Washington families who have a disabled child often have a special difficulty when planning their estates. Most parents want to preserve some assets for the next generation, but providing money for disabled adult children can interfere with the government benefits that go to disabled people.
For example, if a disabled son requires $100,000 in care every year, Medicaid will pay about 80 percent of that, while the parents pick up the other 20 percent. However, to receive the Medicaid, the son must have no significant assets of his own. This requirement may not interfere with the situation while the parents are alive, but it could be a problem after they pass away. If they leave a large amount of money to him in trust, it could render him ineligible for Medicaid, while also not providing enough to pay for his care for the rest of his life.