Medicaid eligibility is subject to certain asset requirements.
Health care expenses only increase as you age .
You have run the numbers.
It looks as if you will require Medicaid assistance.
You are concerned about having to become destitute to qualify.
Can you keep your assets in a revocable land trust and still receive Medicaid?
According to a recent nj.com article titled “What revocable land trusts mean to Medicaid eligibility,” this is not an option.
Medicaid considers the assets in the trust as yours since you can reclaim them and access them at any time.
Medicaid will require any assets you have—including those in this trust—to total no more than $2,000.
Are there any other trust options?
You can create an irrevocable trust.
This would need to be created and any assets transferred into it more than five years before you submit a Medicaid application.
This will enable you to avoid the look-back period and attending penalty provisions for Medicaid.
If you need more help understanding Medicaid rules and application requirements, you should work with an experienced elder law attorney.
The National Academy of Elder Law Attorneys has a directory of elder law attorney you may search online.
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 (April 9, 2018) “What revocable land trusts mean to Medicaid eligibility”