Effective December 1, 2014, in order to qualify for Medicaid, the applicant whose income exceeds the monthly income cap under the Medicaid program must create a Miller Trust. The excess monthly income is essentially placed into a self-created Miller Trust and paid directly to the nursing home each month by the designated trustee.
Category: Elder Law
ABLE Act
On December 19, 2014, the President signed into law the Achieving a Better Life (ABLE) Act of 2014, which allows for disabled persons to have limited savings accounts, without jeopardizing any governmental benefits received by that disabled person. The Treasury is to create regulations with respect to ABLE act accounts. The ABLE account is intended to be similar to a 529 Plan. There is a limit on what can be contributed to the account, but the disabled person would have the ability to withdraw monies from the account to meet his or her needs on an on-going basis.
