David Wingate talked to Social Workers, Nursing Home and Assisted Living Administrators, about long term care costs and Medicaid.
Barrels of ink have been spilled over Medicare during this year's campaign. There's nothing wrong with that: Obama and Romney have fundamentally different approaches to Medicare and they deserve attention. Romney, for example, wants to increase the eligibility age to 67 and convert Medicare into a voucher system that relies primarily on competition between private firms to rein in costs. That's a big change. At the same time, the actual differences in what the two candidates would spend on Medicare is fairly modest. This is more a fight over means than ends. The same can't be said for Medicaid. Romney…
An Alabama attorney recently filed an application in a spousal case, in which the husband, community spouse, has been farming for more than 20 years to supplement his income. Therefore, they claimed his tractor and pickup truck as excluded because they were necessary in his farming operation. He has been filing a Schedule F. Well, it turns out that because his wife at home Alzheimer's dementia took so much of his time, he had sold off all his cattle in 2010 and only had 29 chickens in his inventory. Since he had no income reported in 2011 from sales, his…
A senior entered a nursing home for rehabilitation following a car crash. After she left the nursing home, the $93,000 bill at the home was left unpaid. She had applied for Medicaid, which would normally pay the bill if she couldn’t. However, the Medicaid application did not get approved in enough time to satisfy the nursing home, and it sued her son for the bill, states Forbes Magazine. The Commonwealth of Pennsylvania, like 29 others in our country, has something called a “filial responsibility law”. Those laws require that spouses, children and even parents of needy adults support the indigent. …
The average monthly cost for assisted living has risen 5%, which might drive some seniors to consider other, more economical options when it comes to long-term care, according to the 2012 American Association for Long-Term Care Insurance (AALTCI) Sourcebook. Assisted living costs an average of $3,350, reports the association, but despite the increase, more people have been turning to assisted living or home healthcare options rather than nursing home care. Less than a third (31%) of newly opened long-term care insurance claims are for nursing home care, according to AALTCI data. However, many seniors are realizing that long-term care insurance can…
Medicare will pay for the nursing home. Medicare does not pay for long term care at the nursing home. Medicare consists of four parts: A, B, C, and D and is offered to those who are at least 65 years old, less than 65 years old and disabled, or in end-stage renal failure requiring dialysis or a kidney transplant. Medicare Part A pays for hospital stays, some home health care for rehabilitation services, and inpatient rehabilitation services. There is no monthly premium for Part A as these services are covered by payments made through your lifetime payroll taxes. Medicare Part…
Many elder law attorneys advise clients to consider using annuities as a means to protect assets for the community spouse when their spouse is in the nursing home. An important decision was reached that may benefit planners and their elder law clients in achieving asset protection goals. Reversing a district court, a U.S. court of appeals holds that an annuity is an unavailable resource even if it is purchased in addition to the community spouse resource allowance, and that there is no transfer penalty for the couple’s purchase of the annuity prior to a determination of Medicaid eligibility. Morris v….
Families really need to do lots of research. Use the internet, visit the neighborhoods and facilities and look for reviews that are done by people that have had their family members in the nursing home. Search for a facility where your loved one’s immediate needs are met, ask questions, see if they have an available rehabilitation center, what foods they will serve, how they can cater to your loved ones, what insurance the nursing home will take. For more contact our office for the FREE booklet “Nine “Must Ask” Questions Before Entering A Nursing Facility”
1. 70% of Americans who live to age 65 will need long-term care at some time in their lives! 2. It costs approximately $142,000 a year for a nursing home bed at some facilities! 3. 50% of all couples and 70% of single persons become impoverished within one year after entering a nursing home. 4. Medicare does not pay you or your family for long-term care. 5. By using proper Medicaid Asset Protection strategies, Medicaid is available to pay the nursing home costs, without forced impoverishment.
Medicaid transfer rules are something the average family should be concerned with! The facts are, as we live longer, more than half will spend time in a nursing facility. As a general rule, when assets are transferred to others for less than fair market value, this transfer will result in a period of Medicaid ineligibility. Here are four instances where transferring the family home or principle residence for less than fair market value may be permissible and not result in Medicaid ineligibility or penalty. First, the principle residence can be transferred to the spouse who is not in…
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