By Attorney Vincent Hein
Medicaid Asset Protection Trusts (MAPTs)
A Medicaid Asset Protection Trust (MAPT) is a specialized form of irrevocable living trust designed to shelter assets from the devastating financial impact of long-term care costs. Unlike a revocable living trust, which allows the grantor to amend or revoke its terms at will but provides no asset protection, a MAPT represents a deliberate legal and financial commitment — one that prioritizes protection over flexibility.
You can think of a MAPT as a protective container — a “bucket,” if you will — that holds certain assets outside of your personal ownership while preserving them for your beneficiaries. It’s part estate plan, part asset protection strategy, but the emphasis is squarely on insulating family wealth from nursing home spend-down requirements.
Timing is critical. To achieve full protection, assets must typically be transferred into the MAPT at least five years before you apply for Medicaid — the so-called “five-year lookback rule.” Not every asset is appropriate for transfer, and decisions about what to fund (and what to leave out) require careful legal analysis.
MAPTs are among the most technical and nuanced tools in elder law. Many attorneys who “dabble” in Medicaid planning misunderstand the drafting and funding requirements, which can lead to catastrophic results — including loss of your home or ineligibility for Medicaid benefits.
Attorney Vincent L. Hein has drafted and implemented hundreds of MAPTs throughout Wisconsin. His practice focuses on preserving family wealth, protecting homes and farms, and ensuring that clients can qualify for Medicaid without sacrificing a lifetime of savings and hard work.
Phone: (920) 671-8070
Email: [email protected]
