Medicaid Trust Lawyer
A Medicaid trust can be used to keep assets protected while still ensuring that the individual is eligible to receive Medicaid.
Experienced New Jersey Medicaid Trust Lawyer- Matus Law Group
Many people are worried about protecting their assets from the costs of long-term care. This is why some people may consider purchasing long-term care insurance policies. However, these policies can be very expensive, and many may find it difficult to afford the monthly premiums. In addition to purchasing long-term care insurance, another option you may have is to create a Medicaid asset protection trust.
To be eligible for Medicaid, you must have assets under a certain level. You can create a Medicaid trust to hold your extra income and assets, which can allow you to receive Medicaid benefits. A Medicaid asset protection trust shields your assets from being counted when determining your eligibility for Medicaid.
Seeking the legal advice of an experienced New Jersey Medicaid trust lawyer is important if you are a New Jersey resident facing the prospect of having to move into a nursing facility. At The Matus Law Group, our team of experienced estate planning attorneys can provide you with skilled planning for asset protection. We can evaluate your financial situation and help you determine your options when it comes to Medicaid eligibility.
To schedule an initial consultation, contact us at (732) 281-0060.
What is a Medicaid Asset Protection Trust?
A Medicaid asset protection trust (MAPT) is an account set up by a Medicaid trust lawyer to help protect your assets if you need to avail government aid for long-term care. The income from the account can be used to pay for some of your expenses, and any money left over in the account goes to your heirs. This account allows the individual to put money away for other living expenses, while still remaining eligible for Medicaid coverage.
Often, in order to meet the income limit set forth by Medicaid, applicants believe that they can give their assets away. Unfortunately, this is not the case. Transferring assets can instead result in penalties that could prevent an applicant from being eligible for Medicaid for a certain amount of time. This is where a New Jersey Medicaid trust may come in. This kind of trust may be able to help an individual prepare for their future long-term care.
A well-designed Medicaid trust can make all the difference when it comes to your Medicaid eligibility. In a Medicaid trust, the government will not be able to tap into the individual’s assets and use them to pay for Medicaid costs. A Medicaid trust can be used to keep assets protected while still ensuring that the individual is eligible to receive Medicaid. Seeking the legal advice of an experienced New Jersey Medicaid trust lawyer is very important. Schedule a consultation with The Matus Law Group today to learn more about Medicaid trusts.
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New Jersey Medicaid Trust Lawyer
Christine Matus
Christine Matus is a dedicated New Jersey Medicaid trust lawyer with nearly three decades of experience guiding families through legal concerns related to estate planning, elder law, and special needs planning. Admitted to the New Jersey Bar and the U.S. District Court of New Jersey in 1995, she brings a compassionate yet strategic approach to helping clients protect their loved ones and preserve their assets. A graduate of Douglass College, Rutgers University (B.A. in Economics), and Touro College, Jacob D. Fuchsberg Law Center (J.D.), Ms. Matus combines deep legal knowledge with a genuine commitment to her clients’ peace of mind.
Beyond her legal practice, Ms. Matus is an active leader and advocate in her community. She serves on the Attorney Arbitration Committee, is a past president and current Board Member of several organizations including 21 Plus and MOCEANS, Inc., and contributes her time as a mediator for the Superior Court of New Jersey. Christine frequently lectures on Medicaid planning, elder care, and nonprofit law, and is a published co-author on key topics in elder law, including long-term care and nursing home rights.
How to Set Up a MAPT?
To set up a Medicaid asset protection trust, you will need to choose a trustee and beneficiary (or beneficiaries). The settlor or grantor is the person responsible for creating the Medicaid asset protection trust. The assets owned by the trust will be managed by the trustee that was appointed by the trust-maker.
The trust agreement clearly outlines how assets can be used. Trustees are responsible for adhering to these provisions. The trust grantor will have to name a beneficiary (or beneficiaries) who will receive the Medicaid trust upon their death. In order for the assets in the trust to be exempt from Medicaid eligibility, the principal beneficiary must be someone other than the grantor.
