What is a self-settled trust?

A self-settled trust, also known as a Medicaid trust, is a type of trust established by a disabled individual in order to protect their assets. This type of trust is a way for the disabled individual to keep their assets while also qualifying for Medicaid benefits. With this trust, the individual’s assets are managed by a trustee on their behalf, but the individual still has the ability to access and use the funds if they choose. The trust is self-settled because the individual is both the grantor (the person who creates the trust) and the beneficiary (the person who will benefit from the trust). The individual will appoint a trustworthy person, such as a family member or lawyer, to act as the trustee of the trust, and will transfer their assets into the trust. This type of trust must meet certain requirements set out by the state of Virginia in order for it to be eligible for Medicaid. In Virginia, self-settled trusts are a useful tool for disabled individuals to manage and protect their assets while still accessing the financial help they need. The trust is designed to ensure the individual’s assets are available to provide for their care should they need it. It is important to note that self-settled trusts must be carefully created and managed in order to comply with all applicable laws.

Related FAQs

What is a health care proxy?
Who should I name as the trustee of my Special Needs Trust?
What is a Durable Power of Attorney?
What is the process of appealing a denial of disability benefits?
How can I find a disability lawyer?
What is a disability attorney?
What is a self-settled trust?
What is an Estate Plan?
How do I know if I qualify for SSDI or SSI?
What is a functional capacity evaluation (FCE)?

What is a self-settled trust?

Related FAQs

Related Blog Posts