Her Son Has Autism. Will He Be Financially Secure After She Dies?

Who are the best long-term trustees? Leslie has established a separate trust for Max that will hold life insurance proceeds, the title to her apartment and any other assets remaining after her death. But she worries about who will succeed her as trustee. Neira suggested working with a nonprofit such as The Arc, the AHRC NYC Foundation or Cumberland Trust, all of which operate trusts for people with disabilities. Leslie would then name a friend or family member as a trust protector to preserve her vision for Max. Some of these organizations keep assets for multiple beneficiaries in one investment pool, but Leslie could have The Arc manage Max’s trust separately, giving her and her successor more control over its investments.

Will Max have enough money for the life Leslie wants for him? To answer that, Neira studied Leslie’s finances. Her assets: an untapped annuity of $220,000, a $250,000 insurance policy and her $440,000 home. Her liabilities: $23,000 in credit card debt and a $130,000 mortgage. Neira estimated that Leslie, who works part-time as a substitute teacher, could spare $1,000 to $3,000 of her cash flow per month, depending on fluctuating health care expenses; Leslie should pay off the credit card debt with that money, Neira said, then build up an emergency cash fund in a savings account. If Leslie and Max’s medical costs rise significantly, she may have to tap her annuity. But even if she does, there should be enough money to support Max.

The Outcome

“I’m absolutely going to pay down the credit card debt first,” Leslie says. Then she’ll split her savings between an emergency account and, to help cover apartment maintenance, the trust she set up. She will also explore The Arc. Leslie feels good now about Max’s future. “When I was younger, my answer was: I’ll just keep working,” she says. “To have a plan is a lot better.”