Options In A Medicaid Planning Crisis
Medicaid is a program intended to help those who cannot cover healthcare costs, as long as they meet certain criteria. Most people in Putnam County who reach a certain age (and indeed, some younger) make a plan so they can benefit from Medicaid care as they get older. However, it is sadly not uncommon for some to neglect their estate planning until a crisis occurs. If you have a loved one who is in this boat, so to speak, contacting a knowledgeable attorney can make all the difference.
Do The Application Right!
Medicaid crisis planning is designed to give a person in need of healthcare as many options as possible to get that care as quickly as possible. However, it must be done carefully, particularly if the person needing care has significant assets, or if they are married to a spouse who is not currently applying for Medicaid. In addition, it is important to be aware of the fact that Medicaid will not cover all care, nor will it cover care at every facility. For example, a person must enter a skilled nursing facility for costs to be covered, rather than a standard assisted living facility.
Even when time is of the essence in applying for Medicaid, procedure must still be followed or the program will simply deny an application. For example, Medicaid is means-tested: in New York, a single person may not have income over $1,800 per month or assets totaling more than $32,396, or their application for the program will be denied. The rationale is that if a person has sufficient assets, they can pay for their own care.
Take Time To Plan
One other factor that a family must keep in mind when applying for Medicaid in a crisis is that the program disallows gifts to anyone other than one’s spouse, for the most part. Medicaid will examine a person’s financial history for a “lookback period” of 60 months, and frowns on asset transfers for less than their fair market value. If one or more asset transfers are made against Medicaid’s rules, the program may refuse to cover care for a certain period of months.
Perhaps most importantly, a person that does not plan appropriately for Medicaid may run the risk of losing their home. If a person or family decides to plan their estate ahead of time, they may create legal instruments that protect their home and assets, such as a Medicaid asset protection trust (MAPT). Failure to do this may mean that your home is counted as a Medicaid asset, meaning it may be appropriated by Medicaid after your passing. An estate plan can help to avoid this.
Contact A Pleasantville Medicaid Planning Attorney
No one wants to consider their own mortality, but no one likes to think that their health can take an abrupt turn for the worse. Planning for Medicaid long before the program becomes necessary in your life can help set your mind at ease in terms of protecting your assets and income. The Pleasantville estate planning attorneys at Meyer & Spencer, PC are ready and willing to try and assist you with your estate – let us help to protect your legacy. Call our office today to schedule a consultation.
