What is a NYS Pooled Trust for Medicaid Eligibility
May 12, 2023 302
What is a Pooled Trust?
A pooled trust is a type of special needs trust that is managed by a nonprofit organization. The trust is designed to help people with disabilities who have assets that would otherwise disqualify them from receiving Medicaid benefits.
To qualify for a pooled trust, the individual must meet certain eligibility requirements. These requirements vary from state to state, but generally include the following:
- The individual must have a disability that meets the definition of disability under the Social Security Act.
- The individual must be under the age of 65.
- The individual must have assets that exceed the limits set by the state for Medicaid eligibility.
How does a Pooled Trust Work?.
Once an individual is eligible for a pooled trust, they can contribute their assets to the trust. The assets in the trust are then managed by the nonprofit organization, which pays for the individual's qualified disability expenses. Qualified disability expenses are expenses that are not covered by Medicaid, such as housing, transportation, and medical equipment.
What are the Benefits of a Pooled Trust?
There are several benefits to using a pooled trust. First, pooled trusts can help people with disabilities qualify for Medicaid benefits. Second, pooled trusts can help people with disabilities manage their assets and pay for their qualified disability expenses. Third, pooled trusts can provide peace of mind to people with disabilities and their families, knowing that their assets will be protected and used to meet their needs.
Additionally, pooled trusts benefit individuals by:
- The trust can help you qualify for Medicaid. Medicaid is a government program that provides health insurance to low-income individuals and families. In order to qualify for Medicaid, you must have limited assets. A pooled trust can help you keep your assets and still qualify for Medicaid.
- The trust can pay for your supplemental needs. Medicaid does not cover all of the costs of living with a disability. A pooled trust can help you pay for things like vacations, entertainment, and personal items that are not covered by Medicaid.
- The trust is managed by a professional. The trust is managed by a nonprofit organization that has experience working with people with disabilities. This means that you can be confident that your assets are being managed in your best interests.
What are the Drawbacks of a Pooled Trust?
There are a few drawbacks to using a pooled trust, including:
- There are fees associated with the trust. The trust charges fees to cover the cost of administration and management. These fees can vary from trust to trust.
- The trust may not be available in all states. Pooled trusts are not available in all states. If you live in a state that does not have a pooled trust, you may need to establish a private special needs trust.
- The trust may not be right for everyone. Pooled trusts are not right for everyone. If you have a large amount of assets, you may be better off establishing a private special needs trust.
How to Choose a Pooled Trust
If you are considering using a pooled trust, there are a few things you should keep in mind:
- Choose a trust that is administered by a reputable organization. There are many different pooled trusts available. Do some research to choose a trust that is administered by a reputable organization with experience working with people with disabilities.
- Make sure the trust meets your needs. Not all pooled trusts are created equal. Make sure the trust you choose meets your specific needs and goals.
- Read the trust agreement carefully. The trust agreement is a legal document that outlines the terms of the trust. Make sure you understand the terms of the trust before you sign it.
A pooled trust is a valuable tool that can help people with disabilities qualify for and retain Medicaid benefits. If you are a person with a disability who is considering using a pooled trust, it is important to speak with an attorney who is experienced in special needs planning. An attorney can help you determine if a pooled trust is right for you and can help you set up the trust. ProLife Home Care's legal staff provides free consultations for individuals interesed in exploring if a pooled trust if right for your family.
Call the office of ProLife Home Care at 718-232-2777 or email email@example.com to schedule your free consultation.