Under New York State law, a spouse is considered a legally responsible relative which means that you are financially responsible for the support and care of your institutionalized spouse. Absent any planning, you will likely be required to privately pay for the cost of the nursing home which could exceed $15,000 per month. To minimize…
Dear Mr. Di Costanzo: I own my home. If I need to apply for Medicaid will my home be protected? Your home is likely your most valuable asset and it is important to know if it will be protected in the event you need long term care.
Over the years, I have found that one of the biggest obstacles preventing clients from pulling the trigger on a Medicaid Trust is the perception that all control is lost over the assets being transferred to the trust. While it is true that legal title to the assets must be transferred to the trustee, a…
Co-Authored by Joanna C. Feldman, Esq. Long-term care insurance can be a great arrow in one’s quiver of tools when planning for the future. But long-term care insurance premiums can be expensive, or, possibly more importantly, the coverage can be capped in a variety of ways. Many long-term care insurance (“LTCI”) policies have a maximum…
Co-Authored by Joanna C. Feldman, Esq. The short answer is no, but let’s go further. Medicaid applications to cover expenses in a nursing home are subject to the five-year look back period. This means that any gifts, uncompensated transfers, or transfers for less than fair market value made by the applicant within the five years…
The Power of Attorney (“POA”) and Statutory Gifts Rider (“SGR”) are two of the most important documents drafted by an elder law attorney. The absence of or deficiencies in these documents increases the likelihood of the need to commence a costly guardianship proceeding to be able to implement many common elder law planning techniques necessary…
One of the most unfortunate situations in my practice is when I hear that someone spent most, if not all, of their assets on the cost of a nursing home or home care aides because they believed they were ineligible for Medicaid as a result of having income and assets. Most often it is due…
Second to the house, an individual retirement account (“IRA”) is usually the largest asset when looking into someone’s financial portfolio. The tax and Medicaid rules dealing with IRAs are very different yet related, quite complex and often misinterpreted or misapplied. It is important to have a general understanding of these rules in order to avoid…
Co-authored by Joanna C. Feldman To be eligible for Medicaid benefits in a nursing home in 2018, one may have no more than $15,150.00 in available assets. A life insurance policy with no cash value is not considered an available asset. If a life insurance policy has cash value, however, the cash value of the…
Co-authored by Joanna C. Feldman Generally speaking, Medicaid rules require most of one’s monthly income be contributed toward the cost of one’s care in a nursing home. When the spouse of the Medicaid recipient remains at home, however, the impact of losing the other spouse’s additional income can be detrimental. The spouse at home (known…
Co-authored by Joanna C. Feldman This is a question we’re continually asked, so we’re glad we have another opportunity to clear things up. The main thing to remember is this: IRS rules are different from Medicaid rules. Under current IRS rules, you may gift up to $15,000.00 to as many people as you’d like in…
For many families, a good portion of their wealth exists through the equity in their home. The home may also be the most sentimental asset as it carries many memories and emotional ties. We often counsel clients on different planning techniques to protect the home where Medicaid is contemplated to pay for nursing home or…
Contrary to popular belief, it is never too late. An elder law attorney can work to implement many different techniques even at the 11th hour to preserve assets. What is important is that you have a relationship with an elder law attorney. An elder law attorney can relieve some of the anxiety natural to this time…
In a perfect world, everyone would craft an estate and elder care plan well in advance of having to implement it˗ but the world isn’t perfect! I have had the opportunity to work on a fair amount of cases where clients, who had no estate or elder can plan, fell ill or became…
