The Importance of Medicaid Planning – Asset Protection
If you need nursing home care, how will you pay for it? The average cost of nursing home costs can easily exceed $100,000 per year. This makes it a challenge to pay for care, let alone leave an inheritance for future generations.
The Medicaid program can provide nursing home coverage – but only if you qualify i.e your assets are below $2,500. Therefore, most people do not have automatic Medicaid eligibility, until all their assets are spent down. Consequently, people need Medicaid Planning.
Medicaid Planning involves repositioning assets in accordance with strict rules, so that you meet Medicaid eligibility requirements.
What would happen if you became disabled and couldn’t do your own Medicaid Planning? You need an incapacity plan with “Medicaid triggers.” This allows you to appoint an agent and empower that person to engage in Medicaid planning for you. Without “Medicaid triggers,” you and your family could be spending all your hard earned assets until you have no money left, then you are Medicaid eligibe.Tags: asset protection, assets, medicaid benefits, medicaid planning, nursing home, spend down