Parents with children that are diagnosed with autism or special needs would only want what's best for their child. One of the things that needs to be foreseen however is the cost of aftercare, especially when the parents are no longer available to tend for their child.
Some circumstances are unpredictable, such as accidents, which can happen in an instant. For parents that are raising children with special needs, one of the biggest things to consider is their future when you are no longer able to look after them.
Today's Parent noted that raising a child with special needs can oost up to $5000 per year on health care alone. Some parents however are said to spend a total of $10,000 to $20.000 for their child's expenses.
Bank Rate shed a light to this question as Mitch Tuchman from Rebalance IRA opens up about his plans for his child's future. Mitch's son is diagnosed with Pitt Hopkins Syndrome, which gives his 19 year old son a mental capacity of a one year old child.
"The big thing on our minds and the minds of other parents with a disabled child: When we are unable to physically take care of our child or when we are 6 feet under, how is it going to work?" Mitch Tuchman, managing director at Rebalance IRA, says.
It was highlighted that parents should start investing for their child as early as possible. Adam Beck, assistant professor of health insurance and the director of the Mass Mutual Center for Special Needs mentioned that aside from getting proper diagnosis, parents should also consider having a special needs trust fund.
A person with special needs might get adequate support from the government, including the Social Security Disability Insurance, but it is still subjected for approval. Setting up a trust fund however can be used for payables that are not covered by the government.
Aside from the child with special needs, parents should also prepare for the entire family's future finances. David Smith noted that as a parent, you should prepare for the future as early as possible, and while you are still able.
"A special-needs family can easily drain all of its savings," Wealth Strategist Adviser David Smith says. "You are going to be 20+ years older than the child, and the worst thing is getting to the point where you are too old to care for your child and you don't have enough money to pay someone else to care for him."
