I am POA for my dad and both he and mom are in a nursing home with Medicaid in Texas. I worked with a Medicaid planner on the application last year but now have a check from selling my dad's car that needs to be properly used as to stay under the $3000 asset limit. I was previously told I have 30 days to spend it down, but wanted to see if anyone else has experience with something similar. I have continued paying the mortgage on their home since my parents went to the nursing home. Can I pay myself back for that expense? The roof needs replaced, and I expect I can use the funds towards that. I am just trying to be careful and not mess anything up with the Medicaid financial eligibility. Thank you for any suggestions/information you can share.
The assets must be spent for their needs. A new roof on a home where they do not live would not comply. New jammies? Slippers? Other clothing? False teeth?
My mom and l will be relocating to TX in the next year or two. She is elderly and has dementia. As we will need to find an elder attorney, would you be willing to share your attorney’s information? I would like to know what I need and get the process started before we move.
Thank you
Most state assets limits are very low (you mentioned $3K) but the home is part of the assets so I a not sure how they both have qualified for Medicaid Long Term Care coverage? In most cases, the ALL the assets (home, car, IRA funds, anything in stocks, bonds, bank or investment accounts, valuables like artwork, on and on ALL need to be liquidated if both husband and wife are in a qualified Medicaid Long Term Care facility and have applied or are spending down to receive Medicaid Long Term Care coverage.
Because there is a 5-year look back (where the State looks at all transactions over the past 5 years to see if there has been gifting or hiding of assets) and if found, your LO may be disqualified for a period of time. PS "ignorance is not a defense." SO best to get with a licensed elder care attorney ASAP.
In most States -- each is different -- one can "spend down" funds on things other than for their direct care or use: such as pre paying funeral expenses, paying the elder care attorney for his/her work in this planning and application; realtor sales commissions for selling the house and likely other expenses as part of the sale of the home (perhaps for repairs necessary for the sale) but RATHER THAN GUESSING/ASSUMING; best to get actual legal advice. Again, "ignorance is not a defense" and "once something is done, if done wrong, it is WRONG and may impact coverage, qualification or recertification for Medicaid Long Term Care Coverage.
Call you State Bar Assn., the Area Agency on Aging, the nursing home where your parents are now to ask for recommendations for a licensed elder care attorney. Most in this space in a geographic area know each other and your LO's facility likely has several they are familiar with who work with/represent OTHER at the same facility.
It is a difficult task to take on, but once done, it becomes a real benefit when the time comes.
In my state the funds are safely held until they are used. the way the money is held may vary from state to state.
Needless to say she charged us $200. to tell us this , no free consultation there. An experience to remember!!