Qualified Income Trust in Florida

Definitions
Medicaid applicant is the spouse in nursing home who is applying for Medicaid benefits.
Income is gross income from all sources.
Gross income:  Add back all deductions, such as Social Security deductions of $96.40 for Medicare Part B premium in 2009.  
Patient responsibility is the amount the Medicaid applicant pays the nursing home each month of Medicaid coverage.
Personal needs allowance:  Medicaid applicant is allowed $35 each month to pay for any extras not covered by Medicaid.

Important Florida Medicaid Facts

• Income cap for Florida Medicaid applicant in 2009 is $2,022.

• Qualified Income Trust (QIT) turns available income into unavailable income.

• Requirements for maximum allowable assets must also be met.

• QIT is a trust that deals only with income.

• QIT is signed the first month of Medicaid qualification.

• A special bank account is set up for the QIT.  Account must be non-interest bearing and no service charge account.

• Net income must be deposited into QIT account each month of Medicaid qualification.

• Income comes into the regular back account.  Considered available income by DCF.

• The money is transferred to the QIT account.  Considered unavailable by DCF.

• QIT account zeroes out each month with payment of nursing home and personal needs allowance.

• QIT account pays nursing home net income minus personal needs allowance (and minus spousal allowance if applicable).

• Any difference between gross and net is paid to nursing home from regular checking account.