Combining Structured Settlements, MSAs, and Pooled Special Needs Trusts: Preserving Means-Tested Government Benefits (On-Demand)

Course Description

The presentation will discuss how attorneys can preserve their clients’ means tested benefits after a settlement or judgment, focusing on when to use a pooled special needs trust for clients with a disability and how to incorporate a structure or Medicare Set-Aside account (MSA). The presenters will review how to determine whether a pooled special needs trust is appropriate for a particular client and how to evaluate pooled trusts. Pooled special needs trusts protect both attorneys and their clients because funds placed in a first-party pooled special needs trust are generally not considered a countable resource when clients qualify for or maintain their Medicaid and SSI eligibility.

The presentation will provide an overview of what personal injury and other litigation attorneys need to know to preserve their clients’ means-tested benefits, including a summary of public benefits, an explanation of special needs trusts, and a comparison of pooled trusts with individual trusts. We will discuss criteria to consider when determining whether a pooled special needs trust is appropriate for a client, including whether the client is disabled, the size of the settlement, whether the client is 65 years old or older, and whether the client is receiving or is likely to receive means tested government benefits. We will also include a list of questions to ask when evaluating different pooled trusts.

Principles

• Government benefits
• Pooled special needs trusts (PSNTs)
• Trust Administration (What your clients can expect)
• ABLE Accounts

Syllabus

1. Introduction and Overview
   • Basics of pooled trusts
   • Who is eligible for a pooled special needs trust?
   • Introduction of case study
2. Government benefits
   • Means tested (Supplemental Security Income and Medicaid)
   • Earned (Social Security Disability Insurance and Medicare)
   • Dual eligibility
3. Pooled special needs trusts (PSNTs)
   • Federal guidelines for PSNTs
   • Comparison to individual special needs trusts
   • Potential transfer of assets penalty for 65+
   • Remainder policies
4. Trust Administration (What your clients can expect)
   • Roles and responsibilities of the pooled trust
   • How to evaluate a pooled trust administrator
   • Trust distribution process
   • Trust distribution guidelines
     • Clients with means-tested benefits
     • Clients without means-tested benefits
5. ABLE Accounts
   • Eligibility for ABLE accounts
   • Alternate distribution guidelines