If you are suddenly disabled in an accident or as the result of an illness, you will be faced with a challenging ordeal, both physically and emotionally.
In the midst of learning to cope with your disability, you will still have to manage your family’s finances, and that can be a challenge in and of itself.
This guide can help you take better control of your financial situation to help you avoid falling into a worse situation.
Take Advantage of Benefits
Even though applying for Social Security disability can be a stressful and complicated process, this should be the first thing you do in establishing a stream of income.
This may or may not be a permanent solution. However, it is important to get some money coming into the household as soon as possible.
You should also look into other government programs, such as the tax breaks the IRS grants to people with disabilities.
You should consider opening a PASS account as well. A PASS account is a special savings account that allows you to save money without risking the loss of your social security benefits.
Your disability caseworker can tell you more about this option.
Consider Your Future Opportunities
You may not be content to live on the fixed income that Social Security benefits provide.
Fortunately, a disability is not as limiting in today’s world as it was in the past. There are many options you can consider, which will not be limited by your disability.
If your lower limbs are disabled, some form of computer work may interest you.
Alternatively, many companies now rely on remote employees to do accounting, data entry, and other types of work. All you will need to get started is a computer with an internet connection and a valid bank account.
Depending on your type of disability, there may be other career fields that you would find rewarding.
With a little research, you can learn about the education or training you’ll need to get started on your new career path.
Create a New Budget
You should call your family together and include your children in the creation of a new household budget.
Since this will require tightening everyone’s belt, involving your children will make things easier.
Explain that you will all have to go without the extras until your financial situation improves, so they will each have to look for ways to reduce spending.
This can include giving up gourmet coffee and sticking with bulk coffee, or you might want to cancel cable if your family is also streaming content online.
Studying all of your habits will help you find more ways to save.
Hammer Away at Debt
It’s also time to get rid of debt and build up your credit. This involves making sure you can make all of your minimum payments on time.
Additionally, you should be paying extra on one debt consistently until it has been paid in full. Once you eliminated that debt, you can use the money you were paying into it to pay off another debt, following this pattern until you’re debt-free.
By the time you finish, you should also have improved your credit score as an added benefit.
This strategy can help you arrive at a much better financial situation even as you work to adjust to life with your disability.
While getting your finances in order after being newly disabled will be a struggle, these tips will help you support your family in the meantime.
As you gain better control of your financial situation, keep in mind that your children still need the emotional support and guidance you provide. You’ll have many roles to fill.
However, as you work together, you and your children can use the experience to bond and grow closer together.