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Certified Elder Law Attorneys Serving New Jersey Residents Since 1978.

Posts tagged "Medicaid Planning And Asset Protection"

Could New Jersey residents benefit from changes to Medicaid?

New Jersey residents may be interested to learn that in a recent development, the states that opted for Medicaid expansions during the Obama administration may have more leniency over which residents can be included under their programs. Medicaid expansions used to be an all-or-nothing arrangement. States choosing to expand Medicaid were required to provide coverage to those who earned up to 138 percent of the poverty level set by the federal government. However, the Trump administration is considering whether to permit two states to provide coverage solely to individuals whose earnings match or are less than the poverty line. This might encourage states that have not yet expanded Medicaid to do so.

Medicaid planning can help many afford nursing home care

While no one can predict the future, what many in New Jersey can at least anticipate is that some day they may need to enter a nursing home. This presents a problem for many -- they know they may some day need nursing home care, but their savings (if any) will not allow them to afford a very long stay. Fortunately, the federal government offers a program, Medicaid, which will cover the costs of nursing home care for those who are eligible.

Understanding the Medicaid 'look-back period' in New Jersey

Many people in East Hanover may anticipate that eventually they will need nursing home care. Some of these people are relying on Medicaid benefits to cover the costs of a nursing home, which can be substantial. However, in order to qualify for such a benefit for nursing home care, there is a limit to how much a beneficiary can have in property and income.

What is the 'caretaker child' exemption in Medicaid planning?

As many adults in New Jersey can attest, caring for an aging parent is a great act of love, but it is also a significant undertaking. Sometimes, an adult child even needs to set their career aside in order to care for their parent's daily needs. Parents understand how hard caregiving can be, and they may want to find some way to compensate their adult child for the care they selflessly give. One option they may have is to transfer ownership of their home to their child. Not only can this compensate the child for the sacrifices made, but it is also a way to preserve Medicaid eligibility through what is referred to as the "caretaker child" exemption.

Medicaid planning can be a complex affair

Many elderly people in New Jersey may someday find that they need to enter a nursing home. While admitting you can no longer live independently can be a blow to one's ego, if you can't take care of your daily needs, it may be necessary to seek help.

Medicaid may not cover all costs

Many New Jersey residents have found that either themselves or a loved one has to enter an assisted living facility when they could no longer take care of themselves on their own. According to one source, over 700,000 disabled or elderly individuals in the United States are cared for in some type of residential care communities. And, as the baby boomer population continues to age, the number of people who need to live in assisted living facilities will only go up.

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