Money Management and Financial Planning for People with Disabilities

Disabilities can cause increased expenses and a lower income, so financial planning often gets a little complicated. If you have a disability, meeting your immediate financial needs might take priority. However, planning ahead is essential for affording high-quality care and maintaining your quality of life in the future. Look to the future and start putting together a strategy to support your long-term financial security. Here are some planning tips to help you and your family make smart financial decisions that will benefit you in the long term.

Protect Your Family With Insurance

If something should happen to you, will your family be forced to shoulder your existing debts and medical bills? Consider purchasing a life insurance policy to protect your loved ones from financial burden if you pass away unexpectedly.

Burial insurance is a very affordable type of life insurance that provides a smaller benefit amount than traditional term life insurance. The payout is intended to cover final expenses like funeral costs rather than replacing lost income. However, your loved ones can also use the benefit to pay outstanding debts and medical bills. Burial insurance can be a great option for people with disabilities because it doesn’t require a medical exam.

Create a Household Budget

If you have a limited income, a good budget is crucial for making ends meet and staying out of debt. Your budget will also help you make progress towards your financial goals, such as bulking up your savings or trimming down expenses. Budget every single dollar of your income so you can prioritize saving money over spending on non-necessities. EveryDollar suggests holding monthly budget meetings with your family to check in with your goals and make adjustments to your household spending plan.

Automate Your Banking

Automating your banking is a great way to make consistent progress towards your financial goals. Have your disability benefits automatically deposited into your bank accounts, set up an automated savings plan so you always pay yourself before spending anything, and use pre-authorized debits to ensure bills are paid on time. Forgetting to pay bills can carry some hefty financial consequences, from fees and interest to poor credit. Automated systems will help you stick to your financial plan and avoid spending money that you should be saving.

Find Ways to Supplement Your Income

While some people are unable to work in any capacity, most people with disabilities can — and want to — pursue a career. Find ways to earn an income so you can put more money toward funding your future care needs. The right resources, like accessibility software and assistive devices, can help you find a job in which you will thrive. If commuting to an office every day is unrealistic, look for remote work opportunities, try freelancing, or start your own business. Entrepreneur suggests several ways to make money online from affiliate marketing to selling your skills on established freelancer platforms.

If you decide to start your own business, you may need funding to get it off the ground. There may be grants available for people starting a business with a disability. One of the keys to getting a grant is writing a detailed and comprehensive application. Your application should include marketing and branding strategies and accurate financial projections and information.

Planning for the future is possible on any budget. Try not to be discouraged by a limited income or high care expenses. With a little creative budgeting, careful spending, and a good saving plan, you’ll be able to afford the care services you need to maintain your quality of life in the long run.

The Matraea Centre is dedicated to providing safe and inclusive services for people at all stages of life. send us an email to learn more!

Submitted by: Emily Graham | emily@mightymoms.net