What Happens When You Have a Medicare Set-Aside and Don’t Need Treatment?

Special needs planning question:

Is there any way to use the funds in your Medicare Set-Aside (MSA) trust even if you don’t need further treatment for your injury?

Answer:

Funds in a MSA can be used to cover medical expenses set out in the MSA agreement even if the beneficiary no longer receives Medicare, but they can’t be used for any other purpose.  If money remains after the MSA beneficiary dies, it can be paid out according to state law once all other claims have been satisfied.