Pooled Trust for Asset Protection

Community Trust I: Funded with Excess Resources (Assets)

Community Trust I is a pooled supplemental needs trust (SNT) for people with disabilities who have excess resources in their name or who receive a sum of money that puts them over the financial limits to be eligible for means-tested government benefits, including Medicaid and/or Supplemental Security Income (SSI). 

If you need to protect resources (assets) that could put your benefits at risk, a pooled trust is a great option to avoid having to spend down funds quickly or on unnecessary things in order to maintain your eligibility for services.

The need for a first party pooled trust typically arises when a person with a disability comes into a windfall of money or is entitled to receive money that will put them over the financial limits for Medicaid and/or SSI, whether that person receives benefits now or may need benefits later in life. The most common sources of funding include:

• a direct inheritance
• settlement proceeds, lump sum or structured payments
• retroactive benefit payments
• resources accrued from Disabled Adult Child (DAC) Benefits
• other monetary sources

How it Works?

By depositing your excess funds into a pooled trust, you can maintain benefit eligibility and use the money in your trust account to pay for items and services that your benefits do not provide, such as adaptive equipment, recreation, transportation, education, and other life enhancing purchases.

Upon the beneficiary's death, the remaining balance in the account is retained by the trust to support other people with disabilities served by The Arc New York.

Click here for Community Trust I Documents

Why Choose a Pooled Trust for Asset Protection?

A pooled trust is a great low cost solution for any sum of money to maximize the value you can receive from the funds while protecting your benefit eligibility. You may consider using a NYSARC pooled trust to protect excess resources (assets) when:

• You want to maximize the value of the funds with lower fees and greater investment power
• You have a modest amount of money to protect that does not warrant an individual trust (SNT)
• There is not an appropriate person to serve as trustee of an individual SNT
• The beneficiary has complex medical needs and could benefit from a professional trustee who understands government benefits and the needs of people with disabilities
• The beneficiary reaches age 65, therefore, a pooled trust is the only option to deposit excess funds to preserve benefit eligibility

Would you like more information? Contact us, we are happy to help!