my mom is terminally ill. She wants to give me the house. However, she is not elegible for medicare due to her husband only contibuting to a government retirement plan. What steps can be taken so that she will not need to sell house to pay for end of life medical cost and keep house in the family? tracy
Country relating to Question: United States
State (if USA): Texas
she has the house left to me in her will. However, i have heard that medicare/medicaid will not kick in untill person is destitute.
You are correct in your assessment that one must have virtually no assets to become Medicaid eligible. The limit of total assets is only $2,000.00. Medicare does not offer coverage for the extensive end-of-life care that Medicaid does.One can transfer assets in order to become Medicaid eligible; however, after the transfer, one must wait five years to get those benefits. There are a few exceptions to this five year look-back period. If any of these can apply to your mother's situation, this is how she could instantly become Medicaid eligible.A transfer of assets to:- A spouse (or a transfer to anyone else as long as it is for the spouse's benefit)- A blind or disabled child- A trust for the benefit of a blind or disabled child- A trust for the sole benefit of a disabled individual under age 65 (even if the trust is for the benefit of the Medicaid applicant, under certain circumstances).In addition, special exceptions apply to the transfer of a home. The Medicaid applicant may freely transfer his or her home to the following individuals without incurring a transfer penalty:- The applicant's spouse- A child who is under age 21 or who is blind or disabled- Into a trust for the sole benefit of a disabled individual under age 65 (even if the trust is for the benefit of the Medicaid applicant, under certain circumstances)- A sibling who has lived in the home during the year preceding the applicant's institutionalization and who already holds an equity interest in the home- A "caretaker child," who is defined as a child of the applicant who lived in the house for at least two years prior to the applicant's institutionalization and who during that period provided care that allowed the applicant to avoid a nursing home stay.Those are the only exceptions to the five year look-back rule and the only ways to protect the house from having to be sold.Please remember to only rate my answer when you are 100% satisfied. IF you feel the need to rate "Poor Service" or "Bad Service", please stop and reply to me via the REPLY TO EXPERT button with the issue you have. I am not paid unless I get a rating of 3 to 5 Stars/Smiley Faces. If I have helped you with your question, please give me an appropriate rating so that I get credit for helping you. Thank you, Nate
i have lived in house with mom for 20 years. She has been in and out of nursing homes for the past 2 years with a heart attack, strokes and knee replacement. Will this void the nursing home caviote? If she requires 24 hour medical care she will be put back into a nursing home or hospice. will this affect the rules?
If you have been living with her and caring for her, that would fall under the two year provision for a caretaker child. She needs to go ahead and transfer the house to you. Assuming she has no other assets that need to be exhausted, that should allow her to become Medicaid eligible and pay for her care, whether in a hospice or a nursing home.
Over 8 years of legal practice.
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