Financial Planning: Establishing a Life Care Plan for a Disabled Child

Parents with children who are mentally or physically disabled often worry about the long term care of their children, especially in the case of the parent's death. Unfortunately, in most cases, parents who struggle with these child planning issues, often, hope for death of the child before their own death but only because the parent struggles with the anxiety associated with ensuring the best care for their surviving disabled child.

Planning for a disabled child's future, without a parent, can be an anxious filled event for the parents. However, it is necessity and part of a life care plan for the disabled child. When preparing for a life care plan for your own disabled child, there are three key areas of focus that should be addressed to ensure your disabled child is given proper care in the event of your passing.

First, your disabled child's life care plan should outline a key individual who will assume responsibility for the disabled child's needs. This is certainly not to say this person will assume all financial responsibility but, instead, will assume control and Power of Attorney, making financial and medical decisions for your disabled child.

Secondly, the life care plan for the disabled child should outline the expected living arrangements whether it is to live with the person who is the new caretaker, reside in a group home or even move into a residential facility. Beyond this, some disabled children are even permitted and provided independent living, with a secondary residential plan put into place.

And, finally, the life care plan of the disabled child, in the event of a parent's death, should outline the details of the financial arrangements of the child. While most disabled children are provided for Social Security assistance, the life care plan should detail each and every account of the anticipated income of the disabled child, including the sources of such income, in addition to the expected monthly expenses. Copies of all insurance documents and legal forms should be made readily available.