Many people approach elder law attorneys asking questions about Medicaid planning.
Until you are faced with the need for long-term care either for yourself or for a family member you may not understand the lay of the land. This care is simply too expensive for most people to handle out-of-pocket without exhausting all of their financial resources. And, Medicare will not pay for an extended stay in an assisted living community or a nursing home.
Medicaid is a joint federal/state program that will in fact pay for living assistance if you can meet the qualifications. In fact, according to the Kaiser Family Foundation 70% of people who are in nursing homes are Medicaid recipients.
In theory Medicaid exists to provide access to health care to people who have little to no financial assets. However, when you are attempting to qualify for Medicaid to pay for long-term care some of your most valuable assets do not count for eligibility purposes.
Your home is considered to be one of these uncountable assets. There is however an upper equity limit of at least $525,000 with a maximum of $786,000 being possible.
While the states are required to seek reimbursement for monies laid out to pay for long-term care after the death of a Medicaid recipient your residence cannot be targeted if your surviving spouse or a dependent is still living in the home.
If you are interested in learning more about Medicaid as a way to pay for long-term care don’t hesitate to pick up the phone to arrange for a consultation with a good central New Jersey elder law attorney.