Who Can Be the Trustee of a Miller Trust in Colorado?
In Colorado, the trustee of a Miller Trust (Qualified Income Trust) is whoever manages the trust account — depositing the applicant's income each month and paying out only what HCPF allows. Colorado does not require a third-party trustee — the member may serve as their own trustee, but only if a successor trustee is named (the form's 'Appointment of Successor Trustee' page must be completed when the member is the initial trustee, and HCPF will deny a trust where the member is the initial trustee with no successor named). A spouse, an agent under a power of attorney, a guardian, or a conservator may sign for the member by signing in that capacity and providing proof of authority (a power-of-attorney document or court order). The trustee establishes a dedicated checking or savings account titled in the name of the trust and kept separate from the member's own funds, ensures the member's income is placed into the account each month (or, where direct deposit is not possible — for example, Social Security will not deposit into a trust account — transfers the required amount into the account by the end of the month), makes the member's patient payment to the facility, submits an annual accounting, notifies HCPF of any change of trustee or address within 30 days, takes no compensation beyond the up-to-$20-per-month trust-expense allowance, and may not make loans. Because Colorado leaves trustee selection open and the form contemplates agents and court-appointed fiduciaries, families with any complexity should confirm their choice with a Colorado elder-law attorney. The trustee does not have to be a lawyer or a professional; for the core setup this is a role most families fill themselves. For a complex situation, consult a Colorado-licensed elder-law attorney. This guide is informational only and is not legal advice.
The trustee does not have to be an attorney or a professional fiduciary. Managing a Qualified Income Trust is an operational job, not a legal one: open the account, move the applicant's income through it each month, and pay out only what HCPF allows — the same short list of tasks every month.
What the trustee does each month
- Deposits the applicant's income — Social Security, pension, and any other named sources — into the dedicated trust account.
- Pays out only the amounts HCPF permits: typically the applicant's personal-needs allowance of $110.36/month, any spousal allowance, and the applicant's share of medical and care costs.
- Keeps simple records of what went in and what came out, so the trust stays compliant and Medicaid has no reason to question it.
Name a backup trustee
Many families name a successor trustee when they set the trust up, so that if the first trustee cannot continue, the trust keeps running without interruption. Either way the Colorado setup is the same — see the step-by-step setup and what to say at the bank.
Common questions
- Does the trustee of a Colorado Miller Trust have to be a lawyer?
- No. Managing a Qualified Income Trust is an administrative task — opening the dedicated account, depositing the applicant's income each month, and paying out only the amounts HCPF allows. Colorado does not require a third-party trustee — the member may serve as their own trustee, but only if a successor trustee is named (the form's 'Appointment of Successor Trustee' page must be completed when the member is the initial trustee, and HCPF will deny a trust where the member is the initial trustee with no successor named). For advice on your specific situation, consult a Colorado-licensed elder-law attorney.