Do I or don’t I need a lawyer for this? If you’ve found yourself pondering this, I encourage you to consider reaching out to an elder law attorney if:
You’re over 65 and visit the hospital. Yes, once you’re in the hospital, all you’re thinking about is going home. But if you entertain the idea of going into rehab instead, this provides the opportunity to accelerate long term Medicaid planning and save you years and tens of thousands of dollars.
If your parents are in a rehabilitation facility. If they’re over 65, there’s a 30% chance they’ll fall or get dehydrated and develop a UTI. There’s a huge financial advantage to talking to an attorney and accessing their long term care through Medicaid.
You’re considering long term care or a life insurance policy. So, at any age this should be on your radar, because life happens. Weighing your options with an elder law attorney helps you determine how much you’ll need and for how long you’ll need to plan. I would never recommend more than three years of coverage. Whose name the life insurance policy is in can have huge implications, as well. All the more reason to ask the important questions sooner rather than later.
When you’re pre-planning your funeral. You’ll need to consider first how to pay for the funeral, and I recommend using your life insurance policy for that and keeping cash for other expenses. There is funeral documentation you need to retain when Medicaid comes into the picture, too.
Before you give large sums of money or property to children or grandchildren. Gifting your home triggers capital gains taxes, which will put your heirs in a difficult financial situation in the long run. And the Medicaid 5-year lookback is penalty-ridden and a logistical nightmare. Many people confuse the IRS gift tax limit of $15,000 with the Medicaid law which allows no gifting. Don’t give money away. There are better options than gifting. See an elder law attorney and create a customized plan.
Firm Owner and Managing Attorney
Elder Law Guidance
For help with these and any elder law questions, contact Elder Law Guidance at (859) 544-6012 and visit one of our three convenient Richmond locations for a free consultation or visit www.elderlawguidance for more information.