Most parents make a Will so their children are looked after if something happens to them. When your child has special educational needs or a disability, that job is bigger. A standard will that splits everything equally between your children can cause real problems for a young person who relies on benefits or who won’t be able to manage money on their own.
At Beaulieu Wills & Estate Planning, we help families of SEND children put the right arrangements in place so their son or daughter stays protected, whatever happens. These are the areas we look at with every family we work with.
Protecting Your Child’s Benefits
Many disabled adults depend on means-tested support such as Universal Credit or help with housing costs. These benefits take account of how much savings and capital a person holds. If your child inherits a lump sum outright, it can reduce or stop those payments until the money has been spent, and it can also change how much they’re asked to pay towards their care.
Disability Living Allowance and Personal Independence Payment aren’t means-tested, so an inheritance won’t reduce them. The risk lies with the other support your child may need as an adult, and it’s easy to overlook when a will is written in a hurry.
The usual answer is to leave your child’s share in a carefully worded trust rather than to them directly. The trustees you choose can then use the money for your child’s benefit, paying for things like specialist equipment or a family holiday, without it counting as your child’s own capital. We’ll explain which type of trust suits your family, including trusts designed specifically for disabled beneficiaries.
Keeping Your Child’s Inheritance Safe
Sadly, a young person with additional needs can be an easy target once their parents are gone. People they trust, sometimes even family, may pressure them into handing money over, and once it has gone it is very hard to get back.
A trust helps here as well. Because the money is held and managed by trustees instead of being paid straight to your child, nobody can talk them into signing it away. You decide who the trustees are, and you can leave a letter of wishes setting out how you’d like your child to be supported.
Getting Ready for Your Child’s 18th Birthday
While your child is under 18, you can make decisions for them as their parent. That authority ends on their 18th birthday. If your child lacks the mental capacity to manage their money or make decisions about their welfare, you won’t automatically be able to act for them as an adult, even for something as routine as running their bank account.
Someone who lacks capacity can’t make a Lasting Power of Attorney, so the route is usually an application to the Court of Protection for you to become their deputy. These applications can take many months, so it pays to start well before your child turns 18. We’ll guide you through what’s involved and help you get the timing right, so there’s no gap in who can look after your child’s affairs.
Choosing the Right Guardians
If both parents die while a child is under 18, the guardians named in your will take on parental responsibility. That’s a big decision for any family. For a SEND child it matters even more, because a guardian needs to understand your child’s needs and routines and be ready for what may be a long-term commitment.
If you haven’t named guardians in a valid will, the decision could be left to the courts. We’ll help you think through who is best placed to take on the role, name a back-up in case your first choice can’t, and record the practical information your guardians would need from day one.
Life Assurance for Your Child and Their Guardians
Caring for a child with additional needs often costs more, and it can limit how much a carer is able to work. Guardians who step into that role may need financial help to do it well, perhaps to adapt their home or cut back their hours.
The right life assurance can provide for your child and give their guardians the means to care for them properly. Written into trust, a policy pays out to the people you intend, usually more quickly and outside your estate. It can also be arranged so the money isn’t paid to your child directly, which protects their benefits.
Protection for You As Parents
Your child relies on you, so your own health and income are part of their security. Life cover makes sure the family isn’t left struggling if one of you dies. Critical illness cover pays a lump sum if you’re diagnosed with a serious illness covered by the policy, giving your household breathing space while you focus on getting better. We’ll review what you already have and help you close any gaps.
Lasting Powers of Attorney for Both Parents
Many couples assume that if one of them became unable to make decisions, perhaps after a stroke or a serious accident, the other could simply step in. That isn’t how it works. Without a Lasting Power of Attorney, your partner has no automatic right to manage your bank accounts or make decisions about your care, even if you’re married.
For SEND families, the impact is far greater. The parent left would be caring for your child alone while also trying to look after you, and would face the cost and delay of a Court of Protection application just to deal with your finances. Putting LPAs in place for both parents, covering property and financial affairs as well as health and welfare, takes that weight off their shoulders.
Talk to Us About Your Family
No two families are the same, and there’s no off-the-shelf plan that works for every SEND child. We’ll take time to understand your child and your circumstances before recommending anything, then put together arrangements that fit.
To arrange a conversation with Ian Nicholson, call [PHONE NUMBER] or get in touch through bwep.uk.