Ask the Expert: Monetary Gifts to Children with Special Needs
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 Question: I have a family member that wishes to help support our family financially by gifting money to our child with special needs. What should I be concerned about when receiving financial gifts? Answer: Small acts of generosity on birthdays, holidays, or when an unexpected event occurs could be beneficial. But when a large monetary gift is received - whether given outright, left in a will, or are proceeds of a life insurance policy - it may cause a person who receives government benefits to become ineligible for those benefits. Wills should be carefully written and a trust fund may be considered. The fund is not owned by the person (because the assets would increase income and jeopardize government benefits), but rather, it is set up to benefit him or her. For more information on ways to accept such generosity without adverse effects; or how to provide a financial gift to a beloved family member(s) with special needs, feel free to contact Miceli Financial Partners Special Care Planning Team. A financial planner is one component of a team of advisors a family with special needs should have; along with the collaborative efforts of service providers, doctors, therapists, CPAs, and attorneys. When faced with specific issues, families should turn to the professional advisors that specialize in the matters they are addressing. A financial planner's role is identifying and addressing all the financial concerns, hopes, dreams, and goals in relation to the vision they have for themselves and their children. One of the largest concerns for families with special needs is providing financial support beyond the lifetime of the parents. In addition, parents are often overwhelmed financially with providing for their children with special needs and fail to address other financial concerns such as their own retirement and the financial well-being of other children. A financial planner specialized in working families with the special needs can take into account what government benefits or other financial resources are available, understand the current and future type of care parents wish to provide their children, calculate the cost of care, and strategically plan how to provide for the financial well-being of themselves as well as their child with special needs given the resources available. In addition, a critical component for any family with special needs is drafting special needs documentation, such as a special needs trust. Drafting of these documents is the role of an attorney. Having a special needs trust, unlike other types of trusts, allows a family to provide financial assets for the benefit of the child. By sheltering these assets within a special needs trust, it ensures the preservation of eligibility to receive certain government benefits (Supplemental Security Income, Social Security Disability Income, In Home Supportive Services, etc.). When choosing an attorney, families should always make sure the attorney is experienced in working within the special needs community, understanding their unique situation, and have the capability of properly drafting suitable special needs documents. Information provided by:
Miceli Financial Partners Special Care Planning Team |