Every family attempts to protect itself financially, but when there is a child with autism involved, this protection becomes much more critical. Mom and dad find they are making decisions that affect the “here and now,” as well as the distant future.
When you are young, you think you will live forever. Everyone realizes her own mortality at a different age, but it doesn't usually happen when a person is in her twenties. However, that is the time when life insurance is less inexpensive and easy to acquire.
A staggering number of parents find themselves widowed with small children, and out of those, a large number of them have no life insurance to fall back on. Imagine a woman who has lost her husband very unexpectedly who has been staying at home with the kids and has no financial resources available. It is as scary as it sounds. Social Security will pick up the burden for a time. for the children, and you may qualify for Supplemental Security Insurance or another form of state aid, but these are not long-term solutions.
One of the smartest investments you can make when you have children, especially if a child is disabled, is to purchase as much life insurance as you can afford. When you are young and healthy, the rates are much lower than if you wait until your late thirties or forties to purchase a policy.
IRAs and Other Funds
Parents can, through their employer, set up various financial plans that should protect and increase their money over the years. IRAs and other retirement plans may be able to protect a family in different ways. Tax benefits can be seen immediately, and funds will be available to provide for family members upon retirement or in the case of an unexpected death. IRAs supersede the will, so be certain you keep your beneficiary or beneficiaries updated.
Every state differs in regulations regarding financial matters. Financial planning is a complex subject with many pitfalls for the uninformed. If you are planning to set up a portfolio for your family's security, consult with an accountant and estate-planning attorney for the best course of action. You will be preparing not just for your lifetime, but for your child's lifetime as well.