Financial Planning With A Disability: How To Secure Your Future

 By Ed Carter

 

Photo via Pixabay by Stevepb

 

Financial planning can be stressful for anyone, especially when it comes to making sure the future is secure. When you’re living with a disability, however, it’s important to take many factors into consideration. You’ll want to make sure your family is well taken care of, and that you will be comfortable and healthy no matter what your future needs are. Of course, you also need to think about how best to ensure your physical and mental health are in good shape now, since that will affect you down the road. This includes everything from how safe your home is to how well you’re able to care for yourself by utilizing a healthy diet and exercise routine.

 

It’s also crucial to take a look at your health insurance policy and think about life insurance if you don’t already have it. These tools can help you cover costs associated with your care when it comes to the doctor, dentist, or mental health care provider, but they can also help your family members pay for medical bills or other debts in the event of your death. This will give you peace of mind as you prepare for your future.

 

Here are a few things to think about when it comes to financial planning with a disability.

 

Understand your insurance options

 

Life insurance does much more than take care of end-of-life costs; it can also help your family members pay medical bills or other debts, and will help them stay secure in the event of your death. With a term life insurance policy, your monthly premium stays the same no matter how long you carry it. These often come in 10-, 15-, 20-, or 30-year policies, so look online to get an idea of the best option for you and to compare pricing.

 

If life insurance is too expensive or you’re having difficulty finding a policy that suits you, you should at least consider burial insurance. This type of insurance will cover funeral costs and can also be used to pay off credit cards and debts from medical bills.

 

Medicare does not cover long-term care, so another type of insurance to consider is long-term care insurance. The earlier you purchase long-term care insurance, the cheaper your premiums will be.

 

Start saving

 

When you’re living with a disability, your needs may change over the course of a year. You might find that you require different equipment, or your dietary and workout routine may need to be altered. Sometimes, these changes can affect your budget, so it’s a good idea to start saving now for whatever the future may hold. Open up a savings account that is solely for your health needs, and deposit a little every week or every two weeks. Even if it’s only $10 or $20 at a time, it will add up over the course of a year, and will give you peace of mind that you’ll be able to cover the cost of the things you need outside of your insurance policy.

 

Look into Medicare

 

There are some instances where individuals under the age of 65 qualify for Medicare due to disability, so it pays to find out what your options are. If you have been receiving disability benefits for 24 months, you will automatically be enrolled in Medicare Part A (which covers hospital stays, inpatient care, and some hospice care) and Medicare Part B (which covers doctor’s visits and comes with a copayment requirement). Depending on your circumstances you may require alternative coverage. A Special Needs Plan, a type of Medicare Advantage plan, can provide expanded Medicare coverage, which is extremely helpful for individuals with specific disabilities, plus these plans help pay for things like eye exams and dentist visits, which are typically not covered under Parts A or B.

 

Make changes to your home

 

Living with a disability often also means making some alterations to your home and environment for your safety or comfort. Changes such as installing a ramp over outdoor steps, adding grab bars to the bathroom, or even just decluttering to improve the neatness of walkways and decrease the risk of a fall can all be helpful in making sure your physical health is a priority. This, in turn, will ensure that you won’t have to spend a lot of money down the road to make big, expensive modifications to your home when you want to age in place.

 

Of course the costs of modifying your home can add up. If you’re a homeowner, check with a local lender to see if refinancing is a realistic option. Refinancing could provide you with some extra cash that you can use to make accessibility improvements.

 

Financial planning can be stressful, so it’s crucial to make sure you plan well and take care of yourself throughout the process. Get support from your friends and loved ones, and think about which changes and tactics will work best for your specific needs. With some careful preparation, your financial future will be secure.