Eight Top Mistakes People Make Regarding Medicaid Qualification

1. Mistakenly thinking it’s too late to plan.
Even after a person has moved to a nursing home it is not too late to plan.  At Heritage we can assess your situation and provide you with numerous options—even if a nursing home is already in the picture. 

2. Transferring assets too early.
Some think the solution is to simply give everything they have to their children.  However, this can result in a total loss of control and risk your retirement nest egg.  Furthermore, too early or defective transfers can cause tax and other problems that may be difficult to cure.  Seek professional help as to the proper method and timing of any transfers.   

3. Overlooking safe harbor laws established by Congress.
Not all transfers cause a problem with Medicaid eligibility.  Congress has provided that it will not penalize certain transfers involving spouses, disabled children, caretaker children, etc.  See a competent specialist to assess these options.  

4. Not being aware of all the protections for the spouse of a nursing home resident.
Congress wants to protect spouses of nursing home residents.  Thus, it has established certain protections, including but not limited to:  spousal annuity trusts, Medicaid compliant annuities, minimum income and asset allowances (which can be expanded via court order) etc.  In some instances spousal refusal to cooperate can even be a valid strategy.  There are numerous options that Heritage Elder Law can advise depending upon the facts of your situation.  

5. Filing an application for Medicaid too early.
The proper timing of an application for Medicaid is critical.  A mistake in this area can cost tens of thousand of dollars.  Our specialists are trained to calculate the proper time for a Medicaid application.

6. Filing and application for Medicaid too late.
Not filing at the earliest possible time can result in the unnecessary loss of much of an estate.

7. Failing to get professional help.
Who would fail to go to a brain specialist in the event brain surgery is needed?  Yet how many try to navigate the complex Medicaid laws on their own without the help of a trained specialist?  Medicaid is a complex area of law that most persons deal with only once or twice in their lives.  Thus, it makes sense to have a trained specialist handle your case.  Hundreds of thousands of dollars are at stake.  Is it worth the risk to neglect expert help?  

8. Failing to properly prepare for estate recovery.
The estate recovery program can mean the loss of a home or inheritance. At Heritage Elder Law our attorneys have numerous strategies to protect you from such loss.  However, failure to take action to prepare yourself can result in financial devastation.