At the core of The Directed Benefits Foundation, Inc. is a culture of service, support, compassion, and direction. This starts with effective administration of all types of trusts and an emphasis on the beneficiary's experience. Our team takes the time to read and understand the terms of each trust we administer to provide the best possible service for our clients and fulfill all our duties as Trustee.
DBF works closely with the attorneys and financial professionals who monitor legislative updates and changes to the law which may directly impact how certain trusts are administered. This information is also useful in recognizing the need for new and innovative trust solutions. For years our team has been on the leading edge of identifying, implementing, and administering trust solutions that solve problems for beneficiaries and the attorney who represent them.
Kentucky Minor Protective Trust
In April of 2022, the Kentucky legislature enacted KRS 387.278 which provides new requirements and procedures for legal settlements of $25,000 or less, involving minors. The statute requires the settlement funds be placed in an appropriate protected account once an affidavit has been signed by the attorney. This eliminates the need for a court order but could put the attorney in a position of serving as Trustee and fiduciary to an account until it is terminated. The Kentucky Minor Protective Trust was created and introduced by DBF to relieve the attorney of these administrative duties and insert an established trust administrator to successfully manage these accounts as outlined in the new legislation.
Individual Disbursement Accounts
This type of account was developed to solve a problem with legal settlements involving domestic defendants and foreign plaintiffs. When a foreign national visits the US and sustains an injury, the settlement process can become complicated. Often, domestic defendants are unable, or unwilling, to make a financial payment to individual defendants who do not have a Social Security Number and/or US bank account. The Individual Disbursement Account can be established and serve as a repository for these settlement funds and make distributions to the foreign plaintiff consistent with those outlined in the agreement's distribution schedule.
With a dependable, reliable, qualified administrator managing these accounts, both the plaintiff and defendant can be confident their settlement is in safe and capable hands.
Qualified Income Trust
A Qualified Income Trust (QIT), also called a Miller Trust, is a trust created to deposit excess income to qualify, or remain eligible, for public benefits. If the monthly income of an applicant or current beneficiary exceeds the state's allowable limit, a QIT can be established and any income over the Medicaid thresholds may be deposited into the trust. This trust is often used by those seeking long-term Medicaid for nursing home or assisted living facility coverage, or even at home healthcare.
With the detail-oriented administration services of DBF, and the help of our network of Elder Law and Trust attorneys, a QIT may the appropriate solution for those applying for long-term Medicaid coverage.
Contact our team with any questions or unique challenges that may be overcome with the help of an experienced, trustworthy trustee and administrator.
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