what to ask a medicaid attorney

7 Questions to Ask a Medicaid Planning Attorney

• 1. What Is the Difference Between Medicare and Medicaid? ...
• 2. What are the Eligibility Requirements for Medicaid? ...
• 3. What Is the Five-Year Look-Back Period? ...
• 4. What Is the Spend-Down Period ...
• 5. What Is an Income-Only Trust? ...
• 6. Is All Income Directed into the Trust? ...
• 7. Could This Have Been Avoided?

Full Answer

What happens if you submit a Medicaid application without all of the correct transfers and planning strategies?

If a Medicaid application is submitted without all of the correct transfers and planning strategies having been completed first, this misstep can result in thousands of dollars being lost to out-of-pocket nursing home payments.

What is Medicaid?

Medicaid is a federal assistance program that is administered by the states. It is designed to help those who are financially eligible pay for the cost of long-term care and allows access to other medical and healthcare benefits.

Do I need to plan for Medicaid now?

Unfortunately, 2 out of 3 senior citizens will need long-term care at some point. Although no one wants to believe that they will need nursing home care, the reality is that many of us will.

Can I qualify for Medicaid by giving my assets to my children?

When considering whether an applicant is eligible for Medicaid assistance, Medicaid looks at the assets that you have transferred or given away within five years of the date of your application.

Do I need a lawyer to apply for Medicaid?

The process of applying for Medicaid can be very confusing and frustrating for someone who is not familiar with how the system works.

Does Medicaid cover assisted living?

Medicaid only covers nursing home care and some types of in-home care waiver programs – not assisted living care. If you are interested in assisted living, you will be required to pay out of pocket or, if you are a veteran, you can arrange your assets so that you are eligible for the VA Aid & Attendance pension.

Does Medicaid cover nursing home care?

Many of our clients believe that Medicaid will cover any long-term care they receive. However, Medicaid only covers nursing home care and some in-home care under specific waiver programs. If you or a loved one is in an independent living facility or an assisted living facility, their care is not covered by Medicaid.

What is the role of a Medicaid attorney?

On the other hand, Medicaid attorneys often focus more on the legal aspects of Medicaid planning, such as creating Medicaid asset protection trusts or Qualified income trusts, which makes them the better option for this type of assistance.

How much does it cost to hire an elder care attorney for Medicaid?

After the consultation / planning conference and gathering of the facts and needs, a price for services can be quoted. Medicaid planning fees can range from $3,000 to $12,000.The following factors can all impact the cost the cost of a Medicaid planning engagement. The more complicated the case, the higher the fees.

How does Medicaid annuity work?

This strategy reduces one’s countable assets, while at the same time , protecting some of them for family. Essentially, Medicaid applicants gift approximately half of their “excess” assets (assets over Medicaid’s limit) to their loved ones and then purchase an annuity with the remaining “excess” assets. (An annuity turns countable assets ...

How long does it take for Medicaid to pay for long term care?

Medicaid attorneys and specialists also assist with crisis planning, which occurs when a senior needs Medicaid benefits within 30-60 days.

How to avoid looking back on medicaid?

One such strategy that elder law attorneys can implement is a Medicaid asset protection trust (MAPT). This type of trust not only prevents one from becoming ineligible for Medicaid due to gifting assets (if done prior to the look back period), but it also allows one to protect assets for spouses to ensure they can live independently. Furthermore, MAPTs protect assets, including one’s home, for relatives upon the death of the Medicaid recipient, as assets in this type of trust are protected from Medicaid’s estate recovery program. This means that the state cannot attempt to be reimbursed for long term care costs for which it paid for the Medicaid beneficiary via these assets.

What is a medicaid planner?

For persons who have Medicaid cases that are fairly simple and straightforward, a Medicaid planner, also called a Medicaid specialist or a Medicaid Advisor, might be a good option. Working with a professional Medicaid planner can be a lot more cost efficient than working with a Medicaid attorney.

How long does Medicaid look back?

The look back period is 5 years in all states except California (Medi-Cal has a 2.5 year look back).

What does "draw out" mean in Medicaid?

The drawn-out process often means that a family must absorb the cost of caring for their loved one for an extended period when their loved one otherwise would have been eligible for Medicaid. Note, retroactive Medicaid may help to offset this situation, at least partially. 3.

How much does it cost to create a power of attorney?

There is a very minimal cost to creating a power of attorney document, particularly if one chooses to do it without the assistance of an attorney. POA forms can be found online and downloaded for free, or created via a website for $50 or less. If notarized, notary fees are generally $2 – $20 per signature.

Why is a power of attorney important?

Medicaid Eligibility & Importance of Powers of Attorney. To assist a loved one in becoming eligible for Medicaid, maintaining their eligibility and making Medicaid-related benefit decisions , having a power of attorney is extremely important. 1. Without a POA, an adult child or another individual applying for Medicaid on behalf ...

What happens if an elderly person becomes incapacitated and there is no POA?

If an elderly person becomes incapacitated and there is no POA, it may be necessary to go to court and pursue guardianship to gain legal authority of the incapacitated individual. This process may be very expensive and lengthy. The drawn-out process often means that a family must absorb the cost of caring for their loved one for an extended period when their loved one otherwise would have been eligible for Medicaid. Note, retroactive Medicaid may help to offset this situation, at least partially.

Can an attorney be a POA?

While attorneys and accountants can be named as the agent, it is common for relatives, particularly the adult children, of principals to be fill this role. Creating a POA does not mean the principal no longer is able to make his / her own financial or healthcare decisions.