The rules regarding the setup of a MAPT may be complicated to understand. This is why it is important to seek the help of an experienced New Jersey Medicaid attorney. A skilled lawyer may can assist you in setting up a trust that can help you protect your assets.
Call The Matus Law Group today at (732) 281-0060 to schedule a consultation with our experienced Medicaid trust lawyers.
Common Mistakes and Pitfalls in Medicaid Trust Planning
Planning for Medicaid eligibility while protecting assets is important, but it’s also an area where small mistakes can have big consequences. In New Jersey, many people face delays or even disqualification from Medicaid because of avoidable errors in trust planning.
One common mistake is waiting too long to set up a Medicaid trust. Since New Jersey has a five-year look-back period, any asset transfers made too close to applying for Medicaid can result in penalties. Starting early allows time to plan carefully and protect assets effectively.
Another pitfall is using a revocable trust instead of an irrevocable one. A revocable trust still gives the person control over assets, which means Medicaid counts them as available. Only an irrevocable trust can properly protect assets from being considered in eligibility decisions.
Naming the wrong trustee can also create problems. When the person applying for Medicaid or their spouse acts as trustee, the assets may still be considered available. Appointing an independent and trustworthy trustee to manage the trust helps maintain compliance.
Some people also forget to fund the trust after creating it. If assets are not formally transferred into the trust, it provides no protection. Property titles, accounts, and other assets must be correctly retitled.
Lastly, failing to update or review the trust as circumstances change can create unintended consequences. Medicaid laws, family needs, and financial situations evolve, and a trust should reflect those changes. Working with an experienced Medicaid trust attorney can help avoid these common pitfalls and protect what matters most.
Look-Back Period and Medicaid Asset Transfer Rules
Medicaid will require financial documentation going back five years which is known as the “lookback period.” When a person applies for Medicaid benefits, Medicaid will look at their financial document from the prior five years. These documents will include bank statements, investments, real estate sales or purchases, and asset or property transfers. Medicaid will look at these documents closely in order to ensure that the individual who is applying for Medicaid did not deliberately impoverish themselves in order to qualify.
An individual must not have transferred any assets during this lookback period in order to qualify and avoid penalties. For example, it is not possible to move in January into a qualifying facility, then transfer assets to someone else in February and qualify for Medicaid in March. Medicaid has a strict penalty against assets that are transferred in the lookback period for less than their fair market value.
Nevertheless, certain asset transfers are allowed and exempt from the five-year lookback period. Asset transfers are permitted to certain individuals, such as spouses, disabled children, and trusts for the benefit of a handicapped adult under the age of 65.
The rules for Medicaid eligibility can be strict and complicated. If you want to apply for Medicaid, it is important to contact an experienced Medicaid trust attorney to explore what other choices you may have. An experienced lawyer can help you understand your rights and responsibilities and ensure that your assets are protected.
The rules for Medicaid eligibility can be strict and complicated. If you want to apply for Medicaid, it is important to contact an experienced Medicaid planning attorney to explore what other choices you may have. An experienced lawyer may be able to help you understand your rights and responsibilities and ensure that your assets are protected.
Call The Matus Law Group today at (732) 281-0060 to schedule a consultation.
Medicaid Income Limit and Qualified Income Trust
New Jersey Division of Medical Assistance and Health Services (DMAHS) has published Medicaid Communication #22-01. This communication provides new numbers relevant to applications for Medicaid Long Term Services and Supports (MLTSS) benefits.
MLTSS covers nursing home care, part-time home care, as well as assisted living facilities care. The eligibility for this benefit is based on the income and resources of the applicant. If the applicant is eligible, the start or delay of the benefits will be determined by any transfers or gifts made during the 5-year lookback.
