Studies show that more than 15 percent of people aged 5 years and above have special needs.
Having a special needs child is not a choice you make – it comes naturally. While you have limited power over disability, you can do things differently to make life better for this heir or beneficiary- from identifying the best learning institutions to getting medical care for them.
People with unique needs require specialized care and knowledge at all stages of their lives. Furthermore, the family also gets misinformed, with people taking advantage of the situation.
When misinformed, you find yourself making wrong decisions all the time.
Previously, we have seen how tough it is to come up with the best estate plan even when special needs aren’t in the picture. Now, if you have a differently abled person in the picture, it becomes more complex.
There are a few questions that will cross your mind when you have someone who needs special care to include in the plan:
- Where will he live when am gone?
- Who will take care of him/her?
- What services does he need?
- How much do these services cost, and how will they be paid for.
- Does he have the capacity to make rational decisions on his/her own?
These are tough questions to answer when faced with an estate planning task that involves differently abled. We suggest that you engage with a qualified estate planning attorney to get some closure.
The counsel helps you to draft the different documents that will make things work. They also help you understand the government’s role in taking care of your beneficiary and what you require to qualify for the assistance.
Tips to Develop the Best Estate Plan for a Differently Abled Person
Have a Document Showing Your Intentveryon
This document seeks to inform seeks involved in the estate about the heir. The letter talks about how the person is different, the comforts, habits, functional capabilities and so on.
This document doesn’t have legally binding features; rather it works to notify the members that are left behind about the person’s needs and what they need to do.Talk to the estate planning lawyer to guide you on drafting the document the right way. This letter needs to be reviewed and updated frequently to reflect the needs of the person. After every update, try and communicate the changes to the relevant people.
Create a Trust
This is aimed at paying for the distinctive needs of the person. While the government offers assistance to people with special needs, you also need to supplement according to the wishes of the person in the picture.
After setting it up, the next thing is to fund the trust. Try and understand how much is needed depending on the present routine of the heir. Understand that due to a few issues, you might be forced to allocate above what you wanted to.
After you decide on the amount to set aside for the trust:- Don’t opt for less than is needed. If you don’t have enough money to fund it, then go for life insurance or source for funds from other people, such as other family members.
- Don’t go for more than what is needed. This will encourage fraud, instead allows the trustee to distribute the extra funds for the other members of the family.
Once it is set up and you are satisfied with the result, you need to come up with a document that tells the trustee how things should run. It should guide them on the distributions, how much and when to do it. Specifically, point out allocation of the money towards hiring lawyers, estate managers and other experts that can make the process smooth.
Make it Fast
It is a fact that the loved one won’t have the capacity to contest a will in court, which means your estate plan should minimize court dates.
Even when a special needs heir is involved, as long as the case goes to court, a third party will have some say in the succession. And litigation takes time and is tiresome, which makes it good for all those involved if you can make the estate plan perfect.
Final Words
When you have differently abled person in your family or among your beneficiaries, chances are that you haven’t thought the estate planning through with him in mind. Visit your estate planning lawyer to get an idea of what to do and how to do it. Remember, the earlier you start the estate planning process the better.
