How can I set up a Qualified Income Trust (QIT)?
A Qualified Income Trust (QIT), also known as a “Miller Trust,” is typically set up by individuals seeking Medicaid skilled nursing home care or Medicaid diversion with monthly gross income exceeding $2,250 (as of 2018). Each month, one must deposit the portion of the gross income over the income gap into the QIT to meet the income limit. If one’s monthly income exceeds $2,250, that person would not meet the Medicaid income test, and their Medicaid application would be denied.
Any deposits of income into this type of Trust will not be counted as an asset for the Medicaid applicant. However, the funds in the QIT can only be used to pay for medical expenses for the Medicaid recipient.
An irrevocable QIT can only be drafted by a licensed Florida attorney (beware of fraudulent Medicaid planners). An improperly created/funded QIT may result in potential Medicaid disqualification. If you are interested in Medicaid planning, which may involve setting up a QIT, the experienced elder law and estate attorneys of Bach, Jacobs & Byrne, P.A. are here to assist you. Call us at (941) 906-1231 to set up a consultation.