3) Jointly Owned Trust Example – Income higher than disbursement

The customer and her husband jointly own an irrevocable trust. The customer gets $1,200.00 Social Security income per month. The customer’s husband gets $500.00 in military retirement pay. Both the Social Security and the military retirement pay are direct-deposited into the trust account.

In the month that the customer applies for ALTCS, the trustee takes $500.00 out of the trust account to pay the couple’s expenses. The total of all income that went into the trust is higher than the amount paid out. The income assigned to the trust is counted when determining income eligibility and share of cost.