There’s a lot of information floating around about Medicaid, particularly when it comes to paying for nursing home care. Some of the information is reliable, while some is not accurate at all. So, how do you know which information you can trust? Get the facts from a trusted expert, like an experienced and qualified elder law attorney. Below are three myths surrounding Medicaid, along with the corresponding facts:
1) You can simply transfer your assets to your spouse and qualify for Medicaid. The truth is, your spouse’s assets are counted, as well as yours, for Medicaid qualification purposes. So, signing property over to your spouse won’t accomplish much.
2) You can give your property away to your children or others in order to qualify for Medicaid. In reality, it depends on the timing of the transfers. Certain transfers, when made within the five years before you file your Medicaid application, will result in a delay in your receipt of benefits. So, simply giving away property is likely to derail your Medicaid eligibility.
3) You can transfer assets to your revocable living trust to make yourself eligible for Medicaid. For Medicaid purposes, property owned by your living trust is treated as if it’s owned by you. While a basic revocable living trust is not a great Medicaid planning tool, there are other strategies that allow you to play by the rules and qualify for Medicaid while preserving as much of your nest egg as possible.
Medicaid planning requires knowledge of the ever-changing rules that govern qualification. The best person to answer your Medicaid questions and to help you with Medicaid planning is an experienced elder law attorney.