My 87 yr. old mom lives with me and her doctor is testing her for Alzeimer's disease. Right now she is able to do things for herself but in the event things get worse, and she needs a nursing home, will our joint bank account be considered an asset for Medicaid eligibility? Can I transfer the money now into a separate account with only my name on it without it having the 5 yr. spend down rule? Any help would be appreciated. I watched my grandmother's money taken away from her for nursing home until she had only $60 to her name when she died. Sad state of affairs. Bonny
Not all Elderly Lawyers deal with Medicaid I went to two but do not deal with Medicaid.
Better off having a trust set up and pre pay for the nursing home 2-3 months in advance once you qualify, then Medicaid should reimburse you of all payments you made to her nursing home ( but not any Penalty periods) therefore "YOU" will get your mom's money back, and put it to one side like a safe for her, but NOT IN HER BANK ACCOUNT as she cannot have over $2000.00 or Medicaid will stop contributing payments for her nursing home. Each state may vary in amount of money you can have but in Texas it is $2000.00.
Check if her burial policy has a "CASH IN VALUE" as Medicaid will take it from her ! If she has cash in value it will have to be cashed in by yourselves and only get a small portion back, then have to buy a New burial policy with no cash in value !
I just had to do this through my attorney for my mother in law !
Be prepared to keep some money for:
Nursing home fees as you have to be in a nursing home paying privately for at least 30 days before you can apply for Medicaid.
Medicaid attorney fees !
There is a limit of how much you are entitled to have coming in each month combining social security and private pensions, in Texas maximum is $2000.00 anything over that amount coming in each month you have to set up a QIT trust and place the excess money into it or you will not qualify for Medicaid.
Proof of everything what was this paid for provide copies of checks evidence that payments were received and all has to be for your mom's benefit any large sum given away will create a penalty !
Penalty Described:
If the nursing Home cost $5000.00 per month and she gave away $15.000.00
Medicaid will view that $15,000.00 would have supported her for three months in the nursing home so once they make a decision on your application you will have 3 months penalty therefore Medicaid will not pay any contributions for three months.