As you get older, it is important that you make financial arrangements for the future. For many individuals, this means considering what will happen to their finances and property should they need to move into a nursing home.
Nursing homes can cost astronomical amounts of money. Without proper Estate Planning, this could see a total drain on your bank account and the sale of all assets to pay these bills. Fortunately, the creation of a Medicaid Trust can protect these assets for future generations.
A Woodstock Medicaid lawyer at our firm provide essential help in this area. Our seasoned attorneys at Nelson Elder Care Law can inform you about the relevant laws and craft documents that serve to protect your assets.
It is no secret that obtaining care from a nursing home is expensive. With treatment costing many thousands of dollars a month, many people cannot afford these payments.
Fortunately, Medicaid can cover all the costs associated with living in a nursing home. However, this help is only available to people who have no other way of paying. While many people in Woodstock believe they must sell their personal property and real estate in order to afford nursing home care, creative Estate Planning could help you qualify for Medicaid without losing all your assets.
One option that you have to prevent the liquidation of assets and still qualify for Medicaid is to create a Trust. A Trust serves as a way for you to transfer ownership of property to others because as soon as property enters a Trust, it is no longer considered yours.
This same concept applies to Trusts created to obtain Medicaid when moving into a nursing home. However, Medicaid is aware of this caveat.
As a result, a five-year lookback period applies all property that moves into a Trust prior to filing for Medicaid benefits. According to section 1917(c)(1)(B)(i) of the Social Security Act, if property is not in a Trust at least five years prior to filing an application, Medicaid can deny an application based on these assets. Our Woodstock attorneys can better explain how Trusts and Medicaid interact during your initial consultation at Nelson Elder Care Law.
Shielding property from taxation and valuation is one of the main reasons to create a Trust. But how do we accomplish this goal? Under the Official Code of Georgia Annotated § 53-12-20, a valid Trust will:
As applied to Medicaid trusts, the property in question is usually a family home. You must name this home with as much specificity as possible. You must also name a beneficiary who will receive the home at a specific date or event. Finally, you must name a trustee to take temporary control of the home. Our experienced local lawyers can assist you with creating these documents so you may qualify for Medicaid.
Paying for nursing home care is a major burden for many people. While Medicaid can provide payments to alleviate many of these costs, it is only available to those who have no other way to pay.
Creating a Medicaid Trust can help to protect your assets for future generations. As long as you create a Trust at least five years before applying for Medicaid assistance, Medicaid will not evaluate that property when determining your eligibility for benefits.
Furthermore, our team at Nelson Elder Care Law can help if a sudden medical diagnosis creates the need for Medicaid crisis planning. Schedule a consultation with a Woodstock Medicaid trust lawyer at our firm today to learn more about this process and begin crafting documents that meet your needs.
