Medicaid Planning In Gahanna
Long-term care presents a significant financial challenge for many families, yet itโs often unavoidable. Having a strategy before you need assistance can make all the difference. This is where thoughtful Medicaid planning becomes essential. Our Gahanna, Ohio, Medicaid planning attorney can guide you through qualifying for benefits while protecting your assets. Through careful planning, you can secure the care you need while preserving an inheritance for your loved ones.
Itโs important to start Medicaid planning at least five years before youโll require care. Since you arenโt sure when that might be, itโs never too early to begin. Contact our Gahanna Medicaid planning attorney today for a free consultation.
Medicaid Eligibility
Medicaid will review your application to determine your eligibility. To be eligible, you must:
- Be disabled or 65 or older
- Meet the asset requirements
- Meet the income requirements
Your Ohio Medicaid planning lawyer can help you meet the income and asset requirements. With the right strategy, you can transfer the assets and income out of your estate while still benefiting from it.
Medicaid Asset Protection Trusts
A Medicaid asset protection trust can be a valuable tool for meeting program eligibility requirements. Once youโve transferred property and assets into this type of trust, theyโre effectively removed from your estate and wonโt be counted against Medicaidโs asset threshold.
Itโs crucial to understand that Medicaid implements a five-year lookback period when reviewing applications. Any asset transfers made during the five years before applying will be scrutinized and could still be considered part of your estate. This makes it essential to consult with a Gahanna Medicaid planning attorney well in advance to begin developing your estate strategy in a timely manner.
Medicaid-Compliant Annuities
If annuities make up any portion of your regular income stream, itโs important to have them evaluated by our Gahanna Medicaid planning attorney. This review ensures your annuities meet Medicaidโs specific requirements. Without proper structuring, these financial instruments could push you over Medicaidโs income and asset thresholds.
Medicaid-compliant annuities are non-transferable, fixed, and can only last during your lifetime. Also, you have to set up annuities, so the money goes to the state of Ohio when you pass away. Consult with an attorney if you would like to add Medicaid-compliant annuities to your estate plan.
Income And Asset Limits
While specific income and asset limits are subject to change, making it advisable to verify current figures on the Medicaid website, here are the key thresholds as of 2021: Individual applicants must have monthly income below $2,382 and assets under $2,000. For married couples where both spouses are applying, the monthly income cap is $4,764, with an asset limit of $3,000. If your resources exceed these thresholds, donโt be discouraged โ our Gahanna Medicaid planning attorney can help you explore options like irrevocable trusts and other legal strategies to achieve eligibility. Schedule a consultation to learn how these approaches could help you qualify.
Whatโs Considered Income?
The government counts all money that you receive as income. That includes pension, social security, stock dividends, and more. If you are unsure how much income you earn, consult an attorney. Your lawyer will review your finances to determine the strategies necessary to help you qualify for Medicaid.
7 Medicaid Myths in Ohio
Myth 1: You Must Give Up All Your Assets to Qualify for Medicaid
Qualifying for Ohio Medicaid doesnโt mean surrendering everything you own. While the program does enforce specific asset limitations, working with an experienced attorney to create a proper Medicaid plan can help you legally preserve your assets while still achieving eligibility for benefits.
With the help of an experienced Ohio elder law attorney, you can preserve assets and avoid spend-downs and home liens, ensuring your assets remain yours to control. We know how much you have invested in your future and will help ensure that you โ not the government โ choose what happens to your assets.
Myth 2: Transferring Assets to Loved Ones Disqualifies You from Medicaid
While Medicaid does carefully scrutinize asset transfers, they arenโt automatically disqualifying. Through strategic Medicaid planning, assets can be transferred according to program guidelines and timelines. This allows you to secure your Medicaid eligibility while protecting your familyโs inheritance.
Ohio requires a five-year โlook-back period,โ meaning that transfers made within five years of your Medicaid application may incur penalties. Thatโs why it is never too early to start your Medicaid planning. A proactive approach ensures your preparedness and protection when you need long-term care.
Myth 3: You Must Sell Your Home to Qualify for Medicaid
Hereโs some reassuring news: you typically donโt need to sell your home to qualify for Medicaid. In fact, Medicaid generally classifies your primary residence as an exempt asset, meaning you can keep your home and receive Medicaid benefits for long-term care. There are two key requirements: your home equity must stay below the programโs specified limit, and you must express an intent to return home if your health condition improves.
If youโre single, the home exemption applies to you as long you maintain your primary residence. Married couples can take advantage of an unlimited home exemption if one spouse continues to live in the home. Medicaid offers additional provisions for those caring for disabled children.
Are you feeling overwhelmed? An Ohio elder law attorney with experience in Medicaid planning can help you navigate the Medicaid rules and your unique circumstances to ensure your beloved home remains safe and sound.
Myth 4: If You Have Medicare, You Have Coverage for All Your Healthcare Needs
Thereโs a common misconception that Medicare provides comprehensive healthcare coverage. While Medicare does offer extensive benefits, it has significant limitations when it comes to long-term careโit covers only up to 100 days and only when specific criteria are met.
This is where Medicaid becomes crucial: it provides long-term care coverage for eligible individuals, making it an essential program for seniors who need extended care services.
Myth 5: If You Receive Medicaid, Your Spouse Will Lose Everything
Donโt worryโOhio has specific protections to prevent spousal impoverishment when one partner requires long-term care through Medicaid. The stateโs rules specifically allow the โat-homeโ spouse (known as the community spouse) to maintain a designated portion of both income and assets. This ensures your partner can continue living comfortably while you receive the care you need through Medicaid.
Donโt navigate this complex process alone. An experienced Ohio Medicaid attorney can share savvy asset transfer advice to avoid Medicaid penalties; provide income allocation assistance to maintain the community spouseโs quality of life; and offer individualized estate planning strategies, including wills, trusts, and power of attorney documents.
Myth 6: Ohio Medicaid Only Covers Nursing Home Care
Ohio Medicaid provides far more than just nursing home coverage for qualifying seniors. Through programs like PASSPORT waiver services, eligible individuals can receive comprehensive care while maintaining their independence at home or in community settings. But hereโs the key: working with an experienced Ohio Medicaid attorney for proactive planning is crucial. Without proper guidance, you might face significant long-term care expenses, costly spend-downs, or unnecessary loss of assets.
Myth 7: After You Die, Medicaid Will Seize Your Home
Ohioโs Medicaid Estate Recovery Program seeks to recover funds from deceased individuals who received benefits. However, creating a trust can safeguard your family home and assets against possible recovery attempts. To ensure proper protection, consult an experienced and knowledgeable Ohio Medicaid attorney about your estate planning needs and goals.