1 in 5 Americans Have a Disability
Supporting Loved Ones with Special Needs Takes a Different Kind of Plan
Getting Started
When most people plan for retirement, they think about supporting one or two individuals for 25 to 30 years. But for families with a loved one who has special needs, planning often involves preparing for a lifetime of care and support that may extend well beyond the typical financial planning horizon.
Instead of focusing solely on raising children until they achieve independence, families with special needs must also consider how to provide long-term supplemental income, often for decades, while preserving eligibility for government benefits. Planning for this kind of future is not only more complex but also more emotionally charged. The cost of care can vary significantly depending on the individual’s condition, and families must prepare for a wide range of needs, including medical emergencies, specialized equipment and services, caregiving support, and more.
All of this must be thoughtfully structured to avoid jeopardizing eligibility for essential public benefits like Medicaid and Supplemental Security Income (SSI).
A Personal Mission, A Professional Commitment
For Jason Welch, Vice President of WWK, it’s much more than business, it’s personal. As a father of a child with special needs, Jason’s journey into this specialized area of planning began with his own family. His desire to provide the best future possible led him to pursue the Chartered Special Needs Consultant® (ChSNC®) designation from The American College —the only credential focused solely on the financial planning needs of individuals with disabilities.
Jason completed the rigorous program to support his own family and now helps others navigate everything from government benefits and special needs trusts to long-term care and legal protections.
With real-life insight and professional training, Jason’s goal is simple: to help families like yours confidently plan for the road ahead, one step at a time.
Feeling Overwhelmed? Start here.
The planning process is complex, filled with acronyms (SSI, SSDI, SNT, ABLE, LOI, POA) and unfamiliar decisions. It touches every area of life—social, financial, medical, and legal.
But here’s the good news: you don’t have to tackle it all at once. In fact, you shouldn’t.
The best approach to this journey is to break it into manageable steps. Start small. Set realistic goals—perhaps one task each month. Over time, these small actions will build a more complete and secure plan. Many of these steps must be revisited periodically as your family’s needs evolve. We’re here to walk with you through each phase, ensuring that no detail is overlooked.
Here are some of the most important starting points:
LIFE PLANNING: Coordinate educational goals, therapies, and daily routines based on your loved one’s unique needs, preferences, and strengths.
Take a step back and look at the big picture. What activities does your loved one enjoy—or avoid? Are there special considerations for unfamiliar experiences? What would their ideal vacation look like? Think through a typical week: which routines bring comfort? What foods are favorites, dislikes, or must be avoided?
These insights help shape a comprehensive Life Plan—also known as a Life Care Plan or Letter of Intent—designed to document important details about your loved one’s life. This living document helps guide future care decisions and should be reviewed annually to reflect any changes and support ongoing happiness and well-being.
ESTATE PLANNING: Ensure your will, trusts, and other legal documents are aligned with your family’s long-term needs.
As children with disabilities approach adulthood, establishing trust is often essential, especially when assets are involved. A Special Needs Trust (SNT) is often the best solution. SNTs protect eligibility for benefits like SSI and Medicaid by keeping assets out of the beneficiary’s name, while still allowing funds to be used for their care. They also shield assets from immediate Medicaid claims. There are three main types of SNTs:
First-Party SNT: Funded with the individual’s own assets (e.g., lawsuit settlements or inheritances). Also called a “Payback Trust,” any remaining funds after death must be used to repay Medicaid.
Third-Party SNT: Funded by parents, relatives, or others. These trusts are not subject to Medicaid payback, making them ideal for family gifting or inheritance planning.
Pooled SNT: Managed by a nonprofit, this option is typically used when assets are modest. Funds are pooled for investment, but each beneficiary has a separate account. Medicaid payback is required, and any remaining funds stay with the nonprofit.
Request our Government Benefits and Estate Planning Brochure!
ENTERING ADULTHOOD: Plan for legal, educational, and lifestyle changes as your loved one gains independence and requires new services.
When your loved one with special needs becomes legally recognized as an adult, typically 18 years old, it is a major life transition. While some childhood benefits may end, new opportunities can begin. It’s important to understand that once your child becomes a legal adult, you may no longer have the authority to make financial, medical, or personal decisions on their behalf without proper legal arrangements in place.
Planning ensures your loved one can continue living a fulfilling and supported life. Whether you are years away from this transition or navigating it now, these questions can help guide your planning:
- Can your loved one make independent personal, financial, and medical decisions?
- Will they pursue further education or job training?
- Are there housing or transportation needs to consider?
- What hobbies, social activities, or community involvement bring them joy now—and what might in the future?
- What are your long-term hopes for their care, especially when you’re no longer able to help directly?
Creating a thoughtful plan now lays the groundwork for a smoother, more empowering transition into adulthood.
GOVERNMENT BENEFITS: Tax-advantaged savings designed for individuals with disabilities.
If your loved one is unable to work at a level that sustains themselves, then securing disability benefits is crucial. The cost of lifelong care can be substantial, so planning for eligibility in government programs is essential to ensure your loved one’s future well-being.
Key Government Programs Your Loved One May Qualify For:
- Social Security Disability Insurance (SSDI): Disabled adult children may qualify for SSDI based on their parents’ work records. The parent must be retired, disabled, or deceased and have earned enough Social Security credits to qualify.
- Supplemental Security Income (SSI): Provides financial assistance to disabled individuals with limited income and resources.
- Medicaid: Offers healthcare coverage to low-income individuals, including those with disabilities. Eligibility criteria for Medicaid vary by state, but many offer coverage to individuals who receive SSI benefits.
- Medicare: Available to individuals receiving SSDI benefits after a two-year waiting period.
- Dependent Benefits: Disabled adult children may be eligible for dependent benefits if their parent receives Social Security retirement or disability benefits.
- Work Incentives: Government programs that support disabled individuals wishing to work while maintaining their benefits or transitioning into the workforce.
ABLE ACCOUNTS – Explore eligibility for SSI, SSDI, Medicaid, and other essential programs.
ABLE (Achieving a Better Life Experience) accounts were established under the Stephen Beck, Jr. ABLE Act of 2014 to help individuals with disabilities save for the future without losing eligibility for essential government benefits.
Funds in an ABLE account grow tax-free and can be withdrawn tax-free when used for qualified disability expenses such as housing, healthcare, education, and other basic living costs.
Individuals can have only one ABLE account, and annual contributions are generally capped at $17,000. Additionally, 529 plan rollovers are permitted. These accounts were designed to ensure that an individual’s eligibility for government benefits remains unaffected. However, SSI benefits will be suspended if an individual’s total resources, including their ABLE account, exceed $100,000.
To open an ABLE account, the individual must have a disability that began before age 26 and meet one of the following:
- Be entitled to benefits based on blindness or disability under Title II
or XVI of the Social Security Act, or - Have a licensed physician’s diagnosis of a qualifying disability or blindness
- Have a condition on the Social Security Administration’s Compassionate Allowances list
For more information, visit the ABLE National Resource Center.