AT THE AGE OF 14 AND A HALF your child will become eligible for transition services through your responsible public school district and/or special education cooperative. The transition years, between your child's age 14 and a half and your child's age 22 (or older in states that permit youth with disabilities to remain in the school system longer). Your child will make the strongest entry into adult life if her/his transition services are geared towards obtaining employment after high school.

AS YOUR CHILD APPROACHES 18, it is important to amass the evidence that your child's disability significantly impacts her/his capacity to work because the definition of "having a disability" that Social Security, Medicaid and other government programs use hinges on the applicant's capacity to work. It is critical, therefore, that your child's documents present accurately her/his need for supports and accommodations. It is perfectly possible, with descriptive language, to present in these documents, both your child's strengths and her/his support needs. For example, the IEP may state that:

AT AGE 18, then, you will want to help your child apply for benefits. Typically, it is difficult for children under the age of 18 to qualify for disability benefits except in cases where the child is severely impacted by the disabling condition and/or a parent is elderly, disabled or deceased. This is because some of the key benefits are "means-tested," meaning in addition to having a disability, one must have low income and few assets to qualify. Prior to age 18, a portion of the income and the assets of the parents are "deemed" to the child and this deeming precludes the child's eligibility. Once the child turns 18, however, s/he can be considered a household of her/his own even if still living with parents. The Social Security definition of "having a disability," which is also the definition followed by most government programs is this. To be eligible, an applicant must have

In 35 states and the District of Columbia, Medicaid eligibility is conferred automatically with SSI eligibility. Nine states use the same eligibility criteria, even though one has to file a separate application. In all states, concurrent SSI and Medicaid eligibility allow a person with a disability to access Medicaid continuation programs even if their income from work or a parental-based benefit (described below) later exceeds the SSI threshold. Even if the SSI cash is not an integral part of the financial plan, the funding for services that comes through Medicaid or Medicaid waiver is generally a critical plan component and worth hundreds of thousands of dollars over the person's lifetime.

BETWEEN 18 AND YOUR STATE'S END-OF TRANSITION AGE you will want to explore adult services to find out which one's your child may want to access, which agencies would be a good fit to provide those services, how much of them will be covered by your state's Medicaid waivers or other government programs and how much you may have to pay out of pocket.

WHEN YOU, THE PARENTS, RETIRE and begin to collect Social Security or a pension, you will want to understand how your adult child with a disability may be able to receive benefits based on your work history, either while you are still alive or, at least, if you die. Certain claiming strategies may maximize the benefits for the entire family for the remainder of each person's lifetime, so you will want to work carefully with a financial planner who has experience in this kind of analysis. You will also want to carefully consider how you will fund both your own retirement and long-term care needs and the ongoing support and quality-of-life expenses of your adult child that exceed what government benefits will cover.

Financial planning for your child with a disability is a lifelong project. Plans are most successful when you know what steps to take at each stage of your child's life and when you work together with a planner who understands the complex and sometimes state-specific worlds of government benefits and adult services. •

ABOUT THE AUTHOR:

Alexandra Baig maintains her own national financial planning practice, Companions on Your Journey, and also acts as the Benefits Specialist for Clancy & Associates, a Chicago-based law firm focusing on special needs planning. Alexandra has an MBA from the University of Michigan and her CERTIFIED FINANCIAL PLANNER™ designation and is a member of the Academy of Special Needs Planners. In particular, she is well-versed in the government benefits available to people with special needs and the rules governing them. Her goal is to help people with disabilities and their families make the most of public and private money to live the life they chose.