Stress-Free IEP® with Frances Shefter, Episode 77
In this episode of Stress-Free IEP®, Frances Shefter speaks with Michelle Letterly, a financial advisor specializing in helping families with special needs children. Michelle shares advice on budgeting, insurance, and protecting children’s benefits.
Episode Summary:
Introduction:
Frances Shefter welcomes Michelle Letterly from Primerica’s Letterly Group, an experienced former special education teacher and current finance professional who supports families with neurodiverse children. Michelle has transitioned her skills from education to finance, specializing in guiding families through budgeting, insurance, and investment planning, particularly for children with disabilities.
Financial Planning for Special Needs Families:
Michelle emphasizes the importance of financial strategies tailored to families with special needs children, explaining foundational steps like budgeting, debt elimination, and insurance planning. She advocates for term life insurance to avoid the cash-value policies that can jeopardize eligibility for state or federal benefits. To ensure financial security, she advises parents to consider special needs trusts over naming children as direct beneficiaries, which can protect assets from disqualifying children from benefits.
Planning for the Future:
Highlighting the high cost of raising a child with autism compared to a neurotypical child, Michelle discusses the necessity of planning for different possible futures, especially for children who may require lifelong support. She advises parents to build a financial buffer that could support ongoing therapy, adaptive equipment, and care services, ensuring continuity if parents are unable to provide it.
Insurance for Children:
Michelle explains the importance of securing life insurance policies for children early, as diagnoses like autism or other conditions can later make them uninsurable. This ensures funds are available not only for potential funeral expenses but also to allow grieving parents some time off work if necessary.
Additional Financial Tools and Considerations:
Michelle also mentions other financial vehicles, such as ABLE accounts, which allow families to save without impacting benefits, and 529 college savings plans that can fund other educational expenses. She stresses the need to understand each tool’s benefits and limitations, including how state-specific plans can vary.
The Realities of Caregiving and Vacations for Special Needs Families:
Michelle shares personal anecdotes illustrating the logistical and financial challenges of planning outings and vacations with neurodiverse children. She explains that the costs associated with necessary support, adaptive equipment, and extra assistance can add up, making financial planning even more essential.
Preparing for the Unexpected:
Michelle underscores the necessity of preparing for unexpected events, from natural disasters to medical emergencies, by having insurance and detailed care plans in place. She suggests creating a comprehensive manual for caregivers detailing everything from emergency contacts to daily routines and preferences, ensuring continuity of care in the event of parents’ absence.
Conclusion:
This episode underscores the critical importance of thorough financial and legal planning to secure a stable future for neurodiverse children. Michelle’s advice offers families practical guidance on safeguarding benefits, reducing financial strain, and planning for various scenarios that may arise in caring for a child with special needs.
Learn more about Michelle Letterly:
***************************************************
Stress-Free IEP®:
Frances Shefter is an Education Attorney and Advocate who is committed to helping her clients have a Stress-Free IEP® experience. In each podcast, Frances interviews inspiring people to share information, educate you, empower you and help you get the knowledge you need.
Watch more episodes of Stress-Free IEP®:
Connect and learn more from your host, Frances Shefter:
