When children have special needs, California parents usually devote many resources to their care. Sometimes children may need care for the rest of their lives. In this situation, parents may want to set up a trust.
People may sometimes want to establish a supplemental needs trust if their child has special needs. According to U.S. News, this kind of trust usually does not keep special needs children from receiving government benefits but still provides a way for parents to take care of their children for years. Setting up this kind of trust can sometimes be complicated. As parents establish a plan to care for their child, they should usually consider a few factors, such as where their child will live. A special needs trust may not always cover the food and housing a child needs, so it is important for parents to make sure their child will have an affordable place to live. Additionally, parents should also consider whether a family member will act as the co-trustee and make decisions for the child.
It is also important to consider whether a child might need benefits from the government. Sometimes special needs children may be unable to receive these benefits if they have more than $2,000 in a trust. Parents may want to establish a trust plan that allows their child to receive all of the benefits he or she might need. Additionally, parents generally need to consider which company will manage this trust. They may want to work with a company which specializes in this kind of trust.
It is also important for parents to consider a life care plan for their child. According to CNBC, parents should usually sit down and write up all of the important information about their child. This should typically include a child's dietary and medical needs, as well as the social circle this child enjoys. It is also a good idea for parents to write down the financial resources that are available for their child's care. Parents may also want to have a team of professionals in place, such as people who specialize in accounting and estate plans, so it is easier for them to keep track of the assets available for their child's care.