Common Suffolk County Medicaid Issues to Know

Experienced Medicaid Planning Attorney Helping Families in Suffolk County

elderly lady holding a younger lady's handMedicaid planning is something that seniors do to ensure they have funds in place for nursing homes and other medical care in the future. Today, nursing homes are extremely costly, and the elderly with plentiful savings find it quickly diminishing after a short stay in a nursing home.

It is not unusual for a resident to spend up to $100,000 per year on their nursing home care. Therefore, Medicaid planning is a necessity for those who wish to provide for themselves without creating a financial burden on their estate.

Common Issues with Medicaid Planning – and How to Overcome Them

Medicaid planning not only ensures financial protection but helps a senior qualify for Medicaid. Some find the topic controversial, but it is a necessary discussion that you must have with your loved ones and your elder law attorney, especially if you anticipate nursing home care in the future.

Medicaid planning preserves your assets but does not involve hiding those assets as some believe. Instead, it is a strategy that helps you spend down your assets in a way that qualifies you for benefits you need to pay for medical care.

The Look Back Rule

Medicaid has a penalty that can be assessed for up to five years after gifting an asset. Therefore, it is important that you work with an attorney that addresses the look back rule issue in your Medicaid planning. The penalty might exceed the five-year mark causing you to stop gifting assets or hold onto an asset.

The look back was established to ensure that a person does not illegally transfer assets to a family member to qualify for Medicaid benefits. While it is a justified system that prevents abuse, the system complicates Medicaid planning for individuals and their families. An attorney can address the look back issue and help to avoid any penalties.

The Income Cap

There is an income cap for a Medicaid applicant, and if you go over the income cap, you cannot qualify for benefits. Therefore, your attorney may help establish a trust to hold over excess revenue (income over your state or federal income cap).

Using Long-Term Care Insurance

When planning for Medicaid, some wonder if long-term care insurance is ideal. Long-term care insurance does not affect Medicaid eligibility, but it must be used before receiving Medicaid. Deciding how much LTC to purchase and when to use it often requires consulting an attorney and financial advisor.

The Family Home

A big issue with Medicaid planning is the family or marital home. Homes are an asset, and a proper plan can protect the home from the government taking possession of that asset when a person dies in a state of Medicaid recovery. An attorney will establish a plan that ensures the marital or family home is not seized and sold; instead, passed down to loved ones.

Speak with an Attorney Regarding Your Suffolk County Medicaid Issues

To resolve these issues, work with an attorney in Suffolk County that offers Medicaid planning services.

The Law Office of Andrew M. Lamkin, P.C. can help you with your Medicaid planning. First, we will discuss your long-term care needs, options, and how to protect your assets. The look back period is five years, so planning long before you think you will need a nursing home is best.

Schedule a free consultation today at 516-605-0625 or request your consultation online.

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