In this Substack Live conversation, I was joined by Michael Ringel, CPA, RICP®, CExP™, ChSNC, a Chartered Special Needs Consultant and founder of Strategies for Wealth, to talk about a part of transition planning that families may know is important but struggle to know where to begin: financial planning for adulthood. Michael describes this work as “planning for two lifetimes,” and he’s even written the book about it. Families of children with disabilities are not only thinking about their own retirement and financial security. They may also be planning for the financial needs, supports, and quality of life of a child with a disability long after the parents are no longer here. Together, we talked about when families should begin financial planning, SSI and Medicaid, ABLE accounts and special needs trusts, inheritance and beneficiary decisions, employment and earned income, life insurance, and ways families can begin organizing a plan without feeling as though they have to solve everything at once. Topics We Discussed When Should Financial Planning Begin? (4:25–9:30) Families of children with disabilities often spend years focused on immediate needs: therapies, medical appointments, IEP meetings, school services, and everyday family life. Long-term financial planning can easily remain important without ever becoming urgent. Michael’s advice was simple: start where you are. He used the analogy that the best time to plant an oak tree may have been 20 years ago, but the second-best time is today. Families do not need to wait until they have everything figured out before beginning the planning process. We also talked about the idea of a “default future.” Choosing not to make a financial plan is still a choice. Getting organized allows families to see what they currently have, what may happen if nothing changes, and what they may want to do differently. Age 18, SSI, and Why the Way Money Is Held Matters (9:30–15:00) We discussed why age 18 can be an important financial planning milestone. For individuals applying for Supplemental Security Income (SSI), certain financial resources are considered when determining eligibility. In 2026, the federal SSI countable-resource limit is $2,000 for an individual. That makes it important for families to understand how bank accounts, gifts, inheritances, and other assets are titled and whether they may count as the young adult’s resources. We also discussed well-intentioned gifts from grandparents and other relatives. A gift or inheritance given directly to a person receiving means-tested benefits can have very different consequences from money directed through an appropriately designed planning tool. This is one reason families may want relatives to understand the family’s financial and estate plan before naming a young person with a disability as a beneficiary. ABLE Accounts and Special Needs Trusts (15:00–23:35) Michael helped break down several terms families commonly hear but may not fully understand. A third-party special needs trust is generally created with assets belonging to someone other than the individual with a disability, such as a parent or grandparent. The trust can be designed to hold resources for the individual while helping preserve eligibility for means-tested public benefits. A first-party special needs trust involves assets that already belong to the person with a disability. Different rules apply, including Medicaid payback provisions. We also discussed ABLE accounts, tax-advantaged accounts that allow eligible people with disabilities to save and pay for qualified disability expenses without the account being treated like an ordinary bank account for many means-tested benefit programs. For 2026, the standard annual ABLE contribution limit is $20,000, with some employed account owners eligible to contribute additional earnings under ABLE to Work. Michael emphasized that a special needs trust involves individualized legal planning and recommended working with an attorney who specifically understands special needs and disability-related estate planning. Financial Planning Is Not Only for Wealthy Families (23:35–25:15) One misconception Michael frequently encounters is that special needs financial planning is only necessary for families with significant wealth. His perspective is that planning begins with understanding what a family already has and what they hope those resources will accomplish. That may include savings, retirement accounts, a home, insurance, or other assets. The goal is to get financially organized, identify gaps between the current situation and the family’s long-term goals, and determine which strategies make sense for that particular family. Planning Has to Reflect the Individual (25:15–30:35) Just as transition planning should be individualized, financial planning should reflect the actual needs of the young person. Some adults with disabilities may need significant lifelong paid support. Others may work, drive, live independently, and earn enough that they do not receive SSI but still benefit from assistance managing an inheritance or other financial resources. We talked about the importance of planning for uncertainty as well. A young adult who does not need a particular benefit or support today may have different circumstances later. We also discussed the young person’s involvement in planning. Their role will vary depending on their abilities and support needs, but whenever possible, young adults can understand who will help them, what supports exist, and how financial decisions affecting their future will be made. Employment, Earned Income, and Benefits (30:35–33:00) One of the topics I especially wanted to address was the fear families can have about employment affecting public benefits. The goal should not automatically be to restrict a young adult’s employment simply to preserve the maximum possible benefit. If someone is able to work more, earn income, develop skills, and participate more fully in their community, families should understand the work incentives and benefit-planning options available rather than assuming employment is incompatible with receiving support. Rules vary by benefit and by state, and individual circumstances matter. Benefits planning can help families understand how employment and earnings may interact with SSI, Medicaid, and other programs. Common Financial Planning Mistakes—and the Role of Life Insurance (33:00–43:00) Michael identified one of the most common mistakes as simply not creating a coordinated plan. Families may have retirement accounts, savings, insurance policies, wills, trusts, and other financial pieces, but those pieces do not necessarily work together automatically. We spent a significant part of this conversation discussing life insurance as one possible financial tool. Michael explained differences between term and permanent life insurance and why some families use permanent insurance as one strategy for eventually funding a special needs trust. The larger point was not that one particular product is right for every family. It was that families need to think about how resources will actually reach the person they are trying to support and whether beneficiary designations, estate documents, trusts, insurance, and other assets are coordinated. Individual insurance and financial decisions should be made with qualified professionals who can evaluate the family’s particular circumstances. Two Places Families Can Start Right Now (43:00–46:00) Michael ended with two practical suggestions. First: get financially organized. Gather information about accounts, insurance, savings, estate documents, trusts, and other resources so that you can understand what you already have before deciding what needs to change. Second: create a letter of intent. A letter of intent is not a legal document. It is a practical guide for the people who may someday help support your child. It might include information about: * routines and preferences * doctors and other providers * medications and health in… Get full access to Planning Beyond the IEP at kelleychallentransitions.substack.com/subscribe
