Are you nearing retirement age? Are you beginning to think about the future? Do you have a disabled child to take into consideration?
If you answered yes to these questions, you know you are faced with a variety of challenges. While you may not know exactly what you are doing, there are some steps you can take to improve your situation and ensure that your child is taken care of in the future.
Here is the primary challenge of retirement planning with a disabled child in mind: You need to plan for two futures.
The most important thing you can do is make sure that your savings and investments will last as long as possible. Along with this, it’s a must that you don’t make any mistakes that could jeopardize your child’s eligibility to receive government benefits.
In the future, more and more parents in this position will consider the benefits of a 529 ABLE account. With this, parents are able to add $100,000 in assets to the account without concerns about jeopardizing a person’s eligibility for government benefits.
At this time, more than 40 states are on board with ABLE programs, with Nebraska set to offer the accounts in the near future. You have a lot on your mind when it comes to retirement planning, and this definitely holds true if you are trying to plan for the future of a disabled child.
Fortunately, there are steps you can take today to ensure that you are making the right decisions. Don’t hesitate to learn more about all your options and consult with a legal professional if necessary.
Source: MarketWatch, “Parents of special needs children plan for two futures,” Elizabeth O’Brien, July 07, 2016