The Qualified Income Trust captures all the income above the limit and deposited into a separate checking account. The money in the Qualified Income Trust account can then be used for any expenses of the patient responsibility, such as medical equipment, healthcare aide not paid for by Medicaid, as well as $105 for personal expenses. We always calculate to $2000 of income because often my clients have slight fluctuations in their monthly income, and generally have a family member act as the trustee.
The Qualified Income Trust is a “use it or lose it” type of account, meaning that whatever is left in the account at time of death of the beneficiary goes back to the State of Florida Medicaid. The family would not receive any remaining monies. For this reason, it is recommended to use a qualified Medicaid Attorney to properly fund the Qualified Income Trust so as not to have too much money placed into the account.
Many attorneys charge $2500 to $3500 to create a Qualified Income Trust. We have an on-line system for $1200. It is utilized by clients who are applying for Medicaid through an institution, such as a nursing home that does their own Medicaid Applications, but whose income is greater than $2199. We get regular referrals from many nursing homes such as Miami Jewish, Vitas, Catholic Hospice to help with only this aspect of the application process.