Legal Question in Elder Law in Florida

Re: applying for medicaid

Planning and applying for Medicaid is a complicated process. A Miller Trust is just one consideration. In addition to the income limitation, there is also an asset limitation. You need to talk with an elder law atorney about the whole process. I do not know where you are located, but would be happy to talk with you by phone if we are not close geographically. Otherwise, find an elder law attorney in your area to discuss this with.

I look forward to speaking with you should you wish to call, and I wish you the very best.

David Ellis

Re: applying for medicaid

Mr. Ellis is correct. However:

Qualified Income Trusts in Florida (also called "Miller Trusts")

A Qualified Income Trust ("Miller Trust" or "QIT") is a mechanism to qualify for benefits when one's income exceeds the income limit (currently $2,022). This instrument is designed for those over the income limit, but who do not receive enough monthly income to fully pay for their nursing care facility costs. Income over the income limit must go into the trust each month.

For example, Mary receives $ 2,400 per month in social security and pension income. Her nursing home costs $ 5,500 per month. She will not qualify for because she has too much income. But, at the same time she cannot pay the $ 5,500 nursing home bill because she has too little income. Her excess income would have to go into a QIT for her to qualify for Medicaid.

Special Note: The creation and implementation of the Qualified Income Trust document needs to be in place the month that Nursing Home Medicaid eligibility is being applied for.

Important Florida Medicaid Facts:

Income cap for Florida Medicaid applicant in 2009 is $2,022.

Qualified Income Trust (QIT) turns available income into unavailable income.

Requirements for maximum allowable assets must also be met.

Process:

QIT is a trust that deals only with income.

QIT is signed the first month of Medicaid qualification.

A special bank account is set up for the QIT. Account must be non-interest bearing and no service charge account.

Net income must be deposited into QIT account each month of Medicaid qualification.

Income comes into the regular back account. Considered available income by DCF.

The money is transferred to the QIT account. Considered unavailable by DCF.

QIT account zeroes out each month with payment of nursing home and personal needs allowance.

QIT account pays nursing home net income minus personal needs allowance (and minus spousal allowance if applicable).

Any difference between gross and net is paid to nursing home from regular checking account.