Presentation Transcript

1. Presents

   Planning for Divorce when there are Children with Special Needs With Beth C. Manes & Jamie Von Ellen
2. INTRODUCTION www.specialneedsplanners.com 80-85% of marriages where there are special needs children born of the marriage, end in divorce There needs to be constant education between the special needs bar and the matrimonial bar.
3. FIRST CONTACT WITH CLIENT Planning or guardianship client getting divorced. Divorcing client in need of planning or guardianship. Timing of involvement. Ideally, at the beginning of the process.
4. SHARING VOCABULARY WITH MATRIMONIAL ATTORNEYS Child: an individual who is under 18, or under 22 attending school regularly who is not married or head of household (POMS SI 00501.010, SI 00501.020) Adult child: a son or daughter who is no longer a child (POMS SI 00830.420A.5) Child support: payment from a parent to or for the benefit of a child to meet the child’s needs for food and shelter (POMS SI 00830.420A.1) Custodial parent: the parent who has care, guardianship, or custody of the child (POMS SI POMS SI 00830.420A.6)
5. FAQ:What issues do we need to address with respect to our special needs child and our divorce? First step is to identify the specific needs of the child. Try to project into future. A life care plan is an excellent place to start. Educate your client about the divorce process and how the child’s special needs will affect it.
6. ISSUES AFFECTED BY A CHILD’S SPECIAL NEEDS Custody and timesharing Child support Alimony Private education Health insurance Emancipation Life Insurance Dependency Exemptions Equitable Distribution
7. CHILD SUPPORT AS INCOMEWhose income is it? Payments made on behalf of the child are unearned income to the child, which will reduce SSI payments dollar for dollar. Payments for an adult child received by the parent and not given to the child are considered income to the child. (This may vary by state.) Payments given to an adult child is income to the child.
8. CHILD SUPPORT AS INCOMEWhat about in-kind support payments? 1/3 of the amount of child support that is received in the form of food and shelter is excluded from income the remaining 2/3 is considered ISM (POMS SI 00835.350C) any in-kind support payment that is not food or shelter would not be income to the child (POMS SI 00830.420 B 2)
9. CHILD SUPPORT AS INCOMEProtect child support by assigning it to a trust. assignment must be irrevocable have the court order it both court order and trust should be reported to Social Security (and Medicaid if the child is receiving Medicaid)
10. FAQ:How do we address support if our child may never be emancipated? Best addressed prior to final JOD. Plan for worst case scenario. New Jersey case J.B. v. W.B, decided August 20, 2013.
11. FAQ: How should I title the beneficiary designation of my life insurance policy? Third party special needs trust is the best way to go, if possible. Can be same trust for both parties’ policies. Discuss trustees.
12. FAQ: If our child is never emancipated, who will make decisions for him? Try to incorporate guardianship into final divorce agreement. Who will be guardian? Can be both parents. Talk time frame. Put a safety net in place if agreement not reached.
13. PRACTICE TIP: TEAM UP WITH MATRIMONIAL BAR Be and have a referral source Be a resource: Psychologists and other therapists Financial advisors Joint programming

14. Presents

    Planning for Divorce when there are Children with Special Needs With Beth C. Manes & Jamie Von Ellen
15. www.specialneedsplanners.com Questions? Contact ASNP:support@specialneedsplanners.com Contact Beth C. Manes: BManes@wvblaw.com Contact Jamie Von Ellen: JVonEllen@wvblaw.com