What Is Medicaid Planning
Planning for the later years of life is very important, as many people will end up needing long-term care at some point after age 65. When taking care of your estate planning, you will want to include long-term care planning. But what is Medicaid Planning?
Long-term care is expensive and not everyone can afford the care that they will need. For some people, Medicaid will help to pay for long-term care, making it a more viable option. There are very strict income and asset limits for those seeking Medicaid assistance for care, which is why it’s important to take care of Medicaid planning before you need it.
Medicaid planning focuses on helping people qualify for Medicaid while preserving as many of their assets as possible.
What is Medicaid Planning Used For?
Essentially, Medicaid planning is used for the protection of one’s assets during long-term care. Long-term care is extremely expensive, costing on average thousands of dollars a month.
Most people over the age of 65 own their own home and have a large amount of assets on top of it. Due to the fact that Medicaid asset limits are far less than what they have, they assume they will not qualify. This puts people in a difficult situation because they know their income and assets will not cover the exorbitant cost of care, yet they feel they will not receive assistance from Medicaid.
The good news is that not every asset is counted when Medicaid eligibility is determined. Medicaid includes exemption amounts for assets such as cars and homes. For those who are married, Medicaid considers both parties’ assets. However, there are certain assets that are exempt for spouses as well.
In order to determine assets that are counted and those that are exempt, and to ensure that your care will be covered in the event of needing long-term care, you will want to have a professional estate attorney guide you through Medicaid planning.
Accurate Medicaid Planning
It’s important to understand the ins and outs of Medicaid qualification, as the rules are fairly involved. Some people think that it’s possible to transfer their assets to a family member in order to be eligible, however, Medicaid qualification involves looking back at your assets and any transferences.
In order to ensure that you take the right steps in Medicaid Planning, you will want to consult with an experienced estate planning attorney at Steller Law. It’s important to work with the attorney before you are in need of long-term care, in order to plan ahead, have a full-scope of options, and take care of any details that may arise.
Another potential option is long-term care insurance. Yet, with the cost concern of long-term care, insurance may not be the right choice, as it often does not cover all costs.
To discuss your options and maximize your eligibility for Medicaid, you will want to consult an attorney about Medicaid Planning as soon as possible. When you begin estate planning, make sure that you learn your options for Medicaid Planning.
Learn everything you need to know by downloading the eBook, The Complete Guide to Medicaid Planning in New York. In this book, you can find out all about Medicaid Planning and discover your options. You can also contact The Law Offices of Kyle A Steller with any questions and for more information.