In 2025, the maximum amount of non-excluded resources that a married couple can have is $2,000. The amount of non-excluded resources that the spouse of the applicant must have at their disposal must not exceed $157,920 or half the amount that the couple has at the time of the applicant’s institutionalization, whichever is less. This amount is referred to as the Community Spouse Resource Allowance or “spousal share.” The CSRA does not have to be lower than $31,584.
The applicant may retain some of their monthly income after approval as Personal Needs Assistance or PNA. In 2025, the PNA amounts are the following:
Assisted living – $124.70
Home Care – $2,523.00
Skilled Nursing Facility – $50.00
Qualified Income Trusts (QITs) may also be established for applicants whose monthly gross income is greater than a set amount. Qualified Income Trusts, also known as Miller Trusts, lets you keep a portion of your income separate from the rest under a legal trust agreement. In 2025, the income threshold for a QIT is $2,901.00.
The MLTSS program has many legal traps that seniors and people with disabilities must avoid. This is why careful planning will help preserve assets, protect applicants and their families, and ensure eligibility for Medicaid. At The Matus Law Group, we understand how important it is to protect the assets you’ve worked so hard for.
Call us today to schedule a consultation and learn more about how our Medicaid trust lawyers can help.
| Common Mistake | Description | Consequence / Impact |
|---|---|---|
| Waiting too long to set up a Medicaid trust | Delaying trust creation beyond New Jersey’s five-year look-back period | Asset transfers may be penalized, delaying or disqualifying Medicaid eligibility |
| Using a revocable trust instead of an irrevocable one | Revocable trusts keep control with the creator | Assets are counted as available for Medicaid, defeating asset protection |
| Naming the wrong trustee | Applicant or spouse acts as trustee | Assets may still be considered available to Medicaid |
| Forgetting to fund the trust | Assets are not formally transferred into the trust | No asset protection because the trust holds nothing |
| Not updating or reviewing the trust | Failing to reflect changes in laws, finances, or family needs | Trust may become noncompliant or ineffective over time |
We Are Here To Help:
Call to speak with Christine Matus, special needs trust attorney today (732) 281-0060.
The Importance of Having a Medicaid Planning Lawyer
People often think that hiring an attorney will cost more than doing things on their own. However, an experienced Medicaid planning lawyer can help you save money in the end. When filing for Medicaid eligibility, you and your family may discover that you don’t meet the right eligibility criteria, or you may also discover that there are mistakes made in the application that would cost money to fix.
A skilled lawyer can help you save money by making sure that all the details are correct from the start. An experienced legal professional can help you get insurance coverage quicker and save you money on costly nursing homes and assisted living while waiting for your Medicaid eligibility.
An experienced Medicaid planning lawyer can help you avoid penalties from the lookback period and help you explore many strategies you can use to save more money. A skilled lawyer may also be able to give advice on Medicaid-compliant annuities that allow for financial independence, making it possible to leave a lasting legacy for your children.
The Matus Law Group has been helping families for years plan their loved one’s long-term care. Our skilled team of Medicaid planning lawyers understands the importance of protecting clients’ assets while also helping them receive Medicaid benefits.
Speak to our experienced lawyers today. Call us at (732) 281-0060.
Seeking the Legal Advice of an Experienced Medicaid Asset Protection Trust Lawyer
Knowing the income limit, penalty periods, and rules of Medicaid eligibility can help you and your loved ones protect the assets you have worked hard to earn. These rules and issues should be familiar to everyone, whether you’re a caregiver or someone who needs coverage. A competent Medicaid planning lawyer can walk you through the requirements and help you minimize any financial fallout related to your Medicaid eligibility.
New Jersey regulations are subject to change every year, so it is a smart idea to meet with a Medicaid trust attorney to explore your options. The Matus Law Group’s team of skilled legal professionals is familiar with all aspects of the changing law and can help you navigate the complicated process of creating a Medicaid trust.
Contact us to find out more about how our Medicaid or estate planning lawyers can help you and your loved ones get the asset protection and coverage you need.
