A Medicaid asset protection trust is a way to move a home and savings out of your name while you are healthy, so those assets may no longer count toward Medicaid later. It is a real commitment. It is not a living trust by another name.
The short answer
Who it is for
This trust usually fits when care is still years away, the home is a large part of what you would leave, your income covers everyday living, and you have someone you trust to serve as trustee. If a parent or spouse already needs care, this trust usually cannot help in time. Call anyway. There may still be a next step.
What you keep, and what you give up
Most families keep the right to live in the home and can receive income the trust assets earn. You generally give up direct access to the principal, serving as your own trustee, and the option to undo the trust later. Medicaid only stops counting assets you no longer control.
How the five-year clock fits
When you apply for long-term care Medicaid, the state reviews transfers made during the prior 60 months. Funding the trust starts that review period. Planning that is completed before the window generally is not counted the same way. That is why the useful time to set this up is well before anyone needs care.
What happens after you sign
Signing is not the finish. The home and accounts have to be retitled into the trust. We walk you through that funding work so the clock can actually start. Your overall estate plan, powers of attorney, and health care documents should match the trust.
This guide is general information, not legal advice, and reading it does not create an attorney-client relationship. Laws change, and every family is different.