Unfortunately, we cannot control if and when we may fall ill but we can be proactive to protect our financial assets by planning early. The risk of requiring a nursing home within five years of creating a Medicaid Trust is generally a risk associated with waiting too long to meet with and elder law attorney.
The Medicaid Trust is one of the most effective planning techniques you can implement to protect your assets, however, it must be properly drafted by an elder law attorney. For instance, a Medicaid Trust should include mechanisms allowing the creator to revoke the trust if nursing home care is necessary within the five year look-back period. I know this sounds counterintuitive, but New York State law allows you to revoke and irrevocable trust if certain steps are followed. If you are not working with an elder law attorney, there is a strong possibility that this important function is being overlooked.
If you cannot revoke your Medicaid Trust after falling ill within the five year look-back period, you may be ineligible to apply for Medicaid benefits which will result in you privately paying for the cost of your nursing home care.
The Medicaid Trust has become a necessity for most estate plans. Ensure that it is properly drafted by allowing us to represent you. If you are in the process, please contact us before you sign your trust. We can be reached at 914-925-1010 or by e-mail me at email@example.com to discuss your options.