What is a Pooled Trust?

A pooled trust is an irrevocable supplemental needs trust (SNT) that, under Federal and Wyoming state statute, allows people with disabilities to spend down excess funds in order to qualify financially or maintain eligibility for government benefits, such as Medicaid and/or Supplemental Security Income (SSI). Pooled Trusts are administered by Nonprofit Organizations.

Pooled trusts give people with disabilities a way to access vital health benefits while utilizing the excess funds they deposit into the trust to pay for items and services not covered by those benefits.

In accordance with Federal statute, pooled trust accounts close upon the death of the beneficiary.

Who is eligible for a Pooled Trust?

Wyoming residents who are disabled as defined by Social Security Law can establish a pooled trust to deposit excess income and/or resources so that those funds are no longer considered when determining a person's eligibility to receive services through means-tested government benefits.

Benefits of a Pooled Trust

• Qualify and maintain eligibility for Medicaid and/or SSI benefits

• Protect funds for supplemental needs that enhance quality of life

• Get care in the community and be able to afford to pay bills

• Avoid having to spend-down funds quickly

How it Works

Pooled trusts are established and managed by a not-for-profit organization, such as Wyoming Guardianship Corporation. Each beneficiary has their own sub-trust account; however the funds are pooled for investment and management purposes. You do not need to hire an attorney to write a trust for you.

As Trustee, WGC will administer the account and distribute funds to pay third parties for eligible expenses and purchases that are for the primary benefit of the beneficiary when provided with required documentation. Once the funds are deposited into the trust, the money cannot go back to the beneficiary directly, in order to protect their eligibility for benefits.

Trust funds can pay for many things, but not all requests can be paid in order to comply with the policies set by the Social Security Administration's (SSA) program operations manual system (POMS).

Why You Should Choose WGC?

Wyoming Guardianship Corporation has been administering supplemental needs trusts since 2005 and is Wyoming’s only administrator of pooled special needs trusts. People with disabilities are our purpose, and WGC has helped hundreds of people protect their eligibility for benefits and enhance their quality of life.

First Party Pooled Trust

• The GRANTOR (the person affected by disability) gives money to a Trustee (such as WGC) who puts the money into a pool, with money from other grantors, for investment and administrative purposes.

• The Trustee keeps accurate records of each sub-account within the pool, and makes distributions from an individual sub-account for The Beneficiary, who has a disability.

• Each sub-account will receive investment income, and pay investment expense, according to the percentage each sub-account represents as part of the total pool.

Benefits of a 1st party Pooled SNT

• Allows the Beneficiary to continue receiving SSI, Medicaid and other government benefits; while also benefiting from their own savings, an inheritance, personal injury settlement, back payment from Social Security, proceeds from the sale of a house or other financial award.

• Provides money management for those who would not otherwise be able to handle a significant sum of money, or who would be vulnerable to exploitation

• Helps enhance the Beneficiary’s quality of life; beyond what would usually be possible for those on public benefits.

First Party Pooled Trust Requirements

• Must be under 65 years of age.

• Distributions must be made at the discretion of the Trustee. Funds cannot be available or accessible to the Beneficiary.

• The funds are to be used to “supplement not supplant” any government benefits. They generally cannot be used for food or shelter, or for anything that can be used to obtain food or shelter.

• The Trust must contain specific language stating that any remainder, after the death of the Beneficiary, will be paid back to the State Medicaid Agency, to the extent that it is not retained by the Pooled Trust.

• The Trust must be administered by a non-profit organization

Third Party Pooled Trust

A Third Party Trust is for parents, grandparents, other family members and other parties who want to provide for a person with special needs. WGC holds, protects and administers "inherited" money for the individual with a disability in a professional, caring and cost-effective manner.

Third Party Pooled Trust Benefits

• The Grantor can name the remainder Beneficiary.

• There can be multiple Grantors.

• There are times when a Private Third-party special needs Trust (SNT) is impractical due to the costs and complexity.

• The Trust can be set up now or deferred until funds are distributed under an estate plan.

• The Third Party Master Trust has already been created and approved, therefore it does not require an attorney to prepare a Trust document

• WGC puts your clients’ money into a pool, with money from other participants, for investment administrative purposes.

• WGC keeps accurate records of each sub-account within the pool, and makes distributions from an individual sub-account

• Each participant will receive investment income, and pay investment expense, according to the percentage each participant represents as part of the total pool.

Third Party Pooled Trust Requirements

• No age restrictions.

• Beneficiary does not have the legal authority to revoke the Trust or direct the use of the Trust assets

• Distributions must be made at the discretion of the Trustee. Funds cannot be available or accessible to the Beneficiary.

• The funds are to be used to “supplement not supplant” any government benefits. They generally cannot be used for food or shelter, or for anything that can be used to obtain food or shelter.

• The Trust must be administered by a non-profit organization.