Caution

Do not confuse a QIT with other types of trusts often used for the receipt of Medicaid or other public benefits. This information does not apply to other types of trusts, such as a special needs trust. A special needs trust may be created for a person with a disability under 65 who wants to shelter assets to become or stay eligible for Medicaid or other public benefits. HHSC does not count income that is properly diverted through a QIT to determine Medicaid eligibility for institutional or home and community-based waiver services. This income is counted when determining eligibility for other Medicaid benefits, such as:

non-institutional assistance other than home and community-based waiver services; or

Medicare Savings Programs.

The income may count to determine eligibility for non-Medicaid public benefits programs.

Although the use of a QIT can overcome the special income limit for Medicaid eligibility, a QIT will not address other eligibility requirements for institutional and home and community-based waiver services, such as:

citizenship;

residency;

medical necessity; and

the person’s countable resources.

A person with more than $2,000 in countable resources is not eligible for benefits. The use of a QIT does not affect this resource eligibility requirement.

This information is based in part on informal guidance by the federal Centers for Medicare & Medicaid Services (CMS). CMS has not adopted any federal regulations relating to QITs. Therefore, CMS' guidance and interpretations could change without advance public notice or opportunity for advance public comment.