| Spouse A dies with a Testamentary Special Needs Trust in Spouse A's Will for
the benefit or Spouse B. Spouse B is or becomes incapacitated. Spouse A's
testamentary special needs trust helps Spouse B qualify for Medicaid
Spouse A Spouse B
SPOUSE A DIES
owns one-half of the couple's assets owns one-half of the couple's assets
|
| Probate of
| Spouse A's Will
|
v
|
Testamentary Special Needs
Trust created in Spouse A's
Will funded with one-half of the
couple's assets
(These assets will not disqualify
Spouse B for Medicaid)
|
Spouse B continues to own his one-half of
the couple's assets. Since Spouse B is now
single, Medicaid rules for a single person apply
(A single person on Medicaid can only have $2,000 in savings,
plus $1,500 burial - see article for details.)
| 
