Solutions
A brief comparison of all the programs offered by CPT
First-Party Special Needs Trust (SNT)
Used to preserve eligibility for means-tested benefits such as Medicaid and/or Supplemental Security Income.
Preserves eligibility for individuals utilizing a Medicare Set-Aside (a countable asset for means-tested benefits).
Third-Party Special Needs Trust
Funds given to the recipient of means-tested benefits (such as Medicaid and/or Supplemental Security Income) from a third-party to preserve eligibility.
Typically an inheritance.
Medicaid does not have a right to recover on funds at time of trust termination.
Settlement Management Trust (SMT)
Used to protect from misappropriation and/or when the client will have an anticipated need for means-tested benefits in (such as Medicaid and Supplemental Security Income) in the future.
Has trigger powers to transfer into a Special Needs Trust to protect eligibility at any time.
Minors Settlement Trust (CA only)
Used when a minor needs access to settlement funds prior to age of majority and does not need to preserve eligibility for means-tested benefits (such as Medicaid and/or Supplemental Security Income).
Spend Down
Typically used for small settlements when the client needs to preserve eligibility for needs-based benefits.
Will provide a client with everything they need to know to complete this economic solution.