As the ones you love continue to get older, they will need constant care. Looking into a nursing facility or assisted living could be the best option for them to be provided with the care they need. However, the price of nursing facilities continues to rise, which is why many elders turn to Medicaid planning. Medicaid planning can be beneficial for everyone, better preparing the family for eldercare while protecting assets from Medicaid costs.
What is Medicaid Planning?
Medicaid planning allows for you and your family to make decisions about your savings before the actual cost of the nursing home sets in. Everything will be planned out accordingly to match your visions of your plan.
- Long Term Planning: It’s important to start Medicaid planning before it will come into effect to better understand the costs and protect assets.
- Asset Protection: Using estate planning and trusts to safeguard assets from Medicaid costs and to qualify for free coverage.
- Assistance and Counseling: Many families and individuals may need assistance with Medicaid Planning. Make sure to work with an elder lawyer who has experience – and compassion – in the field.
How to Protect Your Assets
It is important to protect your loved one’s assets during Medicaid by transferring assets to either a spouse or child. This ensures that no one will have access to your belongings except those you trust. There are two parts needed to best set up Medicaid planning.
Estate Planning as Part of Medicaid Planning
Estate planning allows you to relax knowing that everything is planned out, and how you want your assets distributed after you pass are clear. The next step is to choose a trusted power of attorney to help make vital decisions that may pop up, this is usually someone that is very close to you and knows what you would want.
The Need for Trusts in Medicaid Planning
A trust is when assets and property are transferred to a trustee. This person should be someone that you care about and trust because they will need to follow through with your wishes. A living trust is specific to estate planning and is different because you can make changes to it while you’re living. Learn more in my blog, What is a Living Trust and How is It Different from a Will?
Protecting your loved one’s assets during Medicaid is crucial, but it’s not an easy thing to do. Paula Smith is highly knowledgeable in the Medicaid process and can help you set up a Medicaid plan that is just right for your family. I will offer you wisdom and compassion through every step of the way. Contact me today to set up a complimentary consultation.