You may need to give up your home to qualify for Medicaid.
You have a home.
You have lost your spouse.
You are getting older.
You will soon be needing long-term care.
The costs will add up.
You have heard Medicaid is an option.
Is it the best option for you?
According to a recent nj.com recent article titled “What happens to your house with Medicaid?,” this would depend on your assets and your goals.
You also have jewelry—either your own property or the property of your late spouse—worth $100,000.
Other than those two major assets, you have Social Security.
Would you qualify for Medicaid?
You must determine whether you will be staying in the home.
If yes, you may keep your home while qualifying for Medicaid.
If no, you will most likely have to sell the home and spend down the assets first.
Medicaid typically allows for you to keep one full-time residence.
If you live in a nursing home or care facility, this place would likely be counted as your primary residence.
What about the jewelry?
In most instances, items such as furniture, jewelry, and clothing are typically “non-countable.”
However in some instances valuable jewelry may be counted toward Medicaid eligibility.
In some states like New Jersey, Medicaid applications do not ask about jewelry in the qualifying process.
New Jersey does ask about cash though.
If you sold the jewelry, you may need to spend down the cash you received.
Qualifying for Medicaid is not something you should do alone.
Thinking about long-term care is hard enough.
Work with an experienced elder law attorney to learn your options and create a plan to meet your needs.
Remember: “An ounce of prevention is worth a pound of cure.” When making your financial, tax and estate plans, do not go it alone. Be sure to engage competent professional counsel.
For more information about estate planning in Overland Park, KS (and throughout the rest of Kansas and Missouri), visit our estate planning website and be sure to subscribe to our complimentary estate planning e-newsletter while you are there.
Reference: nj.com (November 22, 2017) “What happens to your house with Medicaid?”