in the future (more on that below).

Unfortunately, the majority of parents of special needs children do no financial or legal planning to plan for the child’s future. That lack of planning can have devastating results for the child – a child may be left without a guardian or a trustee to manage the child’s daily life or financial funds if a parent were to pass away unexpectedly; a special needs individual may be disqualified from receiving government benefits; and the child may miss out on educational or other financial assistance. Many parents are under the mistaken assumption that financial planning is only for rich people, or they may be so overwhelmed with caring for their loved ones that they simply don’t take the time to plan for the future.

Parents of special needs children must take the time to sit down with a financial planner to discuss options for their child’s future. Financial planning is not only for affluent people, and there may be experts in your area who are willing to give you a free consultation. Small steps taken towards securing your loved one’s future now can reap huge benefits later.