Blog: Medicaid Planning
October 15, 2015
Due to the high cost of care for elderly in a nursing home resources dwindle and it becomes necessary to apply for and get on what is known as Medicaid. Medicaid is a federally funded program administered by the states that provides for payment for nursing care. It is available when your assets are basically depleted leaving about $2,000.00 in the bank, a prepaid funeral plan, and perhaps a few other items. Before you run out of money, it is critical that you get the prepaid funeral arranged as that is an exempt asset and you can save the family that expense at time of death. And if there is a spouse still at home there are many planning opportunities.
Applying for Medicaid at the time you run out of funds is a mistake. The planning really needs to be done a year or more before you apply. Resources can be used wisely. Historically, you could give everything away on one day and on the next apply for Medicaid. That is no longer true. There are look back periods to check. Elder Law attorneys are trained to look at these issues. Talk to a person who has some background in this area of law.
This blog post is authored by Daniel D. Dykstra and meant for informational purposes only. It is not meant to provide legal advice in any particular circumstance or factual situation. You should consult with an attorney prior to taking any action regarding the information contained herein.