When is Medicaid Planning Really Scams?
If you have actually heard claims such as “protect your estate properties and still receive Medicaid” and questioned the legality of the claims, you are clever to do so. It is possible to lawfully secure numerous of your assets and still qualify for the Medicaid program, it should be done carefully, and with the assistance of a skilled elder law lawyer, in order to prevent Medicaid fraud.
The Medicaid program is a federally moneyed, but state administered, program that helps cover medical expenses for low income families and people. Numerous seniors who are on a fixed earnings might satisfy the monthly earnings limitations test that need to be passed to qualify for the program; however, even modest properties can disqualify an applicant for the program. Although state eligibility requirements differ, a lot of states just enable an applicant to have $2000-$3000 in resources. Spending down your assets is one option for qualifying, however the majority of people do not wish to need to quit the properties they have handled to collect after a life time of working just to qualify for healthcare and/or long-term care protection.
Before you think that just distributing your assets to family members is the solution, think once again. Many Medicaid programs include a “look-back” period in their guidelines that requires you to reveal any properties that were gifted or sold within a particular period prior to looking for support. That amount of time can be as long as 5 years. Possessions that were moved throughout that time period may still be consisted of in your resources computation, which will postpone your credentials for benefits.
Being less than honest on an application is likewise not an alternative. Aside from being disqualified for the program for a significant time period, you could also deal with criminal charges for fraud.
There are legal methods that can be employed to transfer properties in some cases. Careful planning can likewise prepare your estate for credentials for the Medicaid program if you think you might require it in the future. Now is the time to talk to your estate planning attorney about your options. Just your elder law lawyer can guarantee that the actions you require to receive the Medicaid program while still securing your properties are completely legal.