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It sounds to me like the OP needs to do a lot more homework before going to see a lawyer. First learn the differences between assisted living and Nursing homes.
Also as others mentioned, the taxpayers including us don't want to pay for your care IF you have the resources to pay it yourself. Why should you not have to draw down your own assets before you expect others to pay for you?
Not trying to be nasty here, I just think you need to think this through and be able to understand everything.
My guess is you will be placing all your assets in a non revocable trust and will have no ownership rights to the assets. A trustee will have to be named and the trustee will manage the assets per the terms of the trust. carefull.
You are probably guessing wrong. A recovable living trust allows YOU to maintain control. I plan to put my house into one in the next year. A good T&E attorney (trusts and estates) will explain all the various options. I would NOT go to a general practice attorney.
I spent a couple thousand on attorneys and many hours with paperwork and meetings trying to get Texas Medicaid to approve payment for my fathers nursing home and still allow my mother to keep the small estate to live independently in the community. They were hesitant to approve and kept asking for more data and meetings with the review lasting over a year. They finally approved the application a month after my father died.
OP, If I understand what you are trying to do - if you need to go into a nursing home while you still have assets, are you concerned that you will have to use up all your financial assets before being able to go onto Medicaid and having the govt to pick up your expenses?
If this is the case, look into a state partnership insurance and see if that would fulfill your needs. From what I understand, it allows one to keep their assets and still be able to have nursing home coverage (while keeping assets in your name). I'm currently looking into it; I first read about it here.
These are for people who want to give away all they have, oftentimes to heirs, so they have no assets to speak of. That's what qualified for Medicaid at least in California. Doing what the attorney will offer is for those who want the taxpayers to pick up their tab rather than spending their own assets.
Do you understand that you'll have to give it all away and is this what you want to do? Don't complain about taxes and those who freeload the system because if you go through with this, you'll potentially be one of them.
most states have no problem with legally shielding assets for medicaid . if they did they would increase look back periods and close the ability to have trusts shield assets if it was to much of a a burden . look backs were 3 years , then 5 years . they could easily make them 10,15 or 20 years .
as one now famous judge in CT said in a suit where medicaid was suing a ct resident , he refuses to allow the people of his state to be driven in to poverty because we have a poor system in place .
driving everyone who needs care in to poverty would crush the economy in states .
most states now offer LTC partnership plans sanctioning you and encouraging you to use the medicaid system . I BOUGHT SUCH A PLAN .
WE TOOK A MERE 3 YEARS INSURANCE AND NY AGREES TO NO SHIFTING OF ASSETS ., NO LOOK BACK PERIOD AND NO INCOME RESTRICTIONS ON THE STAY AT HOME SPOUSE .
they even have a special form of medicaid for this purpose .
most states offer partnership plans .
our income tax system is based on the fact your fair share of taxes is whatever you can legally figure out your share is , no matter how low you can get it . the same rules apply to the medicaid system and long term care ..
i used to have a very different view of medicaid and who it was for . but the more i learned i saw it was designed no different then our tax system . there are quite a few methods in place to be utilized but you need to be smart enough to use the methods that are there for for you , no different then our tax system ..
Last edited by mathjak107; 12-25-2015 at 06:35 PM..
You are probably guessing wrong. A recovable living trust allows YOU to maintain control. I plan to put my house into one in the next year. A good T&E attorney (trusts and estates) will explain all the various options. I would NOT go to a general practice attorney.
You could be correct but a revocable living trust keeps you in control of your assets until you die. I would think as long as you are in control of the assets you will have to use then to support yourself.
You can put your home in a trust and I can see an advantage to it. But make sure the trust and title is worded so that you do not lose any homestead or other protections your state might offer. Protections are not offered in all states so you may not have the problem.
revocable trusts are useless for protecting assets from medicaid . they are not used at all for that purpose . they are only to avoid probate and have explicit instructions carried out . medicaid does not recognize any trust under your control , it must be an IRREVOCABLE TRUST .
revocable trusts are useless for protecting assets from medicaid . they are not used at all for that purpose . they are only to avoid probate and have explicit instructions carried out . medicaid does not recognize any trust under your control , it must be an IRREVOCABLE TRUST .
And if it's irrevocable, you can't change it after it's in place.
In a couple of weeks I will be meeting with an estate attorney to discuss setting up a trust to protect my "estate" should I need to go into an assisted living arrangement. (I'm 63 and perfectly healthy.) The purpose is to have medicare pay for my assisted living, and I wouldn't have to deplete all my assets first to qualify. An investor I work with suggested I do this. She said the asset protection takes effect in five years from the date the trust is completed. The estate attorney charges about $2,000 to set up the trust. The initial consultation is free. Does anyone know anything about this? I once heard there's insurance you can purchase to protect your assets, but that's not what this is.
Because of the Five Year Look Back for Medicaid (and nursing homes not assisted living facilities) be sure that you do not fall down the stairs or are in a car accident or slip on the ice and hit your head on the cement, etc. etc. and suffer a Traumatic Brain Injury until you are at least 68.
My point is that you may be 63 and healthy right now but you do not know what will happen during the next Five Years.
Last edited by germaine2626; 12-25-2015 at 08:07 PM..
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