Capacity to make financial decisions among people with mild intellectual disabilities.
IQ scores are the wrong gatekeeper—test the actual money skill and many adults with mild ID can keep some financial control.
01Research in Context
What this study did
The team asked adults with mild intellectual disability to make money choices. They compared answers to adults without disability.
Tasks tested four steps: understanding facts, reasoning about choices, seeing consequences, and saying yes or no.
What they found
Both groups used the same steps, but the ID group scored lower. Understanding the facts and reasoning were hardest for everyone.
IQ alone did not predict who could still make safe money choices. Some adults with ID handled simple budgets fine.
How this fits with other research
Cryan et al. (1996) saw the same gap in kids counting coins. The trouble starts early and lasts into adulthood.
Dudley et al. (2019) later watched families decide together. Siblings often speak for the adult, yet the adult keeps some leisure choices. The new data say money choices can also stay in the adult’s hands if you test the skill, not the label.
Chou et al. (2007) used the same four-step method for sexual consent law. Both studies show large skill gaps, so one clear test works across life domains.
Why it matters
Stop using IQ cut-offs to remove money rights. Run a quick four-step quiz instead: can the person explain, reason, see risk, and say no? If they pass the simple level, let them keep a small account or prepaid card. Guardianship can scale up only when real errors show up.
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02At a glance
03Original abstract
BACKGROUND: Although there has been growing recognition of the importance of enabling people with intellectual disabilities (ID) to be more directly involved in managing their own financial affairs, so far, little is known about this aspect of their decision- making. METHOD: Using vignettes and semi-structured interviews, the financial decision-making abilities of men and women with mild ID (n=30; mean FSIQ =61.80; SD=10.59) were compared with those of their counterparts in the 'general population' (n=16; mean FSIQ=101.56; SD=7.62) and 'very able' individuals (n=14; mean FSIQ=123.93; SD=7.60). RESULTS: Whilst the financial decision-making abilities of participants with ID were generally weaker than those of other participants, the differences were not discrete, and many individuals were judged to be able to make at least some personal financial decisions. For all three groups, understanding information relevant to the decision, and reasoning with it, were the hardest parts of the process. CONCLUSIONS: The findings support a functional approach to the assessment of financial decision-making for both legal and clinical purposes, but raise concerns about mental incapacity legislation and assessment.
Journal of intellectual disability research : JIDR, 2005 · doi:10.1111/j.1365-2788.2005.00635.x