PA Special Needs Trust Types

A Special Needs Trust preserves means-tested benefits (Medicaid, SSI) for a beneficiary with a disability. The two main types behave very differently.

Third-party SNT

Funded by someone other than the beneficiary (typically parents). No Medicaid payback at the beneficiary's death — remainder can flow to other family.

First-party SNT

Funded with the beneficiary's own assets (often a personal-injury settlement). Subject to mandatory Medicaid payback. Authorized under 42 U.S.C. § 1396p(d)(4)(A).

Pooled trusts

Managed by nonprofit organizations — useful for smaller balances or where no trustee is available.