How to Enroll

Master Pooled Trust

We offer four types of trusts for individuals with disabilities. Enroll your family member today.

How to Enroll

Step 1: Determine the source of funds for your family member’s trust, and which type of trust meets their needs.

The type of trust your family member needs is determined by who the money belongs to (the source of the funds) – the individual with a disability, or a third party. We recommend you seek the independent advice of an experienced estate planning attorney or certified financial planner when selecting the type of trust that is right for your family member. Click here for a list of attorneys throughout Texas who work with families of individuals with disabilities.

  • If funds come from a third party, choose Trust III (recommended) or Trust I. Examples: money from a parent, grandparent, aunt, uncle, other family, friends, or other third parties; money left to trust in a will; life Insurance left to a trust; retirement plan left to a trust; any other cash not being held by or belonging to the individual with a disability
  • If funds come from the individual with a disability’s own money, choose Trust IV (recommended) or Trust II. Examples: money from personal savings; gifts; inheritance left directly to the individual with a disability, or there was no will and the individual will receive money; SSI or SSDI back payments; child support; lawsuit settlement; money being held by a third party that belongs to the individual with a disability.
  • See the section on this page below called “Trust Options – Four Types” for more details.

Note: All four trusts protect benefits approval from SSA and Medicaid.

Step 2: Complete the Joinder Agreement and mail it to The Arc of Texas.

Once you determine which trust is right for your family member:

  1. Download the corresponding Trust Document and Joinder Agreement (the legal document to establish a Master Pooled Trust sub-account):
  2. Follow the instructions and complete all REQUIRED fields in the Joinder Agreement.
  3. Mail the completed version to The Arc of Texas, along with the $600 enrollment fee (payable to “The Arc of Texas”).

Step 3: Once your trust account is established, check out our Toolkit.

  • After the trust account is funded, the primary representative will receive a Toolkit (Spanish Toolkit) outlining how to use a trust sub-account with The Arc of Texas Master Pooled Trust, as well as quarterly statements showing the disbursements, investment performance, and fees.
  • If the trust account is not funded right away, the grantor (the person who established the trust) will receive an Enrollment Guide with answers to frequently asked questions regarding funding the account and how The Arc of Texas Master Pooled Trust works. This will prepare the grantor, the primary representative, and the beneficiary to use the sub-account to improve the quality of life and ensure a successful future for the beneficiary.
The Arc of Texas is committed to providing exceptional pooled trust services to our beneficiaries, representatives, and their families. To achieve that, we have made changes to the Joinder Agreements to better serve you. These revisions bring us in line with industry best practices, allowing The Arc of Texas Master Pooled Trust to retain funds, if appropriate, when a beneficiary passes away and there are no available funds to pay Final Remainder Beneficiaries. Questions? Email us at trust@thearcoftexas.org
Below you will find our UPDATED Joinder Agreements.
Trust Options - Four Types
The Arc of Texas recommends you seek legal advice to select the best option for your family member. The following is NOT legal advice.

Discretionary Trusts (Recommended)

Discretionary trusts allow for more flexibility than Supplemental trusts. If it is appropriate for the beneficiary’s situation, both basic support and supplemental payments may be paid for out of the sub-account. Discretionary trust potentially allow for housing or food to be paid.

Trust IV: Trust IV Document  and Joinder Agreement IV

  • Funded with beneficiary’s own money, typically through personal injury settlements, SSI back payments, inheritances, or savings accounts
  • If the beneficiary’s situation is appropriate, basic support payments may be approved, in additional to supplemental needs.
  • After the death of the beneficiary, there is a requirement to reimburse the State for long-term care and medical assistance paid by Medicaid

Trust III: Trust III Document and Joinder Agreement III

  • Funded with third-party money through a will, life insurance, or gifts
  • If beneficiary does not currently need to qualify for means-tested benefits, basic support payments may be approved, in additional to supplemental needs
  • After the death of the beneficiary, there is no requirement to reimburse the State for long-term care and medical assistance paid by Medicaid

Supplemental Trusts

Supplemental trusts allow disbursements to be made only for supplemental needs, which include most items that are not food or housing costs. No matter the circumstances, food and shelter will not be paid for out of the sub-account.

Trust II: Trust II Document and Joinder Agreement II

  • Funded with beneficiary’s own money, typically through personal injury settlements, SSI back payments, inheritances, or savings accounts
  • No payments for food or shelter will ever be needed from the Trust
  • After the death of the beneficiary, there is a requirement to reimburse the State for long-term care and medical assistance paid by Medicaid

Trust I: Trust I Document and Joinder Agreement I

  • Funded with third-party money through a will, life insurance, or gifts
  • No payments for food or shelter will ever be needed from the Trust
  • After the death of the beneficiary, there is no requirement to reimburse the State for long-term care and medical assistance paid by Medicaid

Associated Fees

The following fees may be charged by The Arc of Texas Master Pooled Trust.

  • Enrollment Fee: A non-refundable, one-time enrollment fee of $600* is due at the time the Joinder Agreement is executed to cover the cost of opening a trust sub-account for the beneficiary.
  • Annual Maintenance and Consultation Fees: There is no annual renewal fee before the sub-account is funded. After the sub-account is funded, the following annual fees are due: click here to download the fee schedule. (Although annual fees may increase or decrease over time, you will never be required to pay a higher fee than the rate that is applicable at the time your account is funded.)
  • Special Assessments: The Trustee and the Manager have authority, as necessary, to assess all or certain sub-accounts with special assessments for specific costs such as the cost of defending a sub-account of the Trust, or taking actions to preserve a beneficiary’s Government Assistance. See Section 7.9 of the Trust Agreement for a description of possible defense costs.

Fee schedule for “Distributions Authorized” accounts (means disbursements will be requested)

Annual Consultation fee:

  • 1.75% on the first $50,000
  • 1.25% for amounts between $50,000 up to $100,000
  • 1% for amounts over $100,000
  • Minimum annual fee: $300

Fee Schedule for “Distributions Deferred” accounts (means NO disbursements will be requested)

Annual Maintenance Fee:

  • 1.25% for amounts up to $100,000
  • 1% for amounts over $100,000
  • Minimum annual fee: $250

Annual Accounting Fees for Sub-accounts Requiring Annual Accountings to the Court:

  • $150 for accounts with 24 disbursements or less in a year
  • $300 for accounts with more than 24 disbursements in a year
  • Up to $500 for accounts with additional complexities, including supplementary requirements by the court or items outside of the trust that must be accounted for

Other Fees

  • Frequent Disbursement Fee for disbursements that exceed 24 per year: $12.50 per disbursement.
  • IRS tax preparation fee: To be negotiated at the lowest reasonable rate
  • Closing Fee: A $100 fee will be assessed upon closure of the sub-account