Many individuals believe that adding a family member or loved one on a bank account will assist in protecting assets from Medicaid. However, unfortunately, this is untrue. However, adding a person as co-owner of a bank account will assist in avoiding probate. Continue reading “A Joint Bank Account Does Not Protect Your Assets When Applying for New Jersey Medicaid”
Category: Medicaid Planning
Options to Qualify For Government Benefits Without Leaving Yourself Impoverished
In New Jersey, many residents rely on government benefits for financial assistance. However, in order to qualify for government benefits, there is an income and asset limit. Utilizing a special needs trust may allow a person to qualify for government benefits without leaving them impoverished. A special needs trust may be executed by a person prior to becoming disabled, or by a qualifying family member on a person’s behalf after they have become disabled or otherwise qualified for government benefits. Utilizing a special needs trust may allow a person to qualify for government benefits without leaving them impoverished. A special needs trust may be executed by a person prior to becoming disabled, or by a qualifying family member on a person’s behalf after they have become disabled or otherwise qualified for government benefits. Continue reading “Options to Qualify For Government Benefits Without Leaving Yourself Impoverished”
Utilizing A Pre-Paid Irrevocable Funeral Contract (or Trust) To Qualify For Chronic Care Medicaid
When an individual is entering a skilled nursing facility, it may be necessary to complete an application for Chronic Care Medicaid. A skilled nursing facility may cost anywhere from $15,000.00 to $25,000 per month, which can quickly lead to the depletion of available resources. Medicaid is a need-based program that assists with the cost of care in a skilled nursing facility. To qualify for Medicaid, an individual must meet certain asset and income requirements. Continue reading “Utilizing A Pre-Paid Irrevocable Funeral Contract (or Trust) To Qualify For Chronic Care Medicaid”
Transfers of Assets Affect Medicaid
If a Medicaid applicant is married and his or her spouse resides in the primary residence, then the home is an exempt resource. The spouse is entitled to keep resources of $120,900. The applicant must have less than $2,000. Any additional resources above these limits must go toward the cost of his or her nursing home care. If the applicant has a spouse, he or she may retain a portion of the other spouse’s income under certain circumstances.
Evaluation Time: Have An Advocate Present
A home evaluation is conducted by a Managed Long Term Care Company (MLTCC) after an individual has been approved for Community Medicaid by the Department of Social Services. The evaluation process can be complex and may result in difficulty due to the MLTCC failing to award a Medicaid recipient with sufficient hours. An evaluation by a MLTCC is extremely important, because it is the determining factor for which benefits a recipient is entitled to through the Medicaid program
Continue reading “Evaluation Time: Have An Advocate Present”
Funding An Irrevocable Trust Sooner Than Later
An asset is owned by a trust once it is transferred into the trust that was created. This is known as funding the trust. The transfer of assets into a trust can occur in a number of ways depending on the type of asset. For Medicaid purposes the five-year look back period begins one month after an asset is placed in the trust. This means that if a property deed is transferred into the trust in December, the five-year look back period begins in January and ends five years from that date. Every time a new asset is placed in the trust a new five-year look back period will begin for that specific asset, not for all the assets in the trust.
Continue reading “Funding An Irrevocable Trust Sooner Than Later”
New Jersey Medicaid Penalty Divisor Increased For Gifts
In order for an applicant to eligible for long term care Medicaid in an assisted living facility or nursing home, there is a five-year look back period. This means that all financial records as well as any gifts made during the previous five years must be disclosed to Medicaid. In accordance with New Jersey law, if an individual or spouse made any monetary gifts over the course of the five years prior, then Medicaid would impose a gift penalty.
Continue reading “New Jersey Medicaid Penalty Divisor Increased For Gifts”
Understanding Medicaid Terms
Medicaid is a state and federal program that provides health insurance for millions of Americans, including low-income adults, children, pregnant women, elderly adults and people with disabilities. States administer Medicaid to eligible individuals, according to federal requirements. The program is a state- and federally-funded program.
When reviewing a Medicaid enrollment or renewal application there will be several terms that will be crucial to understanding how an individual may be eligible for Medicaid services. The terms, “resources,” “income,” “’set aside’ costs,” and “spousal refusal,” are defined below and should be utilized as a resource for those seeking Medicaid eligibility and renewal.
New Jersey Looks to Expand Medicaid Waiver Program
NJSpotlight.com is reporting that the state of New Jersey is seeking permission from the federal government to expand its Medicaid waiver program for another five years. The program, which began four years ago and is expected to operate until June 2017, is currently being provided to Medicaid patients who are receiving long-term care and other services. Continue reading “New Jersey Looks to Expand Medicaid Waiver Program”
