If you or a loved one needs Medicaid benefits for long term care but your income is too high to qualify, a Qualified Income Trust (QIT), also called a “Miller Trust,” might be the solution. This type of trust allows you to meet Medicaid’s income requirements while still accessing the care you need.
Setting up a Miller Trust correctly is important because one mistake could lead to a Medicaid denial. At Marc Whitehead & Associates, we have been helping Texans with estate planning and Medicaid eligibility for over 30 years.
Our experienced Texas Medicaid eligibility and asset protection lawyers will guide you through the process and make sure your trust meets all state and federal requirements. We will help you manage the trust properly so you don’t risk losing your benefits. Call us today to learn about your options.
What Is a Qualified Income Miller Trust?
A Miller Trust is a special type of trust designed to help people qualify for Medicaid when their income is over the limit. Instead of receiving your income directly, the trust holds it and pays for allowed expenses, such as:
- Nursing home costs
- Assisted living fees
- Medical expenses that Medicaid doesn’t cover
Since the income is placed in the trust and not counted as personal income, it allows you to meet Medicaid’s financial limits. A Miller Trust is generally irrevocable, meaning it cannot be changed or canceled once it is established.
However, it will automatically end if the beneficiary no longer needs Medicaid or dies.
Who Needs a Miller Trust?
You may need a Miller Trust if:
- You need Medicaid benefits for nursing home care or in-home care.
- Your income is too high to qualify for Medicaid, but you still cannot afford the care you need.
- You are not allowed to “spend down” your excess income in Texas like in some other states.
Our Texas estate planning lawyers can review your financial situation and determine if a Miller Trust is the best option for you.
How to Set Up a Miller Trust in Texas
Creating a Miller Trust involves several legal steps. The legal team at Marc Whitehead & Associates can handle the entire process for you, including:
Drafting the Trust Document
We write a legally binding trust that meets all Texas Medicaid requirements. This document will outline:
- Who will manage the trust (the trustee)
- What income goes into the trust
- How the trust funds will be used
Setting Up a Special Bank Account
A separate bank account must be opened for the trust. This is where income is deposited each month.
Depositing the Right Amount of Income
Each month, the exact amount of your income above the Medicaid limit must go into the trust. This ensures you stay within Medicaid’s income limits.
Managing the Trust Properly
The funds in the trust must be used only for approved expenses. If mismanaged, Medicaid benefits could be denied. We help trustees understand their responsibilities so they follow all legal guidelines.
How Long Does It Take to Set Up a Miller Trust?
The time it takes to set up a Miller Trust in Texas can vary based on several factors. In most cases, the process can be completed in a few weeks if everything is handled correctly.
Here’s a general timeline of what to expect:
Drafting the Trust Document (A Few Days to a Week)
Our lawyer will create a legally valid Miller Trust agreement that meets Texas Medicaid requirements. This step can take longer if there are complications, such as multiple income sources or unique financial situations.
Setting Up a Trust Bank Account (A Few Days to a Week)
A dedicated bank account must be opened to hold the trust funds. Some banks have specific requirements for trust accounts, which can add extra time to the overall process.
Funding the Trust and Submitting Medicaid Documentation (Varies by Case)
You or your trustee must start depositing income into the trust each month. If you are applying for Medicaid, the completed trust must be submitted with your application. Medicaid approval can take several weeks to a few months, depending on processing times.
How an Attorney Can Help the Process
A mistake in setting up the trust can cause delays, especially if Medicaid requests corrections or denies your application. If we handle your case, we will:
- Oversee the drafting of the trust to confirm that it is set up properly
- Help you set up the required bank account
- Guide you through the Medicaid application process to avoid unnecessary setbacks
If you need Medicaid eligibility, contact our Medicaid income trust attorneys in Texas today. We can help you get your Miller Trust set up as efficiently as possible.
Our Miller Trust Attorneys in Texas Will Help You Avoid Costly Mistakes
Without the right guidance, setting up and overseeing a Miller Trust can be challenging. If done incorrectly, you could lose Medicaid eligibility and be responsible for expensive medical bills. We will help you:
- Ensure your trust is legally valid under Texas Medicaid rules
- Avoid common mistakes, such as depositing the wrong amount into the trust
- Understand how the trust should be used so your Medicaid benefits remain secure
Do You Need a Qualified Income Miller Trust Attorney in Texas?
While it is possible to create a trust on your own, even small mistakes can lead to Medicaid denials or delays, leaving you without coverage for care that you need.
Our experienced legal team understands the complexities of Miller Trusts and will make sure yours is set up correctly so you can focus on getting healthcare services.
If you think you might need a Miller Trust, contact us today. We will evaluate your situation and help you take the next steps toward securing Medicaid benefits.
What Happens to the Money in a Miller Trust?
When you die, any money left in the trust must be paid back to the state for the Medicaid benefits you received. This is an important factor to consider when deciding if a Miller Trust is right for you.
Our Texas qualified income trust attorneys will listen to your concerns and help you plan for the future. We can lead you in exploring other estate planning options if you need them.
Talk to a Texas Qualified Income Miller Trust Lawyer Today
If you need Medicaid benefits but your income is too high, a Miller Trust could be the answer. At Marc Whitehead & Associates, we have been helping Texans protect their assets and secure benefits for over 30 years.
You can talk with a Texas qualified income Miller Trusts lawyer from our team about your situation and next steps. We will guide you through the process and make sure your trust is set up correctly. Call us today to learn how we can help you.