[CA] Is a Special Needs Trust worth setting up?
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Without a trust, you’ll likely lose Medi-Cal as soon as you receive the funds. Whether an SNT is “worth it” is your call. If you’re leaving soon, you might choose to come off programs. A Special Needs Trust or a pooled trust (if it receives the funds directly) would preserve benefits while you’re still here.
These California pooled trusts handle smaller amounts and you can call to ask questions: Golden State Pooled Trust; Jewish Los Angeles Special Needs Trust; Proxy Parent Foundation, PLAN of California; Special Needs Trust Foundation of San Diego; The Master Trust of California. Pooled trusts under 42 U.S.C. §1396p(d)(4)(C) can be used at any age; some states require Medicaid payback, some allow retention in the pool.
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Do I need a trust to preserve my benefits ($700/mo General Assistance; SSI pending)? I’m about to get a ~$12k settlement, but I’ll leave for Canada in 2–3 months (likely asylum). Should I use a Special Needs Trust? Could the settlement attorney do a disbursing agreement to keep me under the notification limit (~$1,260?) until I’m in Canada? Once I’m abroad, San Francisco will end GA anyway.
Have you consulted a trusts/settlements attorney?
No.
Are you aware of any benefit rules that would affect this?
If I stay under a certain limit (not sure if it’s $1,250 per period or per month), I don’t have to notify them until renewal.
What state?
California—San Francisco.
In CA, an SNT can preserve SSI eligibility by keeping funds out of countable resources. GA may have different rules—confirm locally. You could discuss a disbursing agreement to align payments with limits. SSI resource cap is $2,000. SSI generally stops if you’re outside the U.S. >30 days. Consider a benefits/trusts attorney.
GA and SSI both won’t be payable from Canada. Since I’m leaving in 2–3 months, setting up a trust (likely $1k–$2k) might not be worth it.
Then consider: (1) temporary disbursement timing (possibly delay payment), (2) spend-down on permissible items to stay under limits, (3) brief consult with a benefits specialist.
Can you refer me to a benefits specialist?
Use the State Bar of CA directory, local legal aid (e.g., Legal Aid Society SF, Bay Area Legal Aid), NAELA, or directories like Avvo/Martindale.
Minor update: the settlement check hasn’t been issued; it won’t be until I direct them to. Big question: is it worth setting up a trust for just 2–3 months, knowing benefits will end once I leave?
Without a trust, you’ll likely lose Medi-Cal as soon as you receive the funds. Whether an SNT is “worth it” is your call. If you’re leaving soon, you might choose to come off programs. A Special Needs Trust or a pooled trust (if it receives the funds directly) would preserve benefits while you’re still here.
These California pooled trusts handle smaller amounts and you can call to ask questions: Golden State Pooled Trust; Jewish Los Angeles Special Needs Trust; Proxy Parent Foundation, PLAN of California; Special Needs Trust Foundation of San Diego; The Master Trust of California. Pooled trusts under 42 U.S.C. §1396p(d)(4)(C) can be used at any age; some states require Medicaid payback, some allow retention in the pool.
Another option: if I don’t have the check issued (i.e., don’t “receive” it) and I seek independent counsel, that moves the receipt date closer to my departure—then Medi-Cal/SSI suspension happens near when I’d be leaving anyway.
You can delay receiving it; that’s fine. Not sure independent counsel would be paid by the other side—you can ask.
It’s unusual because I’m leaving the U.S. (not a citizen). Programs allow time to seek legal advice before accepting/setting up a trust; delay might be justified. I’d pay the lawyer; it’s a timing issue.
You can delay taking it; no harm. For Canada, consider your visa/coverage situation.
