Medicaid Asset Protection Trusts (MAPTs) are trusts created to hold assets that are to be protected from use for the trust creator's (Grantor's) long term care (nursing home) costs.
In Minnesota Medicaid (called Medical Assistance in Minnesota) is administered by the Minnesota Department of Human Services through the individual county offices throughout the state.
MAPTs are highly technical irrevocable trusts that must comply with state and federal trust laws and regulations.
The laws, rules and regulations concerning Medicaid and these types of trusts vary from state to state and many times are modified by case law provided by the courts.
For most states, especially in Minnesota, assets added to MAPTs must be in these trusts for at least 60 months to avoid the 5-year look-back period.
The 5-year look back period is a Medicaid Rule that says that the Medicaid Agency reviewing an application can and will review any transfer of assets by an applicant within the last 5 years (60 months) prior to the date of application to determine if the assets were transferred away for less than fair market value.
The Law Office of Neil Thompson has extensive experience in drafting MAPT Trusts protecting assets for families.