What is a Pooled Special Needs Trust

A Pooled Special Needs Trust is a trust created pursuant to Federal law, in which the not-for-profit trustee agrees to hold assets (money and/or property) for the benefit of a person with disabilities. This type of trust provides an injury victim with resources to use to pay for special or supplemental needs while preserving eligibility for government benefits, particularly Supplemental Security Income (SSI) and Medicaid. The trust funds can be used for items or services such as medications, non-essential medical care, comfort services, companion services, entertainment, electronic equipment and personal care services without risking the loss of public benefits.

Normally assets held in trust are countable for purposes of qualifying for needs based public benefits. However, federal law and state regulations allow individuals with disabilities to set aside assets for supplemental/ special needs into a Pooled Trust for the purpose of maintaining eligibility for public assistance programs. Pooled Trust assets are not counted as available resources, nor are interest on the assets counted as income. The Pooled Trust is irrevocable and has been established by the National Non-Profit for Americans with Disabilities, Inc. (NNAD), a non-profit association. A separate account (sub-account) is maintained for each beneficiary in the Trust but for purposes of investment and management of funds, the Trust pools these accounts.

In summary, Pooled Trust beneficiaries can receive public benefits that meet their essential needs while maintaining a supplemental fund that is available to meet their special or supplemental needs which are not provided for by public benefits.