By: Ron Malis, M.B.A. – Financial Advisor

The Ontario Disability Support Program (ODSP) provides a monthly income benefit for people with disabilities in financial need.  It is a complex program, yet it is often defined in very simple terms.

ODSP is a “means-tested” benefit.  In order to qualify, applicants must demonstrate they are in financial need.  More specifically, an individual without dependents must have less than $5,000 in assets and be earning little income. ODSP recipients who accumulate more than the $5,000 exemption can lose their ODSP benefits. This is a basic explanation rather than a hard and fast rule.

Many parents with children over the age of 18 who have a developmental disability have the means to support their child with the help of ODSP, but they need help. ODSP benefits help, but they do not provide enough to maintain a reasonable standard of living.  Parents, who can, supplement ODSP benefits, but they run the risk of jeopardizing their child’s ODSP benefits. Parents can supplement a child’s ODSP, but how they do it, is critically important.

Planning, especially preparing for the long-term requires an understanding of ODSP that goes beyond the basics and into the detail.  ODSP policy directives are hundreds of pages.  Parents do not need to understand each policy directive, chapter and verse, but an understanding of some key sections will benefit them immensely, helping them plan for the future more effectively.

Let’s continue the conversation. For a case study and extended article on this topic visit http://connectability.ca/connected-families/ – /categories/financial-and-legal-planning

Ron Malis is an Insurance Advisor with Independent Financial Concepts Group Ltd. and a Financial Advisor with Worldsource Financial Management Inc. His core focus is working with people with disabilities and their supporting family members.  Ron has written many articles on the subject of ODSP, the RDSP and estate planning for families who have children with disabilities.  These can be found at www.ronmalis.com

Ron Malis is an Insurance Advisor with Independent Financial Concepts Group Ltd. and a Financial Advisor with Worldsource Financial Management Inc.  His core focus is working with people with disabilities and their supporting family members.  Ron has written many articles on the subject of ODSP, the RDSP and estate planning for families who have children with disabilities.  These can be found at www.ronmalis.com

Through our Securing Futures and Connecting Families series of conferences, seminars and articles, Community Living Toronto is committed to providing individuals and families with tools and information to assist them at all stages of life.

The information contained in this communication is general and is based on the perspectives and opinions of the owners and writers. It is not intended to provide specific personalized advice. Please consult an appropriate professional regarding your particular circumstances. The information provided might be derived from various sources and is believed to be accurate and reliable, however, no warranty can be made as to its accuracy or completeness.

A list of lawyers and financial advisors familiar with planning for individuals with disabilities can be provided by contacting your Membership Coordinator, if needed.    We urge you to discuss your personal situation with them and then decide which one you would like to work with.  Make sure that you are that you are comfortable that the professional you have selected meets your needs, fits your budget and understands the issues of planning for a person with a disability.