PA Medicaid Asset Protection Trust

A Medicaid Asset Protection Trust (MAPT) is an irrevocable trust designed to remove assets from Medicaid spend-down — after the 5-year transfer lookback expires.

Structure

Irrevocable, with the settlor as a non-trustee. Income may be paid to the settlor; principal cannot. Children typically serve as trustees and remainder beneficiaries.

5-year lookback

Transfers within 5 years of a Medicaid application create a penalty period. Plan early, before health issues arise.

Tradeoffs

Loss of direct control. Best for primary residence and other long-hold assets where access is not needed.