A Medicaid Planning Attorney looks at the Big Picture.
There are many factors when undertaking Medicaid or Asset Protection Planning. Often the fear of losing all of one’s savings to the cost of long-term care overshadows the many important considerations in a successful elder care and Medicaid or Asset Protection plan.
Medicaid is meant to provide for those who have lost the means to provide for themselves. It is a means tested, poverty-based program. This means there are certain standards and limits regarding the value and type of assets you may have and still be eligible for Medicaid (Medical Assistance). However, if you understand the rules, you can keep more assets and still be eligible for Medicaid. At Slutsky Elder Law, we understand the rules and have helped hundreds of families go through this challenging process over the almost 30 years we have been in practice.
Long Term vs Short Term Decisions
Often, people don’t consider the long-term effects of short-term decisions. Particularly with Medicaid and Asset Protection Planning, families are in crisis and worried about the needs of the healthy spouse and what will happen to the spouse if all the family funds are spent on the sicker spouse. Will they be able to continue to receive quality care for both spouses? Will they be able to remain in the place they would like to receive care? What will happen to their spouse or dependent child? What about the inheritance they want to leave to their children?
Sometimes the care needs of the older or disabled adult child may be better served by paying more in some instances to provide better care and obtain better benefits and quality in the long run. This can help them preserve assets while obtaining future eligibility for Medicaid (or Medical Assistance in Pennsylvania). In general, the conventional wisdom states the less you pay in taxes, the more of your assets are preserved. However, looking at the big picture, it can often be better to forgo some tax benefits in order to preserve assets. Are there other family members or important parties whose care we need to consider? Would they be harmed or benefitted by the proposed asset protection plan? Like all good planning, one must consider all aspects of the elder care and asset protection plan including care level, care needs, types and value of assets, needs of the spouse and other family members (such as a disabled child), tax consequences of the plan and other important information before settling on the right asset protection plan.
A well thought out and comprehensive Medicaid Asset Protection plan can address all the important concerns which matter to YOU.
Slutsky Elder Law understands all the implications of different planning options and can help you make the best decisions, while addressing YOUR priorities and concerns, for you and your family.