1. Where There Is A “Will” Is There Is A Way? The biggest mistake is…
Top 9 Most Expensive Medicaid Mistakes
1. Mistakenly thinking it’s too late to plan.
Even after a person has moved to a nursing home it is not too late to plan. Our law firm can assess your situation and provide you with numerous options.
2. Transferring assets too early.
Some think the solution is to simply give everything they have to their children. However, this can result in a total loss of control and risk your retirement nest egg. Furthermore, too early or defective transfers can cause tax and other problems that may be difficult to cure. Seek professional help to the proper method and timing of any transfers.
3. Overlooking exemptions established by law.
Not all transfers cause a problem with Medicaid eligibility. The law exempts certain transfers involving spouses, disabled children, caretaker children, etc. Our law firm often advises clients with these options.
4. Not being aware of all the protections for the spouse of a nursing home resident.
The law protects the spouses of nursing home residents. There are certain protections, including minimum income and asset allowances (which can be expanded via court order). There are many options that our firm can advise depending upon your situation.
5. Filing an application for Medicaid too early.
The proper timing of an application for Medicaid is critical. A mistake in this area can cost thousands of dollars. Our firm can calculate the proper time for a Medicaid application.
6. Filing an application for Medicaid too late.
Not filing at the earliest possible time can result in the unnecessary loss of much of an estate.
7. Failing to get professional help.
Who would fail to go to a brain specialist in the event brain surgery is needed? Yet many people try to navigate the complex Medicaid laws on their own without the help of a trained professional? Medicaid is a complex area of law that most persons deal with only once in their lives. Thus, it makes sense to have a trained professional handle your case. Hundreds of thousands of dollars are at stake, it is not worth the risk.
8. Failing to properly prepare for estate recovery.
The estate recovery program can mean the loss of a home or inheritance. Our firm has numerous strategies to protect you from such loss. However, failure to take action to prepare yourself can result in financial devastation.
9. Having an insufficient power of attorney If the Medicaid applicant lacks a power of attorney, and then becomes incapacitated due to disease, stroke, or dementia, savings opportunities can be lost. If the applicant does have a power of attorney, does it have the needed gifting provisions? This is just one of the ways insufficiently drafted powers of attorney can cost you savings opportunities. Our firm can prepare a power of attorney that contains the provisions you need to protecting assets for your family members.