A semiconductor device (10) is formed on a semiconductor layer (16). A gate dielectric layer (18) is formed over the semiconductor layer. A layer of gate material (20) is formed over the gate dielectric layer. The layer of gate material is patterned to form a gate structure (20). Using the gate structure as a mask, an implant (24) into the semiconductor layer is performed. To form a first patterned gate structure (20) and a trench (42) in the semiconductor layer (16) surrounding a first portion (28) and a second portion (30) of the semiconductor layer and the gate, an etch through the gate structure (20) and the semiconductor layer (16) is performed. The trench (42) is filled with insulating material (46).