The Eight Big Myths About Medicaid Planning
Many people have wrongly-conceived notions about Medicaid planning. Below are some of the biggest misconceptions people have. For more information about what a Medicaid planning lawyer can do for you, contact me, Lee A. Rosenthal, Attorney and Counselor at Law.
Myth #1: "If my spouse or I go into a nursing home, the state will take my home away."
The Truth: Your home is an exempt asset if owned by you or you and your spouse.
Myth #2: "If I give assets away, I have to wait 36 months to qualify for Medicaid."
The Truth: "Medicaid" will be looking back 60 months for divestments (gifts). If you have made a gift you will incur a "penalty period" which may be longer or shorter than 60 months.
Myth #3: "If I go into a nursing home the state will take my assets away."
The Truth: The state takes nothing. Medicaid simply won't pay anything until you spend all of your available assets.
Myth #4: "If I am already in a nursing home, it is too late to shelter my assets."
The Truth: You can shelter almost all assets in most cases no matter how long you have been in a nursing home.
Myth #5: "I can give away $13,000 a year per person without penalty."
The Truth: That is a Federal Gift Tax limitation and has nothing to do with Medicaid eligibility. Medicaid gifting rules are completely different.
Myth #6: "My daily cost at the nursing home is the approximate cost of care."
The Truth: Nursing home charges for "additional supplies" and services such as latex gloves, catheters, needles, etc. can double the monthly cost.
Myth #7: "There is a small chance I will end up in a nursing home anyway."
The Truth: 43% of 65 year old persons will spend at least two years in a nursing home.
Myth #8: "If I am receiving Medicaid, my quality of care will be lower."
The Truth: The nursing home does not care if you are "private pay" or if you are receiving government benefits.
Contact Lee A. Rosenthal, Attorney and Counselor at Law • 561-799-5290
If you wish to discuss Medicaid planning or any elder law issue, call or e-mail my law firm. I offer a free initial consultation to discuss your situation.
