Page 71

Louisiana Medicaid Eligibility Manual Eligibility Factors

Reissued June 9, 2026

Page 71 of I-1630 Replacing September 23, 2024

Revised/added text indicated by underscore

Deleted text indicated by “**”

• Cannot use the principal for their own benefit.

Verification

Verify the following information for all trusts:

• Applicant/beneficiary's role as trustee, trust beneficiary, and/or settlor,

• The applicant/beneficiary's access to the principal, and

• If access to principal is restricted, whether the applicant/beneficiary created the trust and imposed the restrictions.

If the trust document does not clearly provide the above information, refer the document to the Medicaid Eligibility Policy Unit at Medicaid.EligibilityPolicyUnit@la.gov.

**  Uniform Gifts to Minors Act and Uniform Transfers to Minors Act (UGMA/UTMA)

UTMA and UGMA accounts are taxable investment accounts set up to benefit a minor, but controlled by an adult custodian until the minor reaches their age of majority. UGMA accounts allows donors to make gifts to minors that are free of tax burdens but were limited to only gifts of cash or securities. UTMA accounts allow any kind of property (real or personal, tangible or intangible) to be transferred from a donor to a custodian for the benefit of a minor.

Donor: Money and assets transferred are no longer resources of the donor beginning the month after the month of the transfer. The transfer of resources provision may apply if the donor is an eligible individual or individual’s spouse.

Custodian: The accounts assets are not the custodian’s resources because they may not legally use any of the funds for their own support.

Minor is under age 18:

These accounts property, including additions or earnings, is neither