Medicaid Planning

WHAT IS MEDICAID?

• Medicaid is a Federal and State regulated program that provides medical assistance to certain individuals and families with low incomes and resources.
  
  
• There are certain requirements in order to be eligible for Medicaid.
  
  
• Medicaid is the largest source of funding for Long-Term Care services.

IMPORTANT INFORMATION TO KNOW

• Countable Assets—this is the total amount that the state will allow a person applying for Medicaid benefits to keep.
  
  
  1. Monthly Income-$1,869.00 or over Total Assets-$2,400.00
  2. Monthly Income-$1,869.00 or less Total Assets-$8000.00
     
     
•  The Transfer Penalty—any assets that were transferred for less than fair market value.  This pertains to anyone applying for Medicaid after March 3, 2007
  
  
1. Look Back Period—any transfers made within 5 years of applying for Medicaid will cause an ineligibility period.
2. The ineligibility period will not start until the individual has been admitted to a nursing home and has spent down all non-exempt assets.
3. Exempt transfers
              -to a spouse
              -to a blind or disabled child
              -to a trust for the benefit of a blind or disabled
               child
              -to a trust for the benefit of a disabled 
               individual under the age of 65 including the 
               benefit of the applicant
   
   
• In past newsletters we have discussed Medicaid and the many changes that are taking place.  Because the changes are so significant to the eligibility of Medicaid we would like to emphasize the importance of seeking help with the application.  When you or a loved one are looking into or ready for a long-term care facility it is their protocol to ask for financial information and to ask you to fill out a Resource Assessment form.   This is their way of knowing if and when you could be eligible for Medicaid.  As the new laws go into effect it becomes essential to make sure that everything is accurate and in order before submitting the information to the facility.   This is the reason our office highly recommends that any information be reviewed by someone familiar with the Medicaid process.  It doesn’t take long to look over the information and the time spent verifying it will save a lot of trouble in the long run.