CMS Releases Letter On Special Needs Trusts & Medicaid Eligibility

The Centers for Medicare & Medicaid Services (CMS) released a State Medicaid Directors letter on special needs trusts, which allow individuals to set aside assets without affecting their Medicaid eligibility. The letter was prompted by the 21st Century Cures Act, which altered the statute regarding the creation of special needs trusts. Changes from this Act went into effect on December 13, 2016.

Prior to the 21st Century Cures Act, only parents, grandparents, legal guardians, or a court could establish a special needs trust. Under the new law, however, individuals are now able to set up these trusts for themselves, as . . .