Resident trust funds

Definition

Residents' own money held by the facility, which is never the facility's money.

Why It Matters

Florida calls any funds or property belonging to a resident that a facility receives trust funds. They are kept separate from the facility's own and credited to that resident. Washington requires a full, complete and separate accounting for each resident, with no commingling. Where the owner, administrator or staff act as representative payee, Florida adds a surety bond equal to twice the average monthly resident income flowing through the facility. None of it is an asset of the business, so a balance sheet that shows it is wrong.