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1150 Chapter 7:Worker guides • Section 7: OSIPM worker guides (07/2026) Note: You might be presented with a “deed of trust” or “trust deed,” which is a type of mortgage and not the sort of trust dealt with here. Trusts funded with income/resources of the financial group There are 5 kinds of trusts you might come across that contain resources and/or income of the financial group. These include: • Generic trusts 1. Revocable 2. Irrevocable • Medicaid-specific trusts 3. Under 65 Disability Trust 4. Pooled Trust 5. Income Cap Trust Generic trusts Revocable Trust The total value of this type of trust is considered a resource available to the individual. 461-145-0540(8). Note: If the home of the applicant or applicant’s spouse is the resource in the trust: Since the home is an excluded resource if the individual is living there, the individual will not be over resources if the home is the resource in the trust. Irrevocable trust There are three types of irrevocable trusts that are Medicaid-specific trusts. There are also irrevocable trusts that are non-Medicaid specific. First we will talk about the non-Medicaid specific irrevocable trusts.

Be sure to read the entire trust. There must be no circumstances under which the trust can be revoked. • If the assets of the irrevocable trusts are available to the individual, under any circumstances, the trust will be treated as an available resource.

For example, if Bill’s trust says, “If Bill is ever elected president of the United States this trust can be revoked,” then the trust is considered an available resource. Even though we know Bill will never (and I mean NEVER) be elected president of the United States, Bill put this clause in the trust when it was created. He could have written the trust with no provisions for revocation, and he elected not to do so. Therefore, it becomes an available resource. OAR 461-145-0540(8)(b). • If the assets of the irrevocable trust are not available to the individual then the assets in the trust are subject to the transfer of resources rules.

For example, most trusts would say “for the benefit of” your applicant. If the trust is for the benefit of someone other than the applicant, it may be a disqualifying transfer. 461-145-0540(8)(